A native of New Castle, Indiana, Bundy graduated from the West Point in 1883 and began his career as a second lieutenant of Infantry.

As commander of the 16th Infantry Regiment and adjutant of the Army's Southern Department, Bundy was a participant in the Pancho Villa Expedition.

[2] A graduate of New Castle's grammar and high school, Bundy attended Asbury College (now DePauw University) from 1878 to 1879, where one of his classmates was Willis Van Devanter.

[4][5] In 1879, Bundy was appointed to the United States Military Academy (USMA) at West Point, New York, by U.S. Representative Milton S.

[1][a] Several of his classmates would go on to become general officers in their careers, such as Charles W. Kennedy, George H. Cameron, Harry C. Hale, George W. Read, John W. Heard, Ira A. Haynes, Samson L. Faison, William C. Langfitt, Robert D. Walsh, Lawrence Tyson, Charles G. Morton, Tyree R. Rivers, John W. Ruckman, Isaac Littell and Clarence R. Edwards.

[7] At the start of the Spanish–American War in early 1898, Bundy was offered a position as commissary officer with the United States Volunteers, which he declined.

[7] Bundy took part in the July 1898 Battle of El Caney, and received the Silver Star in recognition of his heroism.

[9] Bundy took part in action against the Ladrones (Pirates of the South China Coast) and anti-U.S. government insurgents on Negros Island.

[11] After Bundy's return to the United States in early 1907, he was assigned to duty at Fort William Henry Harrison, Montana.

[12] In July 1914, Bundy was promoted to colonel and in August he assumed command of the 16th Infantry Regiment in El Paso, Texas.

[12] From October 1915 to May 1917, Bundy was assigned as adjutant of the Southern Department, serving in the Pancho Villa Expedition under commanders Frederick Funston (1914–1916) and John J. Pershing (1916–1917).

The division soon sailed for France to form the first part of the American Expeditionary Forces (AEF), which was commanded by Major General John J.

[13] On March 21, the German Army commenced their massive Spring Offensive, which required Bundy's 2nd Division to perform occupation duty in Toulon-sur-Arroux, Rupt, and Troyon.

[13] In July, due to a negative assessment of his performance by Andre W. Brewster, the AEF's Inspector General, Bundy was assigned to command of the newly created U.S. VI Corps.

In his new position, Bundy conducted activities that aided in successful execution of the Belfort Ruse prior to the Battle of Saint-Mihiel in September.

[14] He was not to remain there for very long, however, as later that month Bundy was named to command U.S. VII Corps, which he led until he returned to the United States shortly before the Armistice with Germany on November 11, 1918, which brought an end to hostilities.

[14] From 1920 to 1922, he commanded the Seventh Corps Area at Fort Crook, Nebraska, and in December 1921 he was promoted to permanent major general.

[20] On November 27, 1889, Bundy married Adda Love "Addie" Harden (1866–1953) in a ceremony that took place at New Castle's First Presbyterian Church.