Motor vehicle dealers are required to post a Motor Vehicle Dealer Bond as part of the process to license the dealership. The amount of the bond depends on what type of vehicles are to be sold, the amount of vehicles you plan to sell, and other factors. Read our Car Dealer License Guide to learn more about how to get your dealership licensed and bonded.
Surety BondThe price for the bond, also known as the bond premium, is only a small fraction of the bond amount.
The specific bond amount varies depending on the particular type of vehicle sold:
Since this type of bond is continuous, it remains in full force and effect until it is cancelled. If the bond is cancelled, a written notice of cancellation must be submitted to Title and Registration Bureau in Deer Lodge, Montana. The cancellation will come into effect 30 days after the Bureau receives cancellation notice.
This bond ensures the principal will abide by all Montana state laws and regulations.
The applicant should verify the bond amount with the obligee before applying for the bond to ensure the bond amount is correct.
Surety1 is not directly involved with the licensing process, but we’ve compiled this information which may helpful for you.
State licensing fees and requirements:
All licensing fees are required by the obligee, not the surety company.
Licenses expire on December 31st of each year and must be renewed annually to remain valid. This is required by the obligee, not the surety company.
For more licensing information, visit Montana’s official site.