Obtaining a Title for your Vehicle using a Surety Bond
Applying for a title, without the required ownership documents, you may be able to file a Surety Bond as a condition of getting the vehicle titled in your name. It could be the documents are unavailable, lost, destroyed or were never received.
This surety bond is known by various names, depending on the State. Names include Defective Title Bond, Motor Vehicle Ownership Surety Bond, Certificate of Title Bond, Indemnity Bond, and Title Bond.
What is the purpose of the bond?
The bond doesn’t protect you; it protects the state from you in case someone with the title claims that the vehicle is theirs. In addition, it protects any prior or subsequent purchaser of the vehicle against loss or damage by the issuance of a Title Bond to the bondholder.
Who needs the bond?
Some states do not have a bond requirement and often different states have different requirements. Below is a summary of the steps necessary to obtain a Bonded Title for a car, or other motor vehicle:
Step 1: Contact your State’s Department of Motor Vehicles
- Make sure that a surety bond is required by your state’s DMV. In some states, you aren’t required to post a bond to obtain a title. However, other states will not issue a title even with a bond.
- Get your bond amount from your state’s DMV. Some states dictate the bond amount. Other states base the bond amount on the “Bluebook” value, or as a multiple of the vehicle’s value. For instance, in Alabama, the DMV will give you a bond form with the amount completed. This bond form must be submitted with your application for the bond.
- Complete the easy-to-navigate online application.
- Provide the VIN number of the vehicle, as well as make, model and year.
- Verify that all information entered is correct. This will avoid a change rider fee.
- Bond amounts up to $7,500, premium + fees = $150.00 or less.
- Bond amounts in excess of $7,500, an agent will provide a firm quote for the bond.
This is a one-time fee. The bond does not renew.
Step 3: Submit your bond to your state’s DMV
- Turn the original bond that has a raised seal and wet signature into your State’s DMV.
Note: Surety1 will not write bonds for vehicles with salvage titles, or for vehicles in Texas that have a lien listed on the title.
Surety1, an AssuredPartners Agency is a bond-only agency located in Rancho Cordova, CA. Since 2003, Surety1 has been a premier provider of surety bonds nationwide and maintains an A+ rating from the Better Business Bureau.
Our team of surety bond professionals are available Monday – Friday, 8 am to 4:30 pm, Pacific time.