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The Surety Bond Claim Process For Car Dealers (And How To Avoid It)

motor vehicle dealer bond claim

A Motor Vehicle Dealer Bond (also known as an Auto Dealer Bond or Car Dealer Bond) is a type of surety bond that protects your customers.

If you fail to fulfill your obligations or follow rules and regulations, someone can make a claim against your bond.

Don’t have a Motor Vehicle Dealer Bond? Get one now.

If you are a licensed car dealer, you’ve probably gone through the process of obtaining a surety bond for your dealership. But what happens if a claim is made against your surety bond?

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4 Easy Steps To Get A Nebraska Auction Dealer License And Bond

nebraska auction dealer license

 

If you plan on selling motor vehicles through auctions in the state of Nebraska, you must get a Nebraska Auction Dealer License. All Nebraska Dealer Licenses are issued by the Nebraska Motor Vehicle Industry Licensing Board.

This article is for auction dealers. If you wish to be any other licensed dealer in Nebraska, view our other post “How to get a Nebraska Dealer License”

To apply for a Nebraska Auction Dealer License, complete the following 4 steps:

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How to Get a Nebraska Dealer License In 5 Easy Steps

how to get a nebraska dealer license

Are you interested in buying or selling cars, trucks, motorcycles, or trailers in the state of Nebraska? State law requires all dealers to have a Nebraska Dealer License. To get your Nebraska Dealer License, you will need to complete a series of steps.

Not sure if you need a dealer license? Check out this post on selling cars without a license.

If you wish to become an auction dealer, please view our other post: How To Get a Nebraska Auction Dealer License.

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7 Steps – How To Get A Michigan Car Dealer License

michigan dealer license

If you wish to sell more than 5 vehicles in a 12-month period in the state of Michigan, you will need to have a Michigan Dealer License.

You are legally allowed to sell less than 5 vehicles a year if those vehicles are titled in your name and used primarily for personal, family, or household use. If you will need to get a dealer license if you wish to flip vehicles for a profit.

Not sure if you need a dealer license? Check out this post on selling cars without a license.

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5 Steps On How To Get A Wholesale Car Dealer License In Arizona

arizona wholesale car dealer license

There are two Arizona wholesale dealer license types available:

  • Arizona Wholesale Dealer – dealer that cannot sell vehicles to the general public, but can only sell to other licensed dealers. May operate from their home residence as their licensed place of business.
  • Arizona Wholesale Auction Dealers – dealers that provide auction services solely in wholesale transactions to licensed motor vehicle dealers. Wholesale Auction Dealers do not buy, sell, or own the motor vehicles he/she auctions.

To become an Arizona wholesale car dealer, you must get an Arizona Wholesale Dealer License.

Not sure if you need a dealer license? Check out this post on selling cars without a license.

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5 Steps – How To Get A Florida Franchise Motor Vehicle Dealer License

florida franchise dealer license

There are six Florida license types. All vehicle dealer licenses are administered and regulated through the Florida Department of Highway Safety and Motor Vehicles.

A Florida Franchise dealer license allows you to sell new motor vehicles under an agreement with a manufacturer. A Florida Franchise dealer license also allows you to sell used vehicles.

If you wish to only sell used vehicles, please see our post on how to get a Florida Used Dealer License.

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How To Get A Tennessee Dealer License: 7 Easy Steps

tennessee dealer license

The Tennessee Motor Vehicle Commission handles all new Tennessee dealer license applications. To become a car dealer in Tenneessee, you must first meet the requirements: Requirements for eligiblity.

You are legally allowed to sell up to 5 vehicles a year without a Tennessee Dealer License, as long as those vehicles are registered in your name. (Check out the bill that mentions this rule.) If you wish to flip vehicles for a profit, you will need to get a dealer license.

Not sure if you need a dealer license? Check out this post on selling cars without a license.

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