This bond is required by the State of Alabama, Department of Revenue under Title 40, Chapter 12, Article 8 of the Code of Alabama. The bond helps ensure that a car dealership follows all federal, state, and local laws and tax guidelines that pertain to Motor Vehicles. It includes reconditioners, rebuilders, and wholesale dealers. Franchised new car dealers must post a $25,000 bond while all other licensees must post a $10,000 bond and all bonds expire on September 30th each year. The premium on this bond is as low as 1% with the submission of a completed application.
To Obtain an Alabama Used Motor Vehicle Dealer Surety Bond:
- Complete an online application.
- One of our expert commercial surety agents will call and email you with the firm quote and an agreement to sign.
- Provide payment and your signed agreement, then you will receive your bond!
** all bonds are subject to the underwriting terms and conditions of the issuing company.