Alabama Vehicle Title Bond

An Alabama certificate of title bond is a mechanism available for motor vehicles which have never been titled, the title was lost in delivery, a previous owner never sought a title or there is an error or defect in an ownership transfer such as when a previous owner cannot be located or refuses to sign the title transfer document. Title bond requests cannot be made on vehicles purchased for parts, salvage, or without an engine.

The application process for a bonded title in Alabama is simple and may be initiated online here. After completing the initial application the Title Registration Division will require the following, per the Division. The original outstanding title with the assignment completed listing the applicant as buyer. If the original title is not completed listing the applicant as buyer, then the following must also be provided: a copy of the Bill of Sale containing the VIN, or most current registration in the name of the applicant If the applicant does not have the original outstanding title, the following must be provided: a copy of the Bill of Sale containing the VIN, or most current registration in the name of the applicant. If the appropriate documents are not provided, the Division will not allow an Alabama title bond filing.

When determining the bond penalty (amount) of the Alabama certificate of title bond, the Division does not have to follow formulas based on the current or past vehicle values. The Division requires surety companies and applicants to follow the "standardized bond amounts", as follows:

1. Trailers:
   1. Less than five (5) model years old - $25,000
   2. Five (5) model years old but less than ten (10) model years old - $10,000
   3. Ten (10) or more model years old - $5,000
2. Passenger vehicles and pickup trucks:
   1. Less than five (5) model years old - $50,000
   2. Five (5) model years old but less than ten (10) model years old - $25,000
   3. Ten (10) or more model years old - $10,000
3. Trucks, buses and recreational vehicles:
   1. Less than five (5) model years old - $100,000
   2. Five (5) model years old but less than ten (10) model years old - $50,000
   3. Ten (10) or more model years old - $25,000
4. Motorcycles:
   1. Less than five (5) model years old - $25,000
   2. Five (5) model years old but less than ten (10) model years old - $10,000
   3. Ten (10) or more model years old - $5,000
5. Manufactured homes *:
   1. Less than (10) model years old - $50,000
   2. Ten (10) or more model years old - $25,000

The Alabama bonded title process is more restrictive than many other states that allow title bonding however the online portal lessens the paperwork burden and facilities quick titling. Questions about the title bond process may be to directed to the DMV.

Motor Vehicle Division/Title Section
Surety Bonds Unit
PO Box 327640
Montgomery, AL 36132-7640

As part of the certificate of title bond underwriting process we must request some evidence that the applicant legally possesses the motor vehicle. Examples of "ownership evidence" can be a bill of sale, power of attorney, receipt, canceled check or money order, temporary registration/maker, affidavit of legal possession or endorsed copy of at title. Need a bill of sale format? See "What We Need From You" on this page for a template.

Alabama surety bond leader, Surety One, Inc. is a specialist in the bonding needs of motor vehicle dealers and private parties that wish to access the bonded title process. We offer same-day issue of motor vehicle title bonds in ALL states that require them. Questions about this or another surety bond? Call us at (800) 373-2804, email us at Underwriting@SuretyOne.com or click here for live chat about your Alabama certificate of title bond requirement or the Alabama title bond process.

Surety bond application review and quoting are free of charge. There is no obligation to purchase.

What We Need From You