An Educational Institution surety bond is a license and permit surety bond required by government agencies to receive a license with that jurisdiction for providing private education to its citizens. Schools regulated are both degree and non-degree granting institutions and encompasses a wide variety of schools such as: academic, trade, technical, career, professional, as well as out-of-state institutions with presence, advertisement, and/or recruitment practices in the jurisdiction. Many government agencies only regulate schools that are proprietary, for-profit institutions, but some also require the licensing and bonding of non-profit institutions.
The bonds typically provide security that the institution will provide the educational services promised in its literature and agreements and can sometimes cover all tuition collected by that institution for a given academic period.