Tennessee Collection Agency License Guide

In Tennessee, individuals and entities which conduct or operate any indebtedness collection business within the state must obtain a Collection Agency license. The Tennessee Department of Commerce and Insurance (Collection Service Board) regulates and supervises all collection agency activity.

Passive debt buyers and entities who engage in debt collection under court order do not require a TN Collection Agency license.

The license application process for new licenses is handled by the Comprehensive Online Regulatory & Enforcement System (CORE) .

You can find all applicable license forms online on the Department's Collections Forms page . If you are interested in engaging in the collection agency business, complete the following forms:

• Collection Agency License application forms are available through CORE.

  • Collection Agency Branch License application forms are available through CORE.

A Collection Agency License is required prior to obtaining a Branch license.

: You may also request the applicable forms by phone at (615) 741-1741.

In addition to a completed, signed, and notarized application form, applicants are also required to provide the following:

• TN Business Verification

  : All applicants must register their business with the Secretary of State.

• Financial Statement

  : All applicants must provide a current financial statement proving that their company maintains a separate fiduciary/trust bank account. The statement must reflect the financial responsibility of said company.

• Monthly Operating Budget

  : A budget of monthly operating expenses must be provided, including the first 6 months of the agency’s operation.

All TN Collection Agency license applicants are required to furnish a surety bond. The bond amount is based on the number of people employed by the agency.

• Bond Amount:

  • $15,000 surety bond for 1 - 4 employees

  • $20,000 surety bond for 5 - 9 employees

  • $25,000 surety bond for 10 or more employees

All fees are non-refundable and non-transferable.

Note: The registration fee must be submitted upon the license approval. The license will be issued once the registration fee has been processed.

• Application Fee

  : $750

• Registration Fee

  : $600

• Solicitor Fee

  : $25 per solicitor

TN Collection Agency license applications – along with all applicable additional documents – must be submitted online through CORE.

For additional information regarding the licensing process and requirements, please contact the Collection Service Board at Collection.Service@TN.gov or (615) 741-1741.