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This Repayment Plan Agreement (“Agreement”) is entered into between [Bondsman Name] D/B/A [Agency Name] (“Bondsman”) and Palmetto Surety Corporation (“PSC”). This Agreement applies to all current and future balances as recorded in PSC’s Risk Allocation Fund (“RAF”) and is effective upon execution. It supplements and is incorporated into the Bondsman Agreement previously executed by the parties.
If the RAF balance at the time of execution exceeds $[Minimum RAF], any amount above $[Minimum RAF] will be written off solely for the purpose of reducing the initial balance to $[Minimum RAF]. This adjustment applies only at execution; all subsequent losses will be added to the RAF balance and be subject to the finance charge in Section 3.
Payments shall be made via automatic recurring debit from a credit card or bank account, as authorized in the attached Recurring Payment Authorization Form. Payments will be processed on the 15th of each month unless otherwise agreed in writing.
Bondsman agrees to remain an exclusive bail agent for PSC and shall not write new bail bonds for any other surety company during the term of this Agreement.
If the Bondsman fails to make any payment when due, PSC may declare the remaining unpaid balance immediately due and payable, and may exercise all rights available under the Bondsman Agreement and applicable law.
This Agreement may be adapted for use at any starting balance threshold as determined by PSC. In case of conflict with the Bondsman Agreement, this Agreement’s terms will control.
Addendum to Bondsman Agreement: Indemnify Palmetto Surety Corp. and Agency Exclusivity
Standardized RAF Balance Agreement Addendum
This Addendum is intended to apply to all current and future balances as tracked in the PSC Risk Allocation Fund (“RAF”) and is effective upon execution by both parties.
RecitalsWHEREAS, the Bondsman and PSC have entered into a Bondsman Agreement, which requires the Bondsman to indemnify PSC for all losses, costs, and expenses incurred by PSC.WHEREAS the parties desire to establish a standardized repayment structure for all current and future RAF balances without the need to execute additional agreements.NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the parties agree as follows:
Terms & Conditions1. Loss Threshold: Upon execution of this Addendum, if the RAF balance for the Bondsman exceeds $100,000, any amount above $100,000 shall be written off solely for the purpose of reducing the initial balance to $100,000. This write-off applies only to the initial balance at the time of signing this Addendum. Any future losses incurred after the effective date shall be added to the RAF balance and will be subject to the 1.7% monthly penalty charge described in Section 2.2. Automatic Payment: Bondsman agrees to pay 1.7% on outstanding balances monthly (i.e. $1,700 per $100,000) via the attached recurring credit card / ACH authorization form. Such payments shall be automatically charged on the 15th of each month until the Negative RAF balance is paid in full.3. Scope: This Addendum applies to all current and future RAF balances incurred by Bondsman as recorded in PSC's system and may be adapted for use at any starting balance threshold as determined by PSC. It eliminates the necessity of executing new repayment agreements for subsequent balances, provided the finance charge and repayment terms remain in effect.4. Exclusivity: Bondsman agrees to remain an exclusive bail agent for PSC and shall not write new bail bonds for any other surety company from the effective date of this Addendum onward.5. Incorporation: This Addendum is incorporated by reference into the original Bondsman Agreement. To the extent of any conflict, the terms of this Addendum supersede those of the original Agreement.
