The Michigan Vehicle Dealer Bond is required by the Michigan Department of State at $10,000 for applicants who want to be a new vehicle dealer, used vehicle dealer or want to have a broker’s license.
What is the purpose of the Michigan Vehicle Dealer Bond?
This surety bond serves as like an insurance policy that assures the state that you will conduct your business as a professional. The bond states that the bondholder and surety shall indemnify or reimburse any purchaser, seller, financing agency, or governmental agency for any monetary loss only after judgment based on fraud, cheating, or misrepresentation has been entered in a court record against the licensee.
Where can I get a Michigan Vehicle Dealer Bond?
Surety Solutions Insurance Services, Inc., (Surety1) can provide this bond simply by completing our easy to navigate, online application. Once you submit that, our licensed agents will call you to tell you how much you will need to pay to get the surety bond. Once you pay the quoted price and sign the agreement, we will send you the bond right away. We usually send it through USPS Priority Mail, but if you need to get it faster, you can choose overnight delivery but it will cost you more.
Our company, Surety1, was established in 2003. Our headquarters are located in California, but we are licensed in all 50 states. We are one of the best in the business as proven by our A+ rating from the Better Business Bureau.
What do I need to do to get a Vehicle Dealer License?
Although we are not involved with licensing applicants, we have compiled this list to help you in the application process.
- Complete the application form
- For new and used vehicle dealers, you must have Michigan No-fault fleet type insurance
- Must have zoning and municipal approval
- Must have an established place of business
- Pay the appropriate license fees
Michigan Vehicle Dealer Bond
- Required by: Michigan Secretary of State
- Minimum Bond Amount: $10,000
- Maximum Bond Amount: Varies
- Valid: Continuous- Renewable
The price for the bond, also known as the bond premium, is only a small fraction of the bond amount.
For more licensing information, visit Michigan’s official page.