What is an Alabama Certificate of Title Bond?

Know the how-to of this surety bond today!

Before you get into a full panic mode because you’ve lost your certificate of title, breathe.

That can easily be replaced by obtaining a surety bond!

This surety bond is required in certain cases wherein the Motor Vehicle Division of the Alabama Department of Revenue is not satisfied with the evidence presented regarding the ownership of a vehicle.

The surety bond will serve as a guarantee that should any valid security interest emerge after the certificate of title has been issued, the said person or persons will be justly compensated.

This requirement is in compliance with Section 32-8-36 of the Code of Alabama.

 

What is the bond amount?

The bond amount will vary. See the standardized surety bond amount for different vehicles below:

TYPE OF VEHICLE	BOND AMOUNT
TRAILERS ·        Less than 5 model years old ·        Five model years old but less than 10 model years old ·        More than 10 model years old	$25,000 $10,000 $5,000
PASSENGER VEHICLES & PICK UP TRUCKS ·        Less than 5 model years old ·        Five model years old but less than 10 model years old ·        More than 10 model years old	$50,000 $25,000 $10,000
TRUCKS, BUSES, & RECREATIONAL VEHICLES ·        Less than 5 model years old ·        Five model years old but less than 10 model years old ·        More than 10 model years old	$100,000 $50,000 $25,000
MOTORCYCLES ·        Less than 5 model years old ·        Five model years old but less than 10 model years old ·        More than 10 model years old	$25,000 $10,000 $5,000
MANUFACTURED HOMES ·        Less than 10 model years old ·        More than 10 model years old	$50,000 $25,000

 

Those who have excellent credit scores will be eligible to pay as little as 1% of the bond’s amount!

If you want to know what you need to pay right now, GET YOUR FREE QUOTE HERE!

 

What are the Certificate of Title 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 Motor Vehicle Division of the Alabama Department of Revenue
• The surety bond will compensate the vehicle’s previous owner, lienholder, purchaser, or any other security interests and their respective successors
• The surety bond will be returned to the Principal upon the following conditions:
• After three years, so long as there are no pending legal action
• The vehicle is no longer registered in Alabama
• The valid certificate of title is returned to the Department

 

How can I obtain a Certificate of Title 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!

Ready to start on your bond? APPLY HERE!