License & Permit
Appraisal Management Company Bond
A license bond that an appraisal management company (AMC) files with the state appraiser board to register and do business.
- Required by
- State real estate appraiser boards (in Alabama, the Alabama Real Estate Appraisers Board)
- Bond amount
- Set by whoever requires the bond. We confirm it.
What this bond guarantees
The bond promises the state that the AMC will comply with the state's AMC law and pay amounts it owes under that law. If the AMC fails to pay, for example on money owed to appraisers or penalties, a claim can be made on the bond. The AMC must repay the surety for any claim paid.
Who needs it
- Appraisal management companies registering in a state
- AMCs renewing an existing state registration
What the underwriter looks at
- Owner's personal credit
- Company financial statements
- Years in business
- Regulatory history
Requirements vary by state and by who asks for the bond. Send us the request you received and we will confirm exactly what it calls for.
Common questions
How much is the Alabama AMC bond?
Alabama's board form sets the bond at $25,000 under Code of Alabama Section 34-27A-55. Other states set their own amounts, and $25,000 is common.
Can the surety cancel my bond?
Yes. On the Alabama form the surety can cancel with 60 days' written notice to the AMC and the board. You would need a replacement bond to keep your registration.