Platinum Bonds Insurance Agency
Research before you apply.This bond allows property owners or contractors to remove (discharge) a mechanic's lien filed against their property by posting a surety bond instead of paying the disputed claim immediately. The bond is set at twice the amount of the lien claim and guarantees payment if the lien claimant wins in court. Once filed wit…
This bond allows property owners or contractors to remove (discharge) a mechanic's lien filed against their property by posting a surety bond instead of paying the disputed claim immediately. The bond is set at twice the amount of the lien claim and guarantees payment if the lien claimant wins in court. Once filed wit…
Property owners or contractors (principals) who have had a mechanic's lien filed against their real property and want to clear the lien without paying the disputed amount immediately. This is commonly used when there's a payment dispute with a subcontractor, supplier, or laborer who has filed a lien claim.
Payment bonds guarantee that a contractor will pay subcontractors, laborers, and material suppliers. Typical Pricing:. • Small contracts: Commonly around 1–5% of the contract value. • Larger contracts: Rates generally scale lower as contract size increases. • Payment bonds: Often paired with performance bonds at a combined rate. • Full underwriting required: Credit, financials, experience, and bonding history reviewed. Payment bonds are required on most public proje…
Full underwriting required — typically 3–5 business days
The bond amount must be exactly twice (2x) the amount of the lien claim you're bonding off, as required by Iowa Code § 572.15. For example, if the lien is for $50,000, you need a $100,000 bond. The premium you pay to the surety company is typically 1-5% of the bond amount annually, depending on your credit and financial strength. For a $100,000 bond, expect to pay $1,000-$5,000. The bond must be approved by the administrator (typically the Secretary of State) before it can discharge the lien.
After the bond is filed with and approved by the administrator, you must notify the Iowa Secretary of State by posting a specific document to the Mechanics' Notice and Lien Registry (MNLR). Once this notification is complete, the bond serves as a definitive release of the mechanic's lien from your property. The lien claimant can then pursue their claim against the bond instead of your property. If the claimant wins a judgment in court, the surety will pay up to the bond amount, and you'll be responsible for reimbursing the surety.
Property owners or contractors (the bond principal) can file this bond to discharge a mechanic's lien that has been filed against their real property. This is commonly used when there's a payment dispute with a subcontractor, material supplier, or laborer. By posting the bond, you can clear the lien from your property title without having to pay the disputed claim immediately, which is especially useful if you're trying to sell or refinance the property while the dispute is being resolved in court.
Pin down whether this is your bond, then start the application. Ava can confirm the right state and license type if you are not sure.