How to get your license: Collection agencies

What type of license do I need?

Collection agency—in state

If your business directly or indirectly solicits claims for collection, collects, or attempts to collect claims for clients located in Washington State, you will need a Collection Agency License.

Collection agency—out of state

If your business collects or attempts to collect claims from Washington State residents on behalf of businesses located outside of Washington State, you will need an Out-of-State Collection Agency License. You cannot have or solicit businesses located in Washington with this type of license.

Requirements

• Collection agency licensees must obtain a trust account and maintain an office in Washington State, managed by a Washington resident.
• You may not begin business activity until you receive a Registrations and Licenses document listing the required license.
• Washington is a closed-border state, and you must have a license before contacting debtors or soliciting clients in Washington.

How do I apply for an in-state or out-of-state Collection Agency License?

1. Complete the following forms:
   • A Master Business Application
   • A Master Business Application Supplement for Collection Agency, Branch Office, and Out-of-state Collection Agency Office for each business location.
   • A Financial Statement, current within the last 3 months, showing the following:
     • Liabilities.
     • Assets of $7,500, of which $5,000 must be cash and $2,500 can be cash or equivalent
   • A Collection Agency or Out-of-State Collection Agency Surety Bond completed by your insurance company. The insurance company must attach their power of attorney form to this form.
   • A list of persons with more than 20% interest in the business.
   • If applying for more than one location, a Location Addendum for each additional location.
2. Enclose the appropriate fee.
3. Mail your application with all supporting documents and fees to:
   
   Collection Agency Licensing Program
   Department of Licensing
   PO Box 9034
   Olympia, WA 98507-9034

Note: Please be sure to notify our office in writing of any address changes.