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Motor Vehicle Dealer Surety Bond

Get licensed faster. Surety One, Inc. provides same-day motor vehicle dealer bonds in all 50 states and Puerto Rico — regardless of your credit history. BBB A+ rated with 20+ years of experience.

Same-Day Approval All 50 States + PR Any Credit Accepted BBB A+ Rated
Apply Free — No Obligation 1-800-373-2804

Quick Facts

Bond TypeLicense & Permit
Required ByState DMV / MVD
Bond AmountSet by State Law
Premium Range1%–10% of Bond
Approval TimeSame Day
Credit RequirementsAll Credit OK
Coverage50 States + PR
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BBB A+ Accredited Business
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4.9 / 5 Shopper Approved Rating
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20+ Years in Business
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Same-Day Bond Issuance
Understanding Your Requirement

What Is a Motor Vehicle Dealer Surety Bond?

A motor vehicle dealer bond (also called an auto dealer bond, car dealer surety bond, or MVD bond) is a type of surety bond required by every U.S. state that licenses auto dealers. It is a three-party financial guarantee involving the dealer (principal), the state government (obligee), and a surety company like Surety One, Inc.

The bond protects consumers and the public by ensuring that the dealer operates in compliance with state laws. If a dealer violates their obligations — such as failing to deliver a clean title, mishandling customer funds, or engaging in deceptive practices — affected parties can file a claim against the bond to recover financial damages, up to the full bond amount.

Bond amounts are set by state law and typically range from $5,000 to $100,000 depending on the state. The annual premium a dealer pays for the bond is a percentage of the total bond amount, usually between 1% and 10%, based on the applicant's creditworthiness and business experience. Some states also require the bond to guarantee compliance with state tax obligations.

What the Bond Guarantees

  • Legal compliance — the dealer follows all state laws and administrative codes governing vehicle sales
  • Record keeping — accurate records of sales, titles, and inventory are maintained
  • Fiduciary responsibility — third-party funds (such as from auto finance companies) are held in trust and disbursed correctly
  • Clean title delivery — clear titles and proper sales documentation are provided to buyers
  • Insurance maintenance — required dealer/garagekeeper insurance is kept in force where mandated
  • Tax compliance — applicable state tax requirements for vehicle and vessel sales are met
Nationwide Coverage

Motor Vehicle Dealer Surety Bond by State

Surety One, Inc. issues motor vehicle dealer bonds in every state. Select your state to view specific requirements, bond amounts, and application details.

Alabama Alaska Arizona Arkansas California Colorado Connecticut District of Columbia Florida Georgia Hawaii Idaho Illinois Indiana Iowa Kansas Kentucky Louisiana Maine Maryland Massachusetts Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada New Hampshire New Jersey New Mexico New York North Carolina North Dakota Ohio Oklahoma Oregon Pennsylvania Rhode Island South Carolina South Dakota Tennessee Utah Vermont Virginia Washington West Virginia Wisconsin Puerto Rico

Don't see your state listed? Surety One, Inc. provides motor vehicle dealer bonds in all 50 states and Puerto Rico. Contact us or download our complete MVD bond guide (PDF).

The Surety One Advantage

Why Choose Surety One for Your Dealer Bond?

Surety One, Inc. is a national surety bond company with BBB A+ accreditation and 20+ years of experience. Here's what sets us apart.

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Same-Day Approval

Most applications are reviewed and bonds issued within the same business day. Get your dealership licensed and operational without delays.

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Any Credit Accepted

Our special programs allow bonding regardless of credit condition — including bad credit, prior bankruptcies, and tax liens. We work with multiple surety carriers to find your best rate.

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All 50 States + Puerto Rico

One application, nationwide coverage. Whether you operate in one state or across multiple states, Surety One handles all of your motor vehicle dealer bonds.

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Free Quotes, No Obligation

Application review and quoting are always free. There is never any obligation to purchase. You only pay when you decide to proceed with your bond.

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Additional Bond Services

Beyond dealer bonds, we also provide certificate of title bonds and lien release bonds commonly needed in dealership operations.

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Multiple Contact Channels

Reach us by phone, email, WhatsApp, Signal, or Telegram. We respond quickly so you can get bonded and back to business.

Common Questions

Motor Vehicle Dealer Surety Bond FAQ

Answers to the most frequently asked questions about motor vehicle dealer bonds, costs, requirements, and the application process.

A motor vehicle dealer bond is a type of surety bond required by state governments for licensing auto dealers. It is a three-party agreement between the dealer (principal), the state (obligee), and the surety company. The bond guarantees that the dealer will comply with all applicable state laws governing vehicle sales, maintain accurate records, handle customer funds properly, and deliver clean titles. If the dealer violates these obligations, consumers or the state can file a claim against the bond for financial damages.
Motor vehicle dealer bond premiums typically range from 1% to 10% of the required bond amount, depending on the applicant's credit score, business experience, and state requirements. For example, if your state requires a $25,000 bond and you have good credit, you might pay as little as $250 to $750 per year. Applicants with poor credit or limited experience may pay higher premiums. Surety One, Inc. offers programs for all credit conditions.
Every U.S. state that requires auto dealer licensing also requires a motor vehicle dealer bond. The bond amount varies by state, ranging from as low as $5,000 to as high as $100,000. Surety One, Inc. provides motor vehicle dealer bonds in all 50 states and Puerto Rico. Popular states include California ($50,000), Florida ($25,000), Texas ($25,000), New York ($20,000), and Georgia ($35,000).
Yes. Surety One, Inc. offers special bonding programs for applicants with all credit conditions, including bad credit, bankruptcies, and tax liens. While applicants with lower credit scores may pay higher premiums, Surety One works with multiple surety carriers to find the most competitive rate available for each applicant's specific situation.
Surety One, Inc. offers same-day bond issuance for most motor vehicle dealer bond applications. Once your application is reviewed and approved, the bond can typically be issued and delivered electronically within hours. There is no charge for application review and quoting, and there is no obligation to purchase.
A motor vehicle dealer bond protects consumers and the state government. It guarantees that the auto dealer will comply with all state laws and administrative codes regulating vehicle sales, maintain accurate records of sales, titles, and inventory, properly handle funds held in trust for third parties such as finance companies, deliver clean titles and clear sales documentation, and maintain required insurance coverage such as garage keeper's insurance where mandated by the state.
A motor vehicle dealer bond and dealer insurance serve different purposes. A dealer bond is a surety product that guarantees the dealer's compliance with state regulations and protects consumers from dealer misconduct. If a claim is paid, the dealer must reimburse the surety company. Dealer insurance (such as garage liability or lot coverage) protects the dealer's own property and provides liability coverage. Both are typically required for licensing, but they are separate products.
Applying is simple: download and complete the Motor Vehicle Dealer Surety Bond Application from suretyone.com, submit it via email to underwriting@suretyone.com or through the website, and receive a free, no-obligation quote — often within the same business day. Once approved, your bond is issued and delivered electronically. You can also contact Surety One directly at 1-800-373-2804 or via WhatsApp, Signal, or Telegram.

Ready to Get Your Dealer Bond?

Free application review. Same-day issuance. All credit conditions accepted.

Apply Now — It's Free

No credit card required. No obligation to purchase.

Raleigh Office

5 W. Hargett Street, 4th Floor
Raleigh, NC 27601

+1 (919) 859-5294

San Juan Office

404 Av. de la Constitución, 7th Floor
San Juan, PR 00901

+1 (787) 333-0222

Reach Us Instantly

Toll Free: 1-800-373-2804
Email: underwriting@suretyone.com

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