Many bank jobs required you to be bonded. Since being bonded is a legal matter, it is important that you understand this concept and how it will affect your employment prospects.
Bonding is a generic concept that applies to a variety of jobs. Upon hiring, an employer obtains a policy from an insurance company that will reimburse the business in case of theft. Considering how much money is readily accessible to tellers or other bank employees, bonding can save financial institutions a great deal of money. In fact, certain states legally require banks to use bonds.
When a bank bonds you, it means that it's protected in case you commit a dishonest act, such as theft. It basically implies a significant amount of trust on the bank's part. When a bank officially believes that you can handle thousands of dollars in cash on a daily basis, consider it a compliment about your personal and moral integrity.
In order to be bonded by a bank, you need to be bondable. According to labor employment lawyer, Robert Smithson, being bondable essentially means that "you are considered responsible to be trusted with money." In short, you are bondable as long as you have not been charged with financial crimes like fraud or theft. If you still have questions, the organization's human resources department can provide clarification.
There are different types of bonds, depending on the type of business. Banks specifically use fidelity bonds. Also known as banker's blanket bonds, they can take on a variety of forms. The named schedule fidelity bond is an insurance policy taken on a specific employee. The bank can only make a claim with proof that the employee in question committed theft. The blanket position bond is a fidelity bond that provides broad coverage, so a bank does not have to name the offenders in question. The third and final fidelity bond is the primary commercial blanket bond. This is almost identical to the blanket position bond, except that the primary commercial bond provides a smaller amount of coverage.
Alex Saez is a writer who draws much of his information from his professional and academic experience. Saez holds a Bachelor of Arts in English literature from Queen's University and an advanced diploma in business administration, with a focus on human resources, from St. Lawrence College in Kingston, Ontario.