29 out of 50 states require collection agencies to be bonded in order to conduct business. Those states with some type of legal bonding mandate are shown in green in the following image:
Licensing requirements, bonding requirements, and the associated fees vary by state which makes for a complicated landscape if you’re a collection agency trying to started. Companies must comply with the requirements for the state(s) in which they practice. A list of the requirements by state can be found on the InsideARM website.