What is a Mississippi Motor Vehicle Dealer Bond?

Know what this bond is for and how to get one fast!

A new Motor Vehicle Dealer is required by the Mississippi Motor Vehicle Commission to furnish a surety bond to guarantee that the following obligations will be adequately fulfilled:

  • Selling or exchanging of new motor vehicles, as well as used motor vehicles
  • Buys, sells, or exchanges at least 24 motor vehicles of the same category per year
  • Has a place of business that is open for inspection by the Chairman of the Mississippi State Tax Commission or a peace officer

The surety bond will also serve as a means to financially compensate any person that will suffer damages in case the Motor Vehicle Dealer commits a fraudulent act.

The requirement complies with Section 63-17-51 of the Mississippi Code Annotated.

 

What is the Motor Vehicle Dealer Bond amount?

The bond amount is $25,000.

If you have an excellent credit score, you will be eligible to pay for a low bond premium or just 1% of the bond amount!

Check out what you need to pay by getting your FREE SURETY BOND QUOTE HERE!

 

What are the bond conditions?

  • The surety bond agent or company should be authorized to conduct business in the State of Mississippi
  • The surety bond should be made payable to the State of Mississippi
  • The licensed motor vehicle dealer is obligated to comply with the provisions of Title 63 of the Mississippi Code Annotated, the rules and regulations of the Mississippi Motor Vehicle Commission, and all the other applicable rules
  • If the licensed motor vehicle dealer commits a valid violation, the aggrieved party will be eligible to file a claim on the surety bond
  • The surety bond will run concurrently with the motor vehicle dealer’s license

 

How can I get a Motor Vehicle Dealer Bond?

To secure this type of bond, the new Motor Vehicle Dealer must seek the assistance of a surety bond company.

You will be asked to apply for this bond. If you’re ready to apply for one right now, you may easily do so HERE!

Once the application is received, the surety bond company will immediately process it. In our case, one of our expert surety bond agents will guide you through the whole process from the time you applied for the bond. We will make sure that you understand all the conditions before we issue the bond.

An underwriter will then evaluate the following:

  • Your financial strength
  • Your job/business performance history
  • Your credit score

Once the pre-qualification process is fulfilled, we will execute the bond and send it to you!

If you have any questions about this surety bond, please do not hesitate to ask us. Call us at 800-333-7800!