Federal Contract Postal Unit - MAIL Bond
Overview
Get bonded and authorized to operate a Contract Postal Unit (CPU) under the Federal Mail program — a requirement set by the United States Postal Service before you can provide postal services on the USPS's behalf. Operating a CPU means handling federal mail, postage, and related transactions, and the USPS requires this bond to guarantee you'll perform those duties faithfully and handle funds correctly. Without it, your CPU agreement cannot move forward.
Who Needs This Bond?
If you have entered into — or are applying to enter into — a Contract Postal Unit agreement with the United States Postal Service, this bond is required before you can begin operations. Retail businesses, pharmacies, grocery stores, and other commercial establishments that host CPU locations on behalf of the USPS are the typical applicants. You are the principal on this bond, and the USPS is the obligee.
What is this Bond For?
This bond protects the United States Postal Service against losses caused by the CPU operator's failure to faithfully perform the terms of the contract — including the proper handling of postage, postal funds, and mail transactions. It is a performance and fidelity guarantee, ensuring that the federal postal services you provide meet USPS standards. If you default on your obligations or mishandle postal funds, the bond provides a financial remedy for the USPS.
When is it Required?
Renewal and ongoing compliance are central to this bond — your CPU agreement with the USPS is contingent on maintaining active bond coverage throughout the life of the contract. The bond must be in place before your Contract Postal Unit opens, and it must remain continuously active for as long as you operate under the agreement. Any lapse in coverage puts your CPU contract at risk and can trigger suspension of your postal operations.
Where Does it Apply?
This is a federal bond required by the United States Postal Service and applies nationwide, regardless of which state your Contract Postal Unit is located in. The authority behind this requirement is the USPS and its CPU program, not any individual state agency or local government. Your bond must meet USPS specifications for your specific CPU contract.
How to Buy Online
Click 'Buy This Bond Online' to open the secure surety portal in a new tab and complete your application immediately — no waiting on an agent callback. You'll enter your business information and CPU contract details, then proceed through the checkout process to get your bond issued. Once complete, your bond documentation is ready to deliver to the USPS.
Why Bond Titan?
Bond Titan is powered by The Southern Agency and gives you direct online access to federal surety bonds like this one — no phone calls, no delays, no middlemen. Our nationwide catalog means CPU operators across every state can get bonded in one place. Fast, straightforward, and built for business owners who need to move quickly.