Hawaii Auto Dealer Bonds
A dealer bond is made to protect purchasers from dealers not following the law. If a dealer commits fraud or misrepresents the vehicle in any way that leads to a purchaser paying above the value of the vehicle, the bond will reimburse the purchaser. However, the dealer is not off the hook – they will still have to pay back the surety. Click Let’s Roll below and let Jet get you covered.
The bond amount for dealers in Hawaii depends on the type of vehicle being sold and the number of vehicles sold per month. See pricing and find more information below.
How Much Is a Motor Vehicle Dealer Bond?
When you apply for a bond, your rate will be based on personal factors as well as the bond limit required for your license.
Jet Surety works with several insurance companies to find the best rates available to you. With our monthly payment plan, you can receive your bond for as low as $10 per month. We also carry a yearly payment option that starts at $100.
Monthly | Annual
|Motorcycles/Scooters > 49cc||$10,000||$10 | $100|
|Used Vehicles, < 60 units per month||$25,000||$13 | $150|
|New Vehicles, < 10 units per month||$50,000||$25 | $300|
|Used Vehicles, > 60 units per month||$100,000||$50 | $600|
|New Vehicles, > 10 units per month||$200,000||$98 | $1200|
|Auctions||$200,000||$98 | $1200|
*Only the lowest available prices are shown for each license type. These rates are subject to change and are not a guarantee, as pricing is based on the personal credit of the dealer, and also depends on the number of years in business as well as other factors.
What is Needed to Receive a Dealer License?
For a motor vehicle and auction dealer license, applicants must turn in:
- Application for License
- Self-Inspection Report- written description and sketch of location, labeled with measurements
- Photographs of location meeting requirements
- Rental Lease or Agreement with a minimum of one year from the day application is submitted
- Line of Credit (Dealer Only)- attach inventory or flooring line of credit
- Line of Credit (Auction Only)- attach line of credit
- Bond (Dealer and Auction)- accepted when LOC cannot be “reasonably obtained”
- Financial Statement- attach less than 1-year old hard copy of financial statement signed by public account or certified accountant
- Appropriate Fees as listed on application
- Franchise (New Dealers Only)-copy of Dealer/s Sales and Service Agreement (DSS)
- Entity Registration from Business Registration Division, Department of Commerce and Consumer Affairs that shows certificate of qualification if less than one year or certificate of good standing if more than one year
- Trade Name- copy of “Application for Registration of Trade Name” approved by the Business Registration Division
- Customer Trust Account (auction only)- written confirmation of customer trust account
- Zoning Compliance- verify with county that your site complies with local ordinances
- Repair Facilities (New Dealer Only)- repair dealers must have a license with the Motor Vehicle REPAIR Industry Board as a motor vehicle repair dealer as stated in chapter 437B, HRS
- Employed Salespersons Required- documentation attached
Once submitted, the application will be reviewed by the Motor Vehicle Industry Licensing Board. If approved, your license will run until June 30 of the next even-numbered year, regardless of when your license begins. When nearing expiration, you will be notified by the Board to start the renewal process.
Forms mentioned above can be found here.
What Is the Best Way to Apply for a Dealer Bond?
Online! Click below to submit an application for your dealership. Upon receival of the application, Jet works to deliver a competitive rate within 24 hours. Leave all stress out of the process.
|Dealers Bond Apps|
|$10,000 Bond for Motorcycles/Scooters > 49cc|
|$25,000 Bond for Used Vehicle Dealers selling < 60 units per month|
|$50,000 Bond for New Vehicle Dealers selling < 10 units per month|
|$100,000 Bond for Used Vehicle Dealers selling > 60 units per month|
|$200,000 Bond for New Vehicle Dealers selling > 10 units per month|
|$20,000 Auctions Bond|