New York Motor Vehicle Dealer Bond
AmeriPro Surety Bonds | 844-589-9732
New York Motor Vehicle Dealers
As a condition for licensing as a car dealer in New York state, you are required to file and maintain a motor vehicle surety bond.
The bond’s requirement is as per state law; and the bond’s obligee is the New York State Department of Motor Vehicles.
AmeriPro Surety Bonds offers you this surety bond for first-time and renewal applicants in the amount required by law.
New York Motor Vehicle Dealer Bond: The Amount of Bond Required of You
Beginning March 28, 2017, the NY Department of Motor Vehicles updated the surety bond required of wholesale and retail motor vehicle dealers in the state.
The New York motor vehicle dealer bond is now required in one of 3 amounts.
The breakdown is as follows:
- Dealers, wholesale or retail, who sold 50 or fewer used vehicles in the previous calendar year are required to file a $20,000 NY motor vehicle dealer bond;
- Dealers, wholesale or retail, who sold more than 50 used vehicles in the past calendar year are required to to obtain a $100,000 NY motor vehicle dealer bond;
- Dealers who are applicants for the sale of new vehicles, or who are renewing applicants of new vehicles sales, must obtain a $50,000 surety bond.
New York Motor Vehicle Dealer Bond: The Purpose of this Surety Bond
The purpose of the New York auto dealer bond is to protect the public, your customers, from acts of fraud, theft, or criminal misconduct on the part of a licensed vehicle dealer in the performance of their professional duties.
The bond’s purpose is strictly for the protection of the public; it is not a protection at all for the vehicle dealer, though it is required for licensing.
Should a claim ever be paid on your motor vehicle surety bond, it is the legal responsibility of you, as the bond’s principal, to reimburse the surety for all costs involved in satisfying the claim.
New York Motor Vehicle Dealer Bond: The Premium or Cost of the Surety Bond
The price (premium) for your auto dealer surety bond will depend on the amount of bond required, and your credit score.
Our agency will work for you to get the best surety bond pricing no matter what your credit profile is like.
We can accept your application from you right over the phone with our helpful surety agent.
In fact, it is frequently better to proceed this way, so as to be able to field any questions that you may have immediately during the application process. We are easy to speak with and very willing to help.
New York Motor Vehicle Dealer Bond: Duration
Once purchased, your motor vehicle surety bond will renew on an annual basis.
Ideally, you’ll want to have your dealer bond run concurrently with the motor vehicle dealer license so as to prevent any lapse in bond coverage which could present a problem with the licensing authority.
AmeriPro Surety Bonds is a surety bonds-only agency which provides license and permit, court, contractor, and fiduciary bonds throughout New York state.
Our agency is personable, professional, and we will work for you to obtain the best motor vehicle bond pricing.