Michigan grain dealer bonds.
From $100.
The bond a licensed Michigan grain dealer files with MDARD under the Grain Dealers Act so the farmers it buys grain from get paid. Pricing is 0.6% of the bond amount the department sets, $100 minimum — your exact price appears at the application. One soft credit pull, never a hard inquiry, and it never affects your score.
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How much does a Michigan grain dealer bond cost?
0.6% of the bond amount, from $100. Enter your amount in the calculator for the exact price.
Apply to approved in one sitting.
Grain dealer bonds may run one soft credit pull, then issue. Here is the whole thing:
Apply online
Your business details, the bond amount MDARD set, and the effective date — plus consent to a soft credit check if one applies. That is the application, and your exact price shows up at the end.
Reviewed & approved
Most clear quickly; on larger amounts an underwriter reaches out within 48 hours if anything else is needed. Any credit check that runs is a soft pull that never affects your score.
File with MDARD
Receive the executed bond naming MDARD as payee, ready to file with your grain dealer license. Wet-ink originals mailed whenever the department insists.
What it is and who needs it.
What the grain dealer bond actually covers
Michigan licenses grain dealers through MDARD under the Grain Dealers Act (Act 141 of 1939, MCL 285.61 et seq.). A grain dealer buys farm produce from growers, and the state requires a bond so producers are paid for the grain they deliver.
The bond names MDARD as payee, is executed by the dealer as principal, and secures the dealer's faithful performance of its obligations in farm produce transactions. A dealer may, at its option, post a certificate of deposit or other acceptable security in lieu of all or part of the bond.
The amount is set by the department and is sized to the dealer's grain handling and net asset position — there is no single statutory flat figure for every dealer (a separate $100,000 figure applies to grain merchandisers and farm produce truckers under MCL 285.88). Enter the amount on your MDARD license and apply; your price is 0.6% of that amount, $100 minimum, with a soft credit check that never affects your score.
You need this bond if you are
Claims, renewal, filing, and what sets the price.
If a claim is made
A claim comes from the party the bond protects, the obligee named on the form, when the duty the bond guarantees is not met.
The surety investigates and pays a valid claim, up to the bond amount. You then repay the surety: a surety bond is a guarantee of your performance, not insurance for you.
Renewal and term
The premium covers a one-year term from the effective date you choose.
Renew before the expiry date to keep the bond in force: the license, permit or contract it backs expects continuous coverage.
How to file it
File with MDARD. Receive the executed bond naming MDARD as payee, ready to file with your grain dealer license. Wet-ink originals mailed whenever the department insists.
What sets the price
The premium is 0.6% of the bond amount, $100 minimum: the amount the obligee sets moves the price, not your business profile.
One soft credit pull, never a hard inquiry, and it never affects your score.
Where a check runs, it decides approval; the rate is the same for everyone approved.
One application, then your price.
These are the actual underwriting fields, including consent to a soft credit check that never affects your score. Enter the bond amount MDARD set and submit.
Start the application →Common questions.
Other Michigan bonds.
The same bond in nearby states.
Price and requirements checked on the carrier’s application, . Page updated .
Grain dealer bond MDARD will accept.
Priced at 0.6% of the bond amount, $100 minimum. Enter the amount MDARD set and file with your license.