What is an Alabama Automotive Dismantler and Parts Recycler Bond?
Understand the what, why, and how of this surety bond!
Here’s why you need an Automotive Dismantler and Parts Recycler Bond:
✓ You purchase or dismantle wrecked or repairable vehicles
✓ You sell the hulk of a vehicle after some parts have been removed
✓ You have or will have 10 or more inoperable motor vehicles for more than 30 days
Do you meet the criteria above? Good! Now read on to know more!
Any person in the State of Alabama may not operate as an automotive dismantler or parts recycler without first obtaining a license from the Severance and License Section of the Alabama Department of Revenue Business and License Tax Division.
One of the major prerequisites of the said license is a surety bond.
The surety bond will act as a guarantee that the licensed automotive dismantler or parts recycler will do the following:
- Fulfill its duties according to the state law
- Compensate any person who has suffered damages due to the misconduct committed by the licensed automotive dismantler or parts recycler
What is the bond amount?
The bond amount is $25,000.
If you have an excellent credit score, you may be eligible to pay a very low bond premium or as little as 1% of the bond amount!
Find out if you need to pay for this bond today! Get your FREE QUOTE HERE!
What are the Automotive Dismantler and Parts Recycler Bond conditions?
- The surety bond should be issued by a surety bond agent or company that is authorized to conduct business in Alabama
- The surety bond should be made payable to the State of Alabama
- The licensed automotive dismantler or parts recycler is obligated to comply with Section 40-12-410 through Section 40-12-425 of the Code of Alabama 1975, the rules and regulation of the Severance and License Section of the Alabama Department of Revenue Business and License Tax Division, and all the other applicable rules
- If the licensed automotive dismantler or parts recycler commits a valid violation, the aggrieved party will be eligible to file a claim on the surety bond
How can I obtain an Automotive Dismantler and Parts Recycler Bond?
You can easily obtain this bond by following these simple steps:
STEP 1: Apply
If you are ready to submit your application for this type of bond, you may easily do it HERE!
Don’t worry! We will guide you through the whole process.
STEP 2: Underwriting
Once we have received your application, we will ask you for a couple of important details needed for the underwriting process. This will include your financial history, your job performance history, and your credit score. An expert underwriter will evaluate all those.
STEP 3: Bond Execution
After you have satisfied the underwriter’s checklist, the bond will immediately be issued and sent to you!
Do you still have more questions about this bond? Ask us HERE! We’ll be glad to help you!