New Jersey Auto Dealer Bond |
AmeriPro Surety Bonds | 844-589-9732
Auto Dealerships – New Jersey
New Jersey auto dealerships, both new and used, are regulated by the New Jersey Motor Vehicle Commission. As a prerequisite for licensing, auto dealerships are required to furnish evidence of a $10,000 surety bond.
AmeriPro Surety Bonds provides you with the surety bond as either or both a new (first time) and renewal surety bond.
New Jersey Auto Dealer Bond: The Premium and this Surety Bond’s Duration
The $10,000 New Jersey auto dealer bond will have a premium which is typically between 1-3% of the bond’s amount.
An applicant with very good credit may pay as little as $100 annually for this bond; however, the amount that you will pay will be determined by the following:
- A surety bond application;
- Your credit score.
Regarding your credit, AmeriPro Surety Bonds utilizes a soft inquiry which will not affect your credit scoring at all.
According to Commission rules, the bond should have a date that coincides with the license issued by the bureau. Doing so prevents any potential gaps in bond coverage.
Your New Jersey auto dealer bond must have an expiration date which coincides with the licensing year.
The Purpose of this Surety Bond
While the New Jersey auto dealer bond is required of you and your dealership, its benefit are for the Commission and the people of the state of New Jersey. It is not, therefore, an insurance policy.
The bond is essentially a financial guarantee which ensures that you will be in compliance with all laws regulating auto dealerships in the state.
More specifically, this surety bond protects the people of the state of New Jersey from any acts of fraud, theft, or criminal misfeasance or malfeasance in the operations of a dealership.
Such protections offered to your clients extend also to wrong acts committed by any employees, agents, or managers of your dealership.
And while the surety bond is a protection for your customers, you as principal of the bond, would be liable to reimburse the surety for any costs and fees paid against claims on your surety bond.
AmeriPro Surety Bonds is a surety bonds-only agency which provides license and permit, contractor, court, and fiduciary surety bonds throughout New Jersey.
We also provide surety bonds nationwide.
Please contact our surety bond agent today at:
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