Utility Payment Collection Agent ($2,000) Bond - City of Pasadena Water Department, TX in Texas

Brief Summary

A store or business that takes Pasadena water bill payments is holding the city's money until it is turned over. The $2,000 bond is the city's assurance that those payments arrive. It is a small bond, it is usually quick to issue, and having it ready lets you finish the agent arrangement with the Water Billing Office without a delay.

The City of Pasadena, Texas requires a $2,000 surety bond from a business acting as a utility payment collection agent, meaning a location that accepts water bill payments from customers on the city's behalf. The bond runs to the City of Pasadena and guarantees that the payments collected are handled and remitted as the city requires. Confirm the current bond form and filing steps with the Pasadena Water Billing Office before the bond is issued.

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How to Apply for a Utility Payment Collection Agent ($2,000) Bond:

• Confirm with the Pasadena Water Billing Office that your business will act as an authorized payment location or collection agent.
• Confirm the bond amount and whether the city requires its own bond form.
• Have the exact legal name and address of the business that will collect payments.
• Complete the bond application and provide owner information for underwriting.
• Pay the premium and receive the executed $2,000 bond.
• Deliver the signed bond to the City of Pasadena as the Water Billing Office directs.

Detailed Information About the Texas Utility Payment Collection Agent ($2,000) Bond:

What a collection agent does

Pasadena residents can pay their water bill by automated phone line, through their bank's bill pay, by bank draft, by mail, or in person at the City Annex. The city also lists authorized payment locations, retail businesses around town where customers can hand over a water payment. The city's Bill Payments page notes that authorized payment locations accept payments only on accounts that are not past due. A customer whose service is subject to disconnection has to come in or call the Water Billing Office.

What the bond guarantees

When a business takes a customer's payment, that money belongs to the city until it is passed along. The $2,000 utility payment collection agent bond names the City of Pasadena as obligee and backs the agent's promise to collect and remit those payments as agreed. If the agent fails to turn over funds, the city can make a claim on the bond, and the surety will look to the agent to repay anything it pays out.

Who posts it

The business acting as the collection agent posts the bond. The bond should be issued in the exact legal name of the business that signs the agent arrangement with the city.

Before the bond is issued

The city's posted pages describe the payment locations but not the agent paperwork. Call the Pasadena Water Billing Office at 713-475-5566 to confirm the current bond amount, whether the city uses its own bond form, and where the signed bond should be delivered.

Eligibility and Requirements for a Texas Utility Payment Collection Agent ($2,000) Bond:

• Surety bond of $2,000 naming the City of Pasadena as obligee.
• Business name on the bond matching the name on the agent arrangement with the city.
• Collection of payments only as the city allows. The city's authorized locations take payments on accounts that are not past due.
• Prompt remittance of collected payments to the city.
• Bond kept in force while the business collects payments for the city.

Texas Utility Payment Collection Agent ($2,000) Bond FAQs:

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