Motor Vehicle Dealers - Used Vehicles Only

The State of Missouri Motor Vehicle Dealer Bond is a surety bond required for businesses engaged in buying, selling, or dealing in motor vehicles within the state. This bond ensures compliance with Missouri's motor vehicle dealer regulations and protects consumers from fraudulent or unethical business practices.

Who Needs This Bond: Class 3 franchise dealers and Class 4 independent motor vehicle dealers must obtain this bond to receive and maintain their Missouri dealer license. Additionally, any lease or rental company operating motor vehicles, trailers, boats, or outboard motors in Missouri requires this bonding.

Coverage and Protection: The bond protects the State of Missouri and consumers who may suffer financial losses due to the dealer's violation of state laws or regulations. Coverage amounts are $50,000 for most dealers, while lease and rental companies require $100,000 coverage. The bond guarantees that dealers will conduct business honestly, follow all applicable laws, and fulfill their obligations to customers.

Bond Requirements: This is an annual bond that must be renewed yearly to maintain active dealer status. Class 3 franchise dealers need a signed application with business and personal indemnity plus a clean credit report. Class 4 dealers require additional business and personal financial statements along with the standard documentation.