New Hampshire Motor Vehicle Dealer Surety Bond
A New Hampshire motor vehicle dealer surety bond — officially called a “Vehicle Dealer’s Bond” — is a required license bond for retail vehicle dealers, motorcycle dealers, wholesale dealers, and utility dealers within the State of New Hampshire. The New Hampshire Department of Safety, Division of Motor Vehicles (DMV) requires all selling dealer license applicants to post a $25,000 surety bond. New Hampshire is a no sales tax state and uses a unique March 31st expiration date with biennial even-year renewals. Surety One, Inc. offers quick, no-hassle underwriting for New Hampshire motor vehicle dealer bonds.
Bond Amount & Requirements
New Hampshire Revised Statutes Annotated RSA 261:98 (Title XXI, Chapter 261) requires all selling dealer license applicants to file a $25,000 surety bond. The bond must include a raised seal, original signatures, and must be in the exact name and physical address of the dealer. The bond is for the use and benefit of any purchaser or other person who suffers a loss.
| Bond Amount | License Type | Bond Required? |
|---|---|---|
| $25,000 | Retail Vehicle Dealer | Yes |
| $25,000 | Motorcycle Dealer | Yes |
| $25,000 | Wholesale Dealer | Yes |
| $25,000 | Utility Dealer | Yes |
| N/A | Repair Dealer | No — Exempt |
| N/A | Transport Dealer | No — Exempt |
Important — March 31st Expiration & Biennial Renewal: New Hampshire is one of the only states with a March 31st license expiration date (not December 31st or the anniversary of issuance). Licenses renew biennially on even-numbered years (2024, 2026, 2028). If a dealer becomes licensed during an odd-numbered year, they must renew during the next even year and biennially thereafter. Repair dealers and transport dealers are exempt from the bond requirement. New Hampshire is also a no sales tax state. All applications are subject to approval by the town or city where the dealer is applying.
Who Needs This Bond?
New Hampshire requires a retail dealer license for anyone who sells five (5) or more motor vehicles at retail to the general public in a 12-month period, with an established place of business. The bond applies to:
- Retail vehicle dealers — $25,000
- Motorcycle dealers — $25,000
- Wholesale dealers — $25,000
- Utility dealers — $25,000
Exempt from bond: Repair dealers and transport dealers.
How Much Does the Bond Cost?
The cost is a small percentage of the $25,000 bond amount, determined by credit, financials, and experience. Surety One, Inc. offers competitive rates for all credit profiles. Quoting is free of charge with no obligation to purchase.
New Hampshire Dealer License Requirements
- Completed Application for Retail Dealer License and Registration
- $25,000 surety bond with raised seal and original signatures in exact business name and address
- Criminal background check (criminal records required with application)
- Registration with the NH Secretary of State (RSA 349:1) — copy of good standing required
- Permanent physical structure of at least 750 square feet dedicated primarily to the business, with permanent heating and electric
- Business sign with letters at least 10 inches in height, clearly visible from a traveling vehicle on the adjacent public way
- Regular business hours of at least 37.5 hours per week
- Current lease or statement of lease good standing (if tenant)
- Service agreement with a currently licensed inspection station (original signatures)
- Manufacturer franchise or contract (new vehicle dealers)
- Town or city approval of the application
- License fee: $125 for retail dealer license
Filing, Renewal & Cancellation
The original bond with raised seal must be filed with the DMV Dealer Desk. All licenses expire March 31st and renew biennially on even-numbered years. The bond must be maintained at all times during the license. If the bond is canceled or rescinded, the dealer license must be surrendered. After cancellation notice, the bond remains on file for 60 days before being officially canceled.
Bond Claims
Claims may be filed by any purchaser or other person who suffers a loss due to the dealer’s failure to comply with New Hampshire dealer regulations, including failure to deliver title, failure to collect registration fees, and fraudulent or deceptive business practices.
New Hampshire Department of Safety
Division of Motor Vehicles — Dealer Desk
23 Hazen Drive
Concord, NH 03305
Phone: (603) 227-4000
Email: DealerDesk@dos.nh.gov
Web: dmv.nh.gov
Surety One, Inc. is the New Hampshire surety bond expert provider, licensed in all fifty states, U.S. territories, and Canada. We offer competitive rates for New Hampshire motor vehicle dealer bonds and all other license bond classes. Call us at (800) 373-2804, email Underwriting@SuretyOne.com, or chat with a live underwriter for immediate assistance.
Surety bond application review and quoting are free of charge. There is no obligation to purchase.
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