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Washington Motor Vehicle Dealer Bond

Motor vehicle dealers in the state of  Washington are required by law to post a surety bond before conducting business.


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What is a Washinton Motor Vehicle Dealer Bond?

Auto dealer bonds are a requirement in most states in the US. This Washington motor vehicle dealer bond acts as an agreement between three separate parties, the vehicle dealer (principal), the Washington Department of Motor Vehicles (obligee), and the surety company. The surety bond ensures the consumer that they are safe from any illegal business or fraud committed by the licensed dealer. By posting this bond, the licensed dealers agrees to abide by Washington’s Statues and laws when conducting business. 

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Bonding Solutions | Washington Motor Vehicle Dealer Bond
Bonding Solutions | Washington Motor Vehicle Dealer Bond
Bonding Solutions | Washington Motor Vehicle Dealer Bond

How much will Washington Motor Vehicle Dealer Bond Cost?

The pricing of your auto dealer bond depends on your personal credit and other industry regulations. The Washington State Department of Licensing requires motor vehicle and vessel dealers, registered tow truck operators, wreckers, and vehicle manufacturers to obtain surety bonds. Pricing is shown below:

  • Mobile Home Manufacturer: $40,000
  • New or Used Vehicle Dealer: $30,000
  • Travel Trailer Manufacturer: $20,000
  • Vessel Dealer or Registered Tow Truck Operator: $5,000
  • Wrecker: $1,000

Surety bonds are subject to underwriting based on industry experience and credit. You only pay a percentage of the full amount based on your personal credit history. Typically you will pay between 0.5% to 10% of the full bond.

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Why is this Washington Auto Dealer Bond Required?

Posting a Washington motor vehicle dealer bond obligates the auto dealer to abide by the state statutes and laws. The surety bond is posted to protect the consumer from any fraud or illegal business activity. If the auto dealer harms any consumer, the public can make a claim against the full bond amount.

How do I get a Washington Auto Dealer Bond?

Obtaining an auto dealer bond with Bonding Solutions is simple. Begin with our two-minute online application or call. After we receive the application information we will send you our pricing and terms of the requested bond. Lastly, you pay for your surety bond then we email and ship it to you the same day.

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Additional Resources

State of Washington- Vehicle/Vessel Dealer, Vehicle Manufacturer, Registered Tow Truck Operator, or Wrecker Business Bond Form

Washington Motor Vehicle Dealer Bond Information



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