Motor Vehicle Dealers - Used Vehicles Only

The Motor Vehicle Dealer bond is a surety bond required by the District of Columbia for businesses engaged in the sale of used motor vehicles. This bond ensures that dealers operate in accordance with DC motor vehicle laws and regulations while protecting consumers from fraudulent or unethical business practices.

Used vehicle dealers in the District of Columbia must obtain this bond as part of their licensing requirements. The bond serves as a financial guarantee that the dealer will conduct business honestly, follow all applicable laws, and fulfill their obligations to customers and the regulatory authorities.

The bond protects both the District of Columbia and consumers who purchase vehicles from licensed dealers. If a dealer violates regulations, engages in fraudulent practices, or fails to meet their legal obligations, affected parties can file claims against the bond for financial compensation up to the bond amount.

This bond requires a coverage amount of $25,000 and has a 2-year term that expires on October 31st, aligning with the dealer's license period. The bond is renewable and must be maintained continuously to keep the dealer license in good standing with DC regulatory authorities.