Motor Vehicle Dealer Bond (MVD)
A motor vehicle dealer bond (also called auto dealer bond, used car dealer bond, or dealer bonds) guarantees payment of taxes, judgments, and compliance with law. This bond must be obtained prior to licensure and the amount of the bond varies from state to state.
The surety bond industry as a whole has become much more conservative in recent years when reviewing motor vehicle dealer bonds; lower rates are still available for those who qualify, but those with lower credit scores, or no credit, will be placed in a high-risk market.
We are able to place high-risk MVD bonds through our bad credit surety bond program. This program applies to both those with poor credit, and to those who have no credit history. Surety companies are risk adverse, assuming zero loss in the bonds they write, it is for this reason that those with no credit cannot be placed in the standard market.
