The Iowa Motor Vehicle Dealer Bond is required by the State of Iowa in the amount of $75,000. The bond states that the bondholder shall faithfully comply with all statutes of the State of Iowa, regulating or applicable to the business of the dealer. In addition, the bond shall protect person(s) in connection with any motor vehicle or towable recreational vehicle. This includes loss or damage as a result of the failure of the dealer to comply with the Iowa Code. Including the furnishing of a proper and valid certificate of title.
Who needs the Iowa Motor Vehicle Dealer Bond?
Motor Vehicle Dealers and Towable Recreational Vehicle Dealers must be licensed with the Iowa Department of Transportation, Office of Vehicle & Motor Carrier Services. Licensed Dealers are required to post a bond as part of the licensing process.
Since the Iowa Motor Vehicle bond is continuous, it is in full force and effect until cancelled. If the bond is cancelled, a written notice of cancellation must be submitted to the Department of Transportation at least 30 days before the cancellation date.
Read our Car Dealer License Guide to learn more about how to get your dealership licensed and bonded.
What are other licensing requirements?
Surety1 is not directly involved with the licensing process. However, we’ve compiled the following information which may be helpful.
State licensing fees and requirements:
- Surety bond
- License application
- Supporting documents for license application
- Proof of sales tax license
- Credit report
- Background check
- Completed education courses approved by the Division
- Licensing fees
For more licensing information, visit Iowa’s official page.
How do I get an Iowa Motor Vehicle Dealer Bond
First, start the process by completing our easy to navigate, free online application form. Then, after your application has been submitted, one of our surety agents will contact you with a no-obligation quote on the bond premium. After that, once you are ready to move forward, you just need to pay the premium and sign the agreement. Lastly, your bond will be mailed to you by USPS Priority Mail. Overnight delivery is also available for an additional fee.
Surety1 has been in the business since 2003. We are licensed in all 50 states and our services have earned an A+ rating from the Better Business Bureau.