Jersey health club bond cost
New Jersey Health club facilities must post a $30,000 health club surety bond. The cost of this bond varies and is based on a review of the applicant’s credit report. With strong credit financials, you could pay just 1% of the bond amount, or just $300! Applicants with less-than-stellar credit shouldn’t worry. We can still get you the bond you need quickly, easily and accurately.
Why this bond
New Jersey health club bonds ensure that the principal (health club) will honestly and faithfully comply with the rules stated in their customer contracts and with all of the provisions found in the New Jersey Statutes Annotated, specifically Title 56:8-42. If a health club goes bankrupt or ceases to operate unexpectedly, the surety bond will protect members who have prepaid membership dues from financial loss.
Need more specifics about this surety bond? Fill out our online bond request form to connect with a health club bond specialist. We can answer all of your questions and provide you with a personalized bond quote within 1 business day of submitting an application.
Health club bond details
All health clubs must be registered with the Director of the Division of Consumer Affairs prior to posting a bond. The bond will be effective at 12:01 a.m. on the signed date. This bond will remain in full effect until canceled by the surety, which must provide 60 days’ notice to the Director of the Division of Consumer Affairs prior to the cancellation date.
Health club facilities can’t offer their customers contracts that last more than 3 years or force clients to pay down payment charges that exceed 25% of the contract price. A customer must be given 3 business days to cancel his or her health club contract.
Become a health club
Prior to conducting business, all health club operators must register their health club with the Division of Consumer Affairs. Applicants will be responsible for paying a $300 registration fee. All registrations expire February 10th of the 2nd year. If a health club operator runs more than one health club facility, each location of business must be registered separately.
Apply for your surety bond
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- New Jersey Health Clubs Consumer Brief
- New Jersey Office of the Attorney General Application for Registration as A Seller of Health Club Services
- New Jersey Statutes 56:8-39 (Health Clubs)
- State of New Jersey Department of the Treasury Division of Taxation Tax Notes – Initiation Fees, Membership Fees and Dues (09/13/07)