The Pennsylvania Manufacturer/Dealer and Full/Issuing Agent (Multiple Locations) Bond starts at $100 plus shipping costs and fees. Fill out the form to buy your bond instantly!
Auto dealer surety bonds (also called motor vehicle dealer bonds) are mandated by the Pennsylvania Department of Transportation as part of the licensing requirements for dealerships to conduct business in the state. The Department of Transportation sets the total bond amount based on the type of dealership license:
The surety company determines your premium rate, which is the percentage of the total bond amount you pay as the premium. Premium rates for Pennsylvania auto dealer bonds typically cost between 1% and 3% of the total bond amount.
During the application process, the surety company evaluates your personal credit, financial statements, industry experience, and licensing history. Applicants with good credit generally receive the lowest rates, however, bad credit will not prevent you from securing a Pennsylvania auto dealer bond. EZSurety still offers competitive rates to individuals with low credit scores or other financial issues.
Below are the lowest premiums EZ Surety has issued for auto dealer surety bonds in the State of Pennsylvania.
Pennsylvania auto dealer bonds provide protection for customers, creditors, and the state government. When a Pennsylvania motor vehicle dealer posts a surety bond, they provide a guarantee to the state’s Department of Transportation (the Obligee) that they will conduct business in compliance with the conditions listed in the Statutes of Pennsylvania, Title 75.
If the auto dealer fails to comply with the statutes, the surety company will pay out financial losses to damaged parties up to the full bond amount. The auto dealer is liable to reimburse the surety for any damages paid under the bond.
To obtain your auto dealer license in Pennsylvania, you must complete and submit a mail or online application (Form SPOA 2602D) and provide the following documents:
Car dealers must submit a $65 initial licensure fee with the license application and post the appropriate surety bond for each place of business.
You’ll know if you need a surety bond because some entity will have required you to obtain one. They must also inform you of which specific bond type you’ll need. There are thousands of bonds across the country, all of which vary by state and industry.
Visit EZSuretyBonds.com to browse hundreds of bonds by state, type, or industry.