Motor Vehicle Dealers - Used Vehicles Only

The State of New Mexico Vehicle Dealer or Dismantler Bond is a surety bond required by the State of New Mexico for businesses engaged in buying, selling, or dismantling motor vehicles. This bond ensures compliance with state regulations governing the motor vehicle dealer industry.

Vehicle dealers and dismantlers operating in New Mexico must obtain this bond as part of their licensing requirements. This includes used car dealers, auto dismantlers, salvage yards, and other businesses that deal in motor vehicles for resale or parts recovery.

The bond protects the State of New Mexico and consumers from financial losses that may result from the dealer's failure to comply with state laws and regulations. Coverage includes protection against fraudulent practices, failure to transfer titles properly, or other violations of motor vehicle dealer statutes.

Bond amounts are either $12,500 or $50,000 depending on the specific type of operation and state requirements. The bond term is one year with a common expiration date of March 31st for all bonds. This bond is renewable annually to maintain continuous licensing and operation.