Illinois Motor Vehicle Dealer Bond

An Illinois motor vehicle dealer bond is a type of surety bond that is required by the Illinois Secretary of State for all licensed motor vehicle dealers. The bond amount is $50,000 and it guarantees that the dealer will comply with all applicable laws and regulations, including:

• Collecting and remitting sales taxes and registration fees
• Issuing temporary registration plates
• Processing title transfers
• Handling vehicle registrations and renewals
• Responding to customer inquiries and complaints

An Illinois Designated Agents Bond for Vehicle Dealer is the same as an Illinois Motor Vehicle Dealer Bond. The two terms are used interchangeably

Why do you need a bond?

The surety bond is in place to protect consumers from financial losses if a dealer fails to comply with the law or misappropriates consumer funds. For example, if a dealer collects sales taxes from consumers but fails to remit them to the state, the surety company that issued the bond will be liable for the unpaid taxes. Similarly, if a dealer misappropriates a consumer’s deposit, the surety company will be liable for the loss.

How to get an Illinois motor vehicle dealer bond

At Surety1.com we make it easy to obtain this surety bond. Our simple, three step process is:

1. Complete the easy to navigate and secure online application. ¹
2. Review the free, no obligation quote from one of Surety1’s professional surety bond agents, usually within one business day.
3. Sign some paperwork and pay the bond premium

Once these steps have been completed, the Surety Bond will be shipped to the bond applicant.
^{1 -The name of the applicant on the surety bond application must match exactly the full legal business name of applicant for the license.} 

Surety1.com is a service of AssuredPartners one of the largest and fastest growing insurance agencies in the nation. Representing over a dozen surety bond companies, Surety1.com is the premier online provider of surety bonds nationwide since 2003.

How much does the surety cost?

The cost of an Illinois motor vehicle dealer bond varies depending on a number of factors, including the bond amount, your financial information, and your credit history. However, the premium is typically 1% to 3% of the bond amount.

If you are a licensed motor vehicle dealer in Illinois, you are required to have a motor vehicle dealer bond. This bond protects consumers from financial losses if a dealer fails to comply with the law or misappropriates consumer funds. To get an Illinois motor vehicle dealer bond, you must apply to a surety company. The cost of the bond varies depending on a number of factors, but the premium is typically a small percentage of the bond amount.