How to Get a Bonded Title in Texas: 6 Simple Steps

bonded title in Texas

If you intend to sell a vehicle in the state of Texas without a title, you need to obtain what’s known as a title bond or lost title bond. The sale can’t proceed without one until you provide one of these surety bonds.

Therefore, it’s important to understand how the bonded title procedure in Texas works and what it means for you. The surety experts at Viking Bond Service are here to make the process easy. Then, just follow the six simple steps below detailing how to get a bonded title in Texas. 

Understanding Bonded Titles in Texas

Before learning how to get a bonded title in Texas, let’s be sure you understand what it does for you. A Texas title bond is a type of surety bond that establishes you as the legal owner of your vehicle, even though the original title is unavailable. The police and the DMV accept the bonded title as proof of ownership. With the title bond, you are legally entitled to sell the vehicle. But what’s to stop you from claiming ownership of your ex’s jag? That’s where the surety bond comes in. It creates a financial incentive for only the valid owner to take out a title bond. It also creates a mechanism for enforcement.

If someone takes out a fraudulent title bond, swearing they are the legal owner when they aren’t, the true vehicle owner can file a claim against the bond. Once the claim is investigated, the bond provides money for the genuine owner. But it also requires you to pay back the claim, as well as legal fees and penalties. More on this in the first step to getting a bonded title in Texas is below.

Benefits of Getting a Bonded Title

If you purchase a car without a title or lose the title to your car, you’ll need a title bond. You must have a valid car title or title bond before legally selling or scrapping your car in Texas. The title bond legally establishes the bondholder as the vehicle’s owner.

The DMV is also protected when you get a bonded title in Texas. The bond application and funds provide a mechanism for suing the person who fraudulently takes out a title bond. So, the DMV can help drivers who lost their titles without risking lawsuits.

Texas Bonded Title Application: Requirements and Cost

To get a bonded title in Texas, you must be a legal Texas resident or a military member stationed in Texas. Then, download and complete the Texas bonded title application. As part of the application, you must explain why your title is missing and why you’re applying for the bonded title. 

In addition to the $15 filing fee, you’ll need to pay for the title bond. The DMV requires a bond equal to 1.5 times the value of your car. So, if your car is worth $10,000, you’ll need a $15,000 title bond. Fortunately, the title bond’s cost is just a tiny fraction of the bond value, typically 1% – 5%. The better your credit score, the lower your premium will be.

Now, let’s see how to get a bonded title in Texas.

Step 1: Understand the Title Bond

Before getting a bonded title in Texas, you should understand exactly how these agreements work. They are legal contracts between three parties involved: the Principal (the bond title applicant), the Obligee (the DMV), and the Surety (the bonding agency).

A bonded title in Texas allows the DMV to confirm you as the valid owner of your vehicle. However, if your claim is fraudulent and later it comes to light that someone else is the true vehicle owner, the bond provides a resolution.

If another person is the true owner of the vehicle you acquired a title bond for, that person or the DMV can file a claim against the bond seeking damages equal to the vehicle’s value. If the surety verifies the claim is valid, they will immediately pay out the damages. 

Afterward, the bond titleholder must repay the settlement costs (plus interest and fees) to the surety agency. The bondholder always has the financial obligation for claims. Texas and all other states require title bonds to discourage people from seeking fraudulent titles by holding them accountable for any and all damages that result from their illegal actions. 

Step 2: Contact the DMV

The Texas Department of Motor Vehicles (DMV) regulates and oversees all vehicle sales in the Lonestar State. If your vehicle does not have a title and you plan to sell or transfer ownership to someone else, you must first ask the DMV to issue a new title.

If the DMV determines that you are the vehicle’s rightful owner and issues a replacement title, you will not need to obtain a bonded title in Texas. However, if the DMV cannot establish ownership, you will be required to get a bonded title in Texas. If that’s the case, you must show proof of having the bond before the DMV issues the title.

Step 3: Complete the Documents

The next step in how to get a bonded title in Texas is to submit the documents for your application. That process involves gathering paperwork, paying a $15 filing fee, and providing proof of vehicle ownership.


The necessary paperwork includes:

Proof of rightful ownership can include:

  • A bill of sale for the vehicle.
  • An invoice for the vehicle cost.
  • A copy of a check used to purchase the vehicle. 

Lastly, if the vehicle was registered in another state, you will need to take it to a registered Texas Vehicle Inspection Station to confirm the Vehicle Identification Number (VIN). 

Step 4: Receive Approval

The DMV will review the Texas bonded title application documents from the previous step. How long this takes can vary. The DMV also has the right to deny your application for a bonded title. For example, your application will likely be rejected if your vehicle has a lien against it. Cars subject to liens are often rejected for bonded titles due to the high likelihood that an ownership dispute will result in a bond claim. 

Step 5: Procure a Title Bond in Texas

Once the Texas DMV approves your bonded title, the next step is to acquire the required bond.

To get a bonded title in Texas, you’ll need to do the following:

  • Find a surety agency that issues title bonds in Texas.
  • Apply for the bond. (In most cases, the application process involves a credit check and a standard bond application.)
  • Wait for underwriters at the surety agency to evaluate your application materials and quote a bond price. 
  • Pay for the title bond.

Remember that the DMV requires a bond equal to 1.5 times your vehicle’s value. But the premium you pay will be just a tiny fraction of the bond value – between 1% and 5%, based on your credit score. If you have troubled credit, you can expect to pay more. However, at Viking Bond Service, you can get bonded even with a rocky credit history. Our bad credit bonding program works with you to help you get bonded for the lowest possible price. 

Step 6: Apply for a Bonded Title

The final step to getting a bonded title in Texas is here!

Once you have paid for the Texas title bond, you will receive a document proving you’ve met the DMV’s bond requirement. You must supply that document and several others to the county tax office, which handles title-related issues. By this step in the process, you likely have most of the necessary documents on hand.

Applications for bonded titles must be received within 30 days of your obtaining the title bond. Once the DMV issues a bonded title, it remains in effect for three years, after which the DMV issues a traditional title for the same vehicle. 

And with that, you now know how to get a bonded title in Texas. 

Viking Bond Service – Serving All of Texas

The steps to get a bonded title in Texas can seem like a hassle, especially if you’re eager to get rid of the vehicle. Count on Viking Bond Service to make things simple and seamless. Complete our online application and expect to receive a competitive title bond quote in as little as 24 hours. You can also contact us online or call 1-888-2-SURETY (1-888-278-7389) to have all your questions answered.