Minnesota Vehicle Title Bond

Communicate With UsIM or Email

Bond Penalty: One and one half times vehicle value as determined by Department of Motor Vehicles

MS 168A.07 addresses the use of a Minnesota title bond to uncloud a defective title document. If an applicant makes application for a certificate of title on a vehicle and the Department is not satisfied as to the ownership of the vehicle OR the existence of any security interests in the same, then the motor vehicle may be registered but the Department will require the applicant to file a title bond in the form and amount required by state law.

The Minnesota certificate of title bond must be issued by a corporate surety licensed to engage in the surety business in the state. The surety bond must be issued in an amount equal to one and one half (1-1/2) times the value of the motor vehicle as determined by the Department. The DMV provides a specific procedure for Minnesota bonded title processing, to wit;

  • The applicant must go to a deputy registrar office and provide the complete vehicle description, including vehicle identification number (VIN).
  • A deputy of the Commissioner will provide the applicant with an Affidavit of Due Diligence, the title bond form and instructions.
  • The deputy will complete part of the the Defective Title Bond (form PS2052) and calculate the bond amount for the applicant.
  • The applicant returns to deputy for completion of the application for a certificate of title (form PS2000).

The bonded title forms are NOT available online. Only a Department official can provide the appropriate forms for this process. The title bond must remain in full force and effect for no less than three years. Unless the Department receives notification of pendency of a claim on the bond and all questions as to ownership and outstanding security interests have been resolved to the satisfaction of the Department, the surety bond is returned to the issuer. Bond cancellation can be allowed prior to the expiration of three years if the vehicle is no longer registered in Minnesota and the currently valid certificate of title is surrendered. A review of the bonded title statute is instructive.

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.

Minnesota surety bond leader, Surety One, Inc. is a specialist in the bonding needs of motor vehicle dealers and private parties with a title defect. We offer same-day issue of vehicle title bonds. 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 Minnesota certificate of title bond requirement.

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