Missouri Auto Dealer Bond
Get Your Missouri Motor Vehicle Dealer Bond Through Viking Bond Service
With over 380 new car dealerships and $19 billion in annual sales according to data from the National Automobile Dealers Association, Missouri is an excellent state to start selling vehicles. writes Missouri Motor Vehicle Dealer bonds. We can assist clients whether they have good credit or bad credit. Typically, the worse the credit, the higher the surety bond premium will be. In either case, we always work to get the best quote for you. Viking has partnered with markets that welcome Missouri Motor Vehicle Dealer bond applications and provide competitive quotes for them.
Missouri Auto Dealership Bond Explained
The Missouri Motor Vehicle Dealer bond is a License Surety Bond that serves to protect Missouri's citizens by providing a path for recourse in situations where an Auto Dealer does not adhere to the laws, rules, and regulations as set in Missouri state legal statutes. Every state is different, so when it comes to needing an auto dealer bond, Missouri may require it as part of the Motor Vehicle Dealer licensing and/or vehicle registration process.
In Missouri, the required Motor Vehicle Dealer bond amounts are as follows:
- Missouri, Motor Vehicle Dealer bond requirement – $25,000 Surety Bond
- Missouri, Powersport Dealer bond requirement – $25,000 Surety Bond
- Missouri, Boat Dealer bond requirement – $25,000 Surety Bond
- Missouri, Emergency Vehicle Dealer bond requirement – $25,000 Surety Bond
- Missouri, Trailer Dealer bond requirement – $25,000 Surety Bond
- Missouri, Special Even Motor Vehicle Auction bond requirement – $100,000 Surety Bond
You should always check with the Missouri Department of Revenue Motor Vehicle Bureau, or requesting agency, for the most current required Missouri Motor Vehicle Dealer bond amount as well as the required bond forms.
What Parties are Involved in a Missouri Auto Dealer Bond?
Missouri auto dealer bonds are an agreement between three equal parties:
- The auto dealer is the principal. The principal is responsible for obtaining the bond, renewing it on schedule, following its mandates and paying for any claims filed against the bond.
- The Missouri Department of Revenue is the obligee. The obligee is the party that requires the bond and has the right to file claims against the bond if the principal (the auto dealer) does not follow state rules.
- The company that issues the bond is the surety. The surety guarantees that the obligee will be paid for any valid claims. After paying, however, the surety will collect the same amount from the principal.
Who Needs an Auto Dealer Bond in Missouri?
If you plan to sell, barter or lease more than six vehicles (including boats, motorcycles, and ATVs), you must have a license. Having a Missouri auto dealer bond is a condition for getting a license, meaning that almost everyone in the business of auto sales in Missouri has a bond. Since you will need to get a bond and then a license before you can start selling vehicles, it's worthwhile to apply for a bond ASAP.
How Are Auto Dealer Bonds in Missouri Obtained?
You obtain a bond by working through a surety company like Viking Bond Service. After filling out an application, underwriters at the surety will evaluate your credit risk before quoting you a price for the bond premium. Once you pay the premium, you will be given a form proving you have an active bond that you will submit with the rest of your Missouri auto dealer license application.
The Cost to Obtain an Auto Dealer Bond in Missouri
The cost of a Missouri motor vehicle dealer surety bond is a just a small fraction of the total value of the bond, usually 1-3%. So if your bond is worth $25,000 (meaning it will cover claims up to that amount) the actual cost will probably be less than $1,000. Premium prices are calculated based largely on your credit history, meaning that applicants with low scores or bankruptcies will pay slightly more. However, it's rare that someone who is able to pay the bond premium is denied because of their past credit mistakes.
How to Renew a Missouri Auto Dealer Bond
Missouri auto dealer surety bonds are active for 12 months. Beyond that, they are considered expired, which also invalidates your auto dealer license. When you renew a bond your credit will be reevaluated and your premium will be recalculated based on any changes. That means your premiums could go up or down on an annual basis. You can't legally operate an auto dealership without an active Missouri auto dealer bond, so renewal needs to be a top priority. Viking Bond Service will help manage your renewal by contacting you well before the bond expires to get the renewal process completed.
How Viking Bond Service Can Help You Get an Auto Dealer Bond in Missouri
Viking Bond Service has everything you need to obtain a Missouri motor vehicle surety bond that meets all the state's requirements. Better still, we make it easy and affordable to get the bond you need fast. Our team of bond experts are here to answer all your questions about bonds, costs or anything else. It takes just a few minutes to complete our online application, and our underwriters will have a quote back to you within 24 hours in most cases. If your goal is to obtain a bond and form a partnership with a quality surety company, Viking Bond Service is your clear choice.
Request a Missouri Motor Vehicle Dealer Bond Quote
What's the next step? Feel free to call us a 1-888-278-7389 for more information or reach out through the contact form on this page. Or skip those steps and get the ball rolling by filling out a quick online application for a Missouri motor vehicle bond.
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