Obtaining a Pennsylvania Motor Vehicle Dealer License involves several steps, including meeting eligibility requirements, completing an application, and obtaining a surety bond. Here’s a detailed overview of the process:
- Eligibility Requirements:
To be eligible for a Pennsylvania Motor Vehicle Dealer License, you must meet the following criteria:
- Be at least 18 years of age
- Be a U.S. citizen or lawful permanent resident
- Have a clean criminal record
- Have a high school diploma or equivalent
- Have at least two years of experience in the motor vehicle industry
- Pass the National Automobile Dealers Association (NADA) Dealer Education Certification Program
- Application Process:
The application process for a Pennsylvania Motor Vehicle Dealer License involves the following steps:
- Create an account on the PennDOT Dealer Services website
- Complete the online application form
- Provide personal and business information
- Attach supporting documents, including proof of residency, financial statements, and business licenses
- Submit the application and pay the required fee
- Surety Bond:
You will need to obtain a Pennsylvania Motor Vehicle Dealer Bond. The amount of the bond is determined by PennDOT based on your financial condition and the volume of motor vehicles you anticipate selling or leasing. However, the bond amount must be at least $20,000.
- Fingerprints and Background Checks:
You will need to submit your fingerprints to PennDOT for a criminal background check. The background check will be used to verify your criminal history and ensure that you meet the eligibility requirements for a dealer license.
- Inspection of Your Business Location:
A PennDOT representative will inspect your business location to ensure that it meets all applicable regulations, including zoning requirements, signage requirements, and accessibility standards.
- License Issuance:
Once you have completed all of the application requirements and passed the inspection, PennDOT will issue your Pennsylvania Motor Vehicle Dealer License. The license is valid for two years and must be renewed annually.
- Ongoing Requirements:
As a licensed motor vehicle dealer, you must comply with all applicable laws and regulations, including:
- Maintaining a Pennsylvania Motor Vehicle Dealer Bond of at least $20,000
- Complying with titling and registration laws
- Disclosing material facts about vehicles to potential buyers
- Providing accurate information on dealer contracts
- Keeping accurate records of all transactions
- Reporting odometer readings correctly
- Cooperating with PennDOT investigations
Failure to comply with these ongoing requirements can result in disciplinary action, including fines, license suspension, or revocation.