NAC645F.610. Surety bonds: Independent licensee may deposit substitute form of security in lieu of bond; amount deposited must equal amount of bond; interest or dividends accrue to depositor.

     1. As a substitute for the surety bond required by NAC 645F.605, an independent licensee may, in accordance with the provisions of this section, deposit with any bank or trust company authorized to do business in this State which is federally insured, in a form approved by the Commissioner:

     (a) An obligation of a bank, savings and loan association, thrift company or credit union licensed to do business in this State which is federally insured;

     (b) Bills, bonds, notes, debentures or other obligations of the United States or any agency or instrumentality thereof, or guaranteed by the United States; or

     (c) Any obligation of this State or any city, county, town, township, school district or other instrumentality of this State, or guaranteed by this State.

     2. The obligations of a bank, savings and loan association, thrift company or credit union must be held to secure the same obligation as would the surety bond. With the approval of the Commissioner, the depositor may substitute other suitable obligations for those deposited which must be assigned to the State of Nevada and are negotiable only upon approval by the Commissioner.

     3. Any interest or dividends earned on the deposit accrue to the account of the depositor.

     4. The deposit must be in an amount at least equal to the required surety bond and must state that the amount may not be withdrawn except by direct and sole order of the Commissioner. The value of any item deposited pursuant to this section must be based upon principal amount or market value, whichever is lower.

     (Added to NAC by Comm’r of Mortgage Lending by R052-09, eff. 8-25-2009)