Auto dealer bond cost
The Delaware Division of Revenue requires motor vehicle dealers to post $25,000 surety bonds to legally operate within the state. Surety Bonds issues these bonds for varying prices depending on the applicant’s personal credit report.
Applicants with strong credit could qualify to pay as low as $250! Applicants with less-than-stellar credit shouldn’t be discouraged from applying for the bond they need. Why? Because our experts have a history of helping 99% of applicants qualify for their bonds quickly and easily regardless of financial credentials.
Why this bond
Delaware auto dealer bonds are put in place to ensure that principals (motor vehicle dealers) conduct business in compliance with the provisions of Chapter 30 of the Delaware Code.
If the principal fails to conduct business ethically and lawfully, the bond protects consumers who become injured by any wrongful act, omission, default, fraud or misrepresentation committed by the dealer up to the full bond amount.
Motor vehicle dealer bond details
Delaware auto dealer bonds remain in full force and effect for the period of time that the dealer conducts business in the state. The surety can cancel the bond by giving written notice of cancellation to the Delaware Division of Revenue at least 30 days before the effective date of cancellation.
Become a motor vehicle dealer
The licensing requirements for auto dealers in Delaware vary based on the type of dealership the dealer plans to run. Options include:
- New vehicle dealership
- Used vehicle dealership
- Wholesale dealership
- Mobile home dealership
- Vehicle auction service
- Vehicle repossessor
Licenses have a set expiration date of December 31st. More licensing information can be accessed from the Additional information section of this page.
Apply for your surety bond
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