Why Would You Need a Lost Title Bond?

Lost title bonds play an important role when it comes to transferring ownership of a vehicle which has a missing or defective title. DMV offices use lost title bonds to ensure that ownership of a vehicle can be properly registered. In this post, we’ll take a look at some of the basics surrounding lost title bonds, so you can be prepared in the event that you need one.

Why Would I Need a Lost Title Bond?

To register a vehicle with a state DMV, a title is required to establish or transfer ownership. There are some situations where verifying ownership with the presentation of a vehicle title is not possible. They include:


  • When a title is defective, lost, or stolen.
  • When a car is bought, but a title is not offered at the time of purchase.
  • When a title is assigned to the wrong person.


In all of these situations, the current vehicle owner would be required by the DMV to obtain a lost title bond before a new title with the correct information can be created.


If you find yourself in one of the above situations, your local DMV office can determine your eligibility for a lost title surety bond.

Who is Involved in a Lost Title Bond?

Just with any other type of surety bond, there are three parties involved in lost title motor vehicle bond. They are:


  • The obligee, which is the entity that requires the bond. In this case, it’s your state government, acting through the DMV.
  • The principal, which is the party that is required to be bonded. This is you if you’re looking for a lost title bond.
  • The surety, who serves as the underwriter of the bond and steps in when there’s a valid dispute against the bond. Viking Bond Service, Inc. is your go-to surety bond provider in this case.


With the title bond in place, the vehicle can be registered to the principal while allowing for a claim to be made on the bond in instances where the vehicle is truly owned by another party.

How Does a Lost Title Bond Work?

The bond provides protections for those that can verify true ownership of the vehicle. If a lost title bond is procured for a vehicle without a title and then another party comes in and can prove that they are the rightful owners of the vehicle, the true owners can make a claim on the bond, up to the bond amount.


The surety is the party that determines whether or not the claim is valid. If it is, then the surety will pay off the claim. Then, the surety will recover these funds from the principal. Ultimately, the principal is required to pay for valid claims made against the bond.

Can I Sell a Car with a Lost Title Bond?

Yes. A bonded title functions just as a normal title would. The difference is that your name may still be on the bond for the duration of the lost title bond, which is usually three to five years, even if you sell the car. You can still be liable for claims made against the bond while the bond is in place.

How Much do Lost Title Bonds Cost?

There are several factors that go into determining the price of a lost title bond. Your local DMV will provide you with the bond requirements, which relate to the established fair market value of the vehicle. Then, your bond premium is calculated as a percentage of the bond amount. This means that you do not need to put up the entire bond amount as payment.


Premium percentages are determined primarily by the credit standing of the person applying for the bond. Typically, lost title bond premiums range from 1% to 3% of the total bond amount. This means that for a bond requirement of $30,000, premiums prices would typically range from $300 to $900.

How Do I Get a Lost Title Bond?

Obtaining a lost title bond is a simple process with a relatively quick turnaround time — with Viking Bond Service Inc., you can get your bond within 24 hours of approval. Usually, all that’s needed to apply for this bond is a lost title bond and a credit check. The entire bonding process, from start to finish, can happen in one or two business days.


Viking Bond Service, Inc. has years of experience with providing lost title bonds all over the country. We realize that dealing with a lost title can be a difficult process, so we do our best to make the process as fast and easy as possible. Our Surety Bond Experts are happy to provide you with assistance every step of the way, from helping to determine your requirements to ensure that your bond holds up for the length of the requirement.


When you’re ready to get your surety bond needs taken care of, give us a call at 1-888-278-7389 or fill out an online application