Date Published: April 5, 2021
The Florida Car Dealer Bond is a requirement of the Florida Department of Highway Safety and Motor Vehicles for all motor vehicle dealers to provide a surety bond in addition to a completed application packet.
Why Do You Need This Bond?
If you are to do business in the state of Florida as a motor vehicle dealer, this bond is mandated by the state. This bond carries a statutory renewal date of April 30th and renews annually.
What Does the Florida Car Dealer Bond Guarantee?
The bond guarantees to the state of Florida that the motor vehicle dealer is in compliance with all of the various obligations mandated by the state. Some of these obligations include:
- The principal shall fully comply with the conditions of any written contract made by him/her as such dealer in connection with the sale or exchange of any motor vehicles.
- They shall pay or cause to be paid to any person in a retail or wholesale transaction any loss or damages which such person shall sustain as a result of any failure to comply with the conditions of any written contract made by such dealer in connection with the sale or exchange of any motor vehicle.
- Shall be in full compliance with Chapter 319 or 320 of Florida Statutes.
While chapters 319 and 320 list all the details of compliance, simply put the bond guarantees the dealership is operating in good faith. They are following the rules of the state to protect the consumer.
What is the cost?
The required bond amount is $25,000. With rates as low as 1% of the bond amount, Surety1 has the markets required to get you the best price. Keep in mind the state has separate licensing fees of $200 for each primary location, but this is NOT part of the bond cost. Apply now on our website, or call us at 877-654-2327 anytime to speak to a surety professional.
Surety1 was founded in 2003 and helps thousands of clients find the best prices on their surety bonds. We take pride in our work so that we can give you great service. Learn more about Surety1.