State of New Hampshire - Certificate Of Title Bond

What is a New Hampshire Certificate of Title Bond?

A New Hampshire Certificate of Title Bond is a type of surety bond required by the State of New Hampshire when an individual needs to obtain a certificate of title for a vehicle but cannot provide the original title document. This bond serves as a financial guarantee that protects the state and any rightful owners against potential losses.

Who Needs This Bond?

New Hampshire residents who own vehicles but cannot locate the original title, have a damaged title, or purchased a vehicle without receiving proper title documentation must obtain this bond before the state will issue a new certificate of title. This commonly applies to situations involving inherited vehicles, abandoned vehicles, or vehicles purchased from private parties who lost the title.

Protection and Coverage

The bond protects the State of New Hampshire and any legitimate prior owners or lienholders who may have claims against the vehicle. If someone later proves they have a valid claim to the vehicle, the bond provides financial compensation up to the bond amount. The bond amount typically equals one and a half times the vehicle's current market value as determined by the state.

Bond Terms

This bond remains in effect for three years from the date of issuance. The coverage amount varies based on the vehicle's value, and bonds up to $50,000 are eligible for instant approval. Higher amounts require additional underwriting and documentation, including credit reports and proof of ownership.