How much does a Georgia bonded title cost?
The cost of your Georgia title bond depends on the amount of the bond determined by the Georgia Department of Revenue. According to state law, the bond amount for a bonded title in Georgia must be equal to two (2) times the average retail value of the vehicle and no less than $5,000.
When the Department determines the amount of your title bond, you can proceed with contacting a surety agency and requesting to obtain the surety bond. The surety will then supply you with a quote on your bond. The bond cost usually is a small percentage of the full bond amount. If you get a 1.5% quote and your bond amount has been set to be $20,000, you will need to pay a $300 bond rate for your Georgia title bond.
The cost of your bond is determined by the surety company which backs the bond, based on financial information about the applicant. Personal credit score is the most important indicator taken into account by sureties– although financial statements, personal liquidity and other factors are also important. Credit score is used as a predictor of the reliability of an applicant, and whether they are likely to repay a claim on the bond if one should arise.
A percentage rate between 1% and 3% is typically offered to those applicants who have a credit score of 700 FICO or above.
Read our surety bond cost guide for more detailed information and advice on reducing your bond rate.
Options for applicants with bad credit
Even if you don’t have a FICO credit score of 700 or above, you can still get bonded.
Thanks to our Bad Credit Program, applicants with a low or nonexistent credit score who want to get a bonded title in Georgia, or want to transfer ownership of their vehicle, can get the bond they need. The only difference between these applicants and applicants with higher scores is the slight difference in rates. Applicants under our Bad Credit Program can expect to get a bond at a rate between 3% and 10% of the total amount of their title bond.
What’s the purpose of a Georgia title bond?
The Georgia title bond is required when a person wants to obtain a new vehicle title from the Georgia Department of Revenue’s MVD. A new title may be required if it has been lost, for example, but it may also be required when transferring ownership of a vehicle.
In this case, the title bond is an agreement between the applicant for the title, the MVD, and the surety bond company. It provides protection to the MVD in case, for example, the vehicle receiving a new title has been stolen and does not rightfully belong to that person. The surety bond, in this case, protects the MVD from having to pay any compensation to a claimant.
If a claim is filed against the bond by a future or previous owner of the vehicle, the surety bond company investigates the claim and may compensate the claimant. The person who has violated the surety bond agreement (the one applying for a new title) must then repay the surety for the compensation it has extended.
Find out what may be the cause for a claim to be filed against a title bond in the section below.
Georgia bonded title holders
The Georgia Motor Vehicle Certificate of Title Bond (MV-46) states that a claim can be made against the title bond when:
- A lien holder, prior owner, security interest holder or subsequent purchaser of the vehicle experiences any losses or damages due to the issuance of the title bond
- There is a defect or undisclosed security upon the right, title, and interest of the bond principal in and to the vehicle
How to apply for a bonded title in Georgia?
Before you apply for a new title at the Georgia MVD you must be sure that you are eligible to do so. According to the eligibility criteria:
- You must be a legal resident of Georgia
- Your vehicle must require a new Georgia title
- You cannot apply for a title for an abandoned vehicle
- Your vehicle cannot be a 1985 or older year model
If you are eligible, then the procedure for obtaining a new bonded title in Georgia looks like this:
If you don’t have any information about your vehicle, start by collecting any previous records of the vehicle that you can find. Contact your local MVD and request them to run a vehicle search and provide you with the results.
If the MVD cannot provide you with any information, contact the previous owner and request that they provide you with any information they may have. Information at the MVD may also be missing if there was a lien against the vehicle. When speaking to the previous owner, find out whether there has been a lien and whether it has been lifted.
Have the vehicle inspected at the MVD. Upon inspection, request that the inspector fills out Form T-22B Certification of Inspection, as well as Form T-128 Missing Serial Plate Affidavit if your vehicle’s serial plate is missing.
Contact your County Tag Office to receive a bond amount for your title bond. Once you know the amount, contact a surety bond agency and obtain your Georgia title bond (Certificate of Title Bond MV-46).
Complete all remaining documents for your title bond application. These include your Title/tag application form (MV-1), Certificate of title bond affidavit (MV-46A), a title history report from the National Motor Vehicle Title Information System (NMVTIS), a Notice of Satisfaction of Security Interest or Lien Holder Affidavit (if applicable) and any other ownership papers. You will also be required to pay a $18 title fee.
Once you have completed all the above papers, submit them to your local County Tag Office for processing and review.
If you have any questions regarding obtaining a bonded title in GA, contact the Georgia Department of Revenue MVD for more information.
If you want to know more about the Georgia title bond requirements, feel free to call us at 866.450.3412 anytime. We’ll be happy to hear from you!