Vermont MVD Bond

Vermont MVD Bond

Apply »


A Vermont Motor Vehicle Dealer Bond is a bond that is required by the Vermont Department of Motor Vehicles (DMV) in order to obtain a motor vehicle dealer license. The bond ensures that a dealer will comply with all laws, rules, and regulations governing the sale of motor vehicles in the state of Vermont. The surety bond also protects consumers from any financial loss caused by a dealers fraudulent practices. The bond amount is set by the DMV and can range from $10,000 to $100,000 depending on the type of dealership. The bond must be renewed annually and any claims against the bond are the responsibility of the surety company.

What is a Vermont Car Dealer Bond? 

Vermont Car Dealer Bonds are required by Vermont's AOTDMV to obtain your Dealer license. The MVD Bond amount for the sale of New and used vehicles is set at $20,000.  The Auto Dealer bond ensures that the principal shall comply with the conditions of any contract made by such licensee in connection with the sale or exchange of any motor vehicle and shall not violate any of the provisions of law relating to the conduct of the business for which it is licensed.

The State requires a Car Dealer bond for each license you hold:  

$20,000 surety bond for New and Used Motor Vehicle Dealers, Public Consignment Auction Dealers and any other type of dealer

Different parts of a bond:

 There are 3 parts to a MVD surety bond. The Principal "YOU", The Surety Company, and the Obligee. The Principal is the business or individual applying for the MVD Surety Bond. The Obligee  is the individual or entity requiring the Surety Bond and the Surety Company is the company who provides the Surety Bond coverage.

Try our 100%  Secure MVD Bond Online Application to get the Lowest Lost title bond rates in all 50 States.


You can buy your Vermont Car Dealer bond (Apply) online immediately

Vermont MVD Bond Information and Requirements:

A new or used car dealer registration shall not be issued unless the dealer has provided the Commissioner with a surety bond issued by an entity authorized to do business in Vermont in an amount set forth in subsection B of this section.

The amount shall be based upon the dealer’s sales in the year prior to the year for which the application is being made, or in the case of a 2 year dealer registration the previous two years as follows:

Less than 25 vehicles $20,000. 25 to 100 vehicles $25,000. 101 to 250 vehicles $30,000.  251 or more vehicles $35,000

 If the applicant was not registered as a dealer in the year immediately prior to the year for which the application is being made, the amount shall be $35,000.00.


 1. Forms shall be available upon request from the Commissioner

2. Only such forms or identical forms independently produced shall be used

Apply »