Auto Dealer Bonds – Arkansas
Jet Insurance Services works hard to deliver low prices with one-of-a-kind customer service. Bonds in Arkansas are required for new, used, motorcycle, ATV, UTV, and scooter dealers, as well as lessors, in order to do business within the state. Select Let’s Roll below to begin the application process, which can be done in under a minute.
Once the application is submitted, Jet works fast to deliver a quote which will be delivered via an email link and can then be purchased directly online.
Cost of a Motor Vehicle Bond.
By shopping with various A-rated carriers, Jet works hard to deliver the lowest prices in the market. Dealer’s personal credit is the main factor that determines the cost of the bond, but there are other factors looked at as well.
|Price Tier*||Used / Wholesale Dealers||Motorcycle, ATV, UTV, and Scooter Dealers / Lessors||New Dealers|
|Monthly | Annual||Monthly | Annual||Monthly | Annual|
|Preferred||$10 | $100||$10 | $100||$17 | $200|
|Standard||$32 | $375||$32 | $375||$50 | $600|
|Credit Repair||$70 | $750||$70 | $750||$135 | $1500|
*Bond pricing reflected in the chart above does not constitute an offer. All rates are based on dealer’s personal credit, along with other factors.
Important Differences Between New and Used Vehicle Dealers.
The Arkansas Motor Vehicle Commission is a great resource for the motor vehicle industry. However, it is important to note that the resources are their website are for *new* motor vehicle dealers. The Commission also represents manufacturers, distributors, and their representatives, as well as lessors and management, finance, and sales personnel. Licenses for new auto dealers are in effect from January 1st to December 31st and must be renewed for sequential 12-month periods thereafter.
Used vehicle dealers are regulated by the Arkansas State Police. Used vehicle dealer applications, employee forms, change of address forms, and the used motor vehicle dealer, wholesaler, or auction surety bond are provided by the Arkansas State Police. Licenses for used auto dealers are also in 12-month periods but do not have a common expiration date. The expiration date of the license will be 12 months from when the licensed was first issued.
Since the licenses are provided by these different entities, it is important that the license applications are turned into the respective group. All forms for new vehicle dealers must be submitted to The Arkansas Motor Vehicle Commission. Used vehicle dealers must turn in all forms to the Arkansas State Police.
Bond Amounts for Arkansas Auto Dealers.
A new motor vehicle dealer must be bonded in the amount of $50,000. All other dealers must carry a $25,000 bond.
Dealers may have more than one location for selling. For each additional location, the dealer must have another $25,000 bond. However, a dealer can choose to file a corporate surety bond in the amount of $100,000 to receive coverage for all locations instead of having multiple bonds.
Click Apply Now below to the bond type that corresponds with your needs.
|Arkansas Auto Dealer Bond Applications|
|$50,000 New Car Dealer Bond|
|$25,000 Used Motor Vehicle Dealer Bond|
|$25,000 Motorcycle, ATV, UTV, and Scooter Dealers / Lessors|
What are Some Common Complaints Against Dealers?
A bond is used to protect the people of Arkansas from unethical dealer practices. The bond covers specific complaints that a customer may have, providing payment on behalf of the dealer. However, the dealer must then pay back the surety company.
The most common complaints against dealers are:
- The dealer is not licensed
- The dealer withheld issues with vehicle
- A title was not issued
- The dealer did not follow the Arkansas Motor Vehicle Commission ACT
- Specific Fraudulent Misrepresentations
- False odometer reading
- Difficulty with warranty repairs
Remember, the goal is to avoid these complaints and provide a great customer experience.