Used car dealer bond cost
The West Virginia Department of Motor Vehicles requires used auto dealers in the state to post a $25,000 surety bond.These bonds are subject to underwriting, which means the price you’ll pay for your bond depends on a review of your personal credit report.
Applicants with strong financial credentials could qualify to pay as low as $250! Don’t let less-than-stellar credit stop you from getting the bond you need. Surety Bonds offers an exclusive bad credit bonding program through which we approve 99% of all applicants for the bonds they need quickly, easily and accurately.
Why this bond
By posting a West Virginia used motor vehicle dealer bond, principals (auto dealers) pledge to not practice any fraud or make any fraudulent representation that cause financial loss to purchasers, sellers, financial institutions/agencies or the state while on the job. Violations of this bond include:
- failing to have an established salesroom
- willfully defrauding any retail buyer
- employing fraudulent devices, methods or practices
- using unfair methods of competition
- knowingly advertising statements that are untrue, misleading or deceptive
If the auto dealer fails to practice business ethically and lawfully, the bond protects harmed parties from financial loss up to the full bond amount.West Virginia used auto dealer bonds expire annually on June 30. Because of this, your bond premium could be prorated depending on when you buy it.
Our team of surety experts works hard to get you bonded according to your specific needs.The surety can cancel the bond at any time by providing written notice of cancellation to the West Virginia DMV within 30 days of the cancellation of the bond.
How to become a used car dealer
To become licensed to sell used cars in West Virginia, applicants must submit the following:
- completed application
- $25,000 surety bond
- 20/40/10 Dealer Liability Insurance
- personal property tax receipt in the name of each owner/corporate officer or an affidavit from the county in which the dealership will be located stating that no taxes are owed
- pictures of dealership and sign with letters no less than 4” in height
- valid business license in West Virginia
- garage agreement, if required
- franchise agreement, if required
- All individual salespeople at the dealership must be licensed.
Complete licensing information can be accessed via the Important Links section of this page. Begin the licensing process by purchasing the surety bond you need!
Apply for your surety bond
Get a FREE West Virginia used auto dealer bond Quote Today! Click here to begin