Massachusetts Motor Vehicle Dealer Bond - #1 Surety for MVD Bonds

Massachusetts Motor Vehicle Dealer Bond

Motor vehicle dealers, also referred to as auto dealers are required by the DMV to obtain a surety bond before operating any business in the state of Massachusetts. 

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What is a Massachusetts Motor Vehicle Dealer Bond?

In Massachusetts, like in many other states, auto dealers are required to obtain a Motor Vehicle Dealer Bond as part of their licensing process. This surety bond serves a vital role in ensuring public trust in the automotive industry. It acts as a pledge that the dealer will adhere to all state laws and regulations related to vehicle dealing. The bond forms a three-party contract involving the dealer, the surety company, and the Commonwealth of Massachusetts. Its primary purpose is to offer protection to consumers and the state against fraudulent or unethical practices by the dealer. By posting this bond, vehicle dealers in Massachusetts demonstrate their commitment to conducting business in a lawful and ethical manner. The bond is a prerequisite for obtaining a dealership license, and it must be in place before the dealer can legally engage in any business activities within the state.

Bonding Solutions has served dealer clients for over 20 years; our proprietary programs allow us to offer industry-low rates. Get a quote now.



Bonding Solutions | Massachusetts Motor Vehicle Dealer Bond
Bonding Solutions | Massachusetts Motor Vehicle Dealer Bond
Bonding Solutions | Massachusetts Motor Vehicle Dealer Bond

How Much Does a Massachusetts Auto Dealer Bond Cost?

Each state determines surety bond amounts, but the vehicle dealer is not required to pay the total bond amount. Auto dealers are only required to pay a percentage of the full bond amount based on the applicant’s credit and industry experience. Massachusetts requires used motor vehicle dealers to post a bond of $25,000

Excellent credit and industry expertise can qualify you for a rate as low as 0.5%. However, regardless of your credit, Bonding Solutions can help you get a low rate on your motor vehicle bond.

Why is a Massachusetts Motor Vehicle Dealer Bond Required?

A surety bond is posted to ensure the consumer that they will not be wronged financially by the vehicle dealer, for example, by fraud or knowingly selling a stolen vehicle. Massachusetts requires used auto dealers to post the bond to ensure the vehicle dealer abides by Chapter 140, Section 58 of the General Laws, as amended by Chapter 422 of the Acts of 2002.

Acquiring your surety bond is made simple at Bonding Solutions. Get your free quote today.


How do I get an Auto Dealer Bond in Massachusetts?

Getting started is made simple at Binding Solutions. Begin by completing our two-minute online application or call. After we receive your application information, we will send you pricing and terms. Once you pay for the surety bond, we will email and send you your bond the same day.

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Additional Resources

Massachusetts Motor Vehicle Statutes and Regulations

Massachusetts Registry of Motor Vehicles

Massachusetts Registry of Motor Vehicles FAQS

What is a Bonded Title and Why is it Needed?

Surety Bond List

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