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USPS Contract Postal Unit Surety Bond / CPU Bond

What is a USPS CPU Bond?

  • A United States Postal Service Contract Postal Unit Bond or CPU Bond is a surety bond that is required to be posted in order to conduct business as a Contract Postal Unit supplier. Contract Postal Unit is often shortened to the abbreviation CPU. The amount of the surety bond is required to be equal to or greater than the unit’s total accountability to the USPS. The minimum surety bond amount required is $10,000. The surety company writing the bond must be approved by the US Federal Government and appear on the U.S.Treasury's Listing of Approved Sureties (Department Circular 570). By the way, all of our sureties do appear on this list.
  • A Contract Postal Unit (CPU) is defined as a supplier-owned or supplier-leased site operated by the supplier, under contract to the U.S. Postal Service, to provide postal products and services to the public at U.S.P.S. prices. CPUs are not owned or operated by the USPS, instead, they are located inside of a private business, oftentimes a supermarket, pharmacy, college or card shop, and operated by non-USPS employees. CPUs may not provide any service or sell any product above USPS prices.
  • This surety bond provides protection to the United States Postal Service and covers all stamp stock, accountables, and the value of the postage on the meter. A bond waiver will not be approved.
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  • USPS CPU Bonds are individually underwritten so the cost can vary and is primarily dependent on the credit score of the applicant; sometimes, but rarely, personal financials and business financials may be required depending on credit standing. Customers with good credit scores could qualify for rates as low as 1% of the bond amount for the first year with a discount for the second and third year of the initial 3-year term. Of course, we will always provide you with the lowest rates available on the market. And can typically handle all credit types — from excellent to poor — as such those terms vary.
  • For example, applicants with good credit scores (generally 680 or higher) that need a $10,000 surety bond could pay as low as $100 for the first year and $75 per year for the second and third years of the initial 3-year bond term, making the total 3-year cost $250. Applicants needing a $50,000 surety bond could pay as low as $1,250 for the initial 3-year bond term.

The Contract Postal Unit Bond guarantees principal will faithfully account for, deliver, and pay over to the Postal Service or authorized representative all moneys, stamps, postage value available in the postage evidencing system (postage meter), stamped paper, money order stock, mail matter, and all other property of every kind which comes into possession during performance of the contract.

The United States Postal Service administers the contracts. Therefore, the Obligee on the bond form reads as the United States Postal Service.

Contract Postal Unit contracts are valid for an indefinite period of time. CPU Bonds require an initial bond term of 3 years. After the initial 3-year term has ended the bond may be renewed annually. The initial 3-year bond premium payment is required up front. In addition, the surety bond is not cancellable during the initial 3-year term. After the expiration of the initial 3-year term the surety may cancel the bond upon 120 days written notice given to the Postal Service and the Principal.

  • Contact The ProSure Group. As surety bond experts in business over 23 years in Florida, The ProSure Group has handled numerous of bonds of this type and has partnerships with more than 30 different surety companies. This ensures that we get you the best, most competitive pricing and terms available in the marketplace. You just need to complete our simple application and one of our specialists will quickly contact you.
  • We also write these other surety bonds and fidelity bonds:

CPU contracts are only issued when there is a demand for additional postal services in the area. In order to become a USPS Contract Postal Unit supplier, you must send your contact information, including your business name, business address, and phone number to the USPS. A representative from the USPS will then contact you to provide more information.

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USPS Contract Postal Unit (CPU) Surety Bond Experts!
Type Bond Obligee Bond Amount
Miscellaneous USPS Contract Postal Unit Surety Bond (CPU Bond) United States Postal Service
$10,000 Minimum