West Virginia MVD Bond
West Virginia MVD Bond
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Summary
A West Virginia Motor Vehicle Dealer Bond is a financial guarantee that a motor vehicle dealer will comply with all of the provisions of West Virginia Code §§17A-3-1 et. seq., Title 17A, and any other applicable state and federal laws and regulations pertaining to the sale of motor vehicles and other motor vehicle related activities. The bond is issued by an approved surety company and guarantees that the dealer will comply with the law and fulfill the obligations of their license. The bond amount is determined by the West Virginia DMV based on the number of vehicles sold in the previous year, and the amount may range from $10,000 to $50,000. The bond must be obtained prior to the issuance of the dealer’s license and renewed annually. In the event that a claim is made against the bond, the surety company will pay the claim up to the full amount of the bond. The dealer is then responsible for reimbursing the surety company for any claims paid.
What is an West Virginia Car Dealer Bond?
West Virginia Car Dealer Bonds are required by West Virginia's DMV to obtain your Dealer license. The MVD Bond amount for the sale of New and used vehicles is set at $25,000. 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:
$25,000 surety bond for New and Used Motor Vehicle Dealers, Public Consignment Auction Dealers
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.
Program:
You can buy your West Virginia Car Dealer bond (Apply) online immediately
West Virginia MVD Bond Information and Requirements:
·
Completed
application
·
$25,000
surety bond--bond not required for repo-financial institution, mfg-manufacturer
and trs-transporter.
·
20/40/10
Dealer Liability Insurance *(insurance not required for ls-license service)
·
Personal
property tax receipt in the name of each owner/corporate officer or an
affidavit from the county in which the dealership will be located stating that
no taxes are owed
·
Pictures of
dealership and sign with letters no less than 4” in height
·
A valid
business license in the state of W.V.
·
Garage
agreement if required
·
Franchise
agreement if required
When dealer services receives your application, an
inspector will be sent to fingerprint all owners/corporate officers and to get
signatures on a release of information waiver.
If you or your business needs help in obtaining a surety bond or commercial insurance give us a call!