What the City of Pontiac, MI Pawnbroker / Secondhand Dealer Bond ($3,000) is for
The regulator usually requires this bond before it issues the license. It protects customers' money if the business breaks the rules.
The bond amount is set by the agency, utility or fund that asks for it. If the bond holder doesn't meet their obligations, a valid claim is paid up to that amount, and the bond holder repays the surety.
What the price depends on
The surety's published rate. You see the final price before you pay.