Montana Motor Vehicle Dealer Bonds
Bonding is a requirement used throughout the country as a safety measure against unlawful dealer actions. The State of Montana Title and Registration Bureau follows this standard to ensure that the public will be reimbursed in the case of fraudulent dealer practices. Click Let’s Roll below to get started with the quick application, or read on for more information.
What Will a Bond Cost?
Based on the type of dealer license you carry, your rate will only be a small percentage of the legal bond requirement. Once that has been considered, personal factors such as dealer’s personal credit, will determine your actual cost of your bond.
With Jet, you can pay as low as $10 each month for a new or used vehicle dealer bond or $100 each year. We search through several insurance companies to find you the best deal for your situation.
|Price Tier*||Used/New, Brokers, Wholesalers,
Auctions, Manufactured Dwelling Bond
|Motorcycle / Quadricycle
|Motorboat, Personal Watercraft,
Snowmobile, Off-Highway Vehicle Dealer Bond
|Monthly | Annual||Monthly | Annual||Monthly | Annual|
|Preferred||$21 | $250||$10 | $100||$10 | $100|
|Standard||$44 | $525||$19 | $225||$10 | $100|
|Credit Repair||$94 | $1000||$42 | $450||$15 | $150|
*The chart reflects only some of the available pricing tiers. Rates shown are subject to change at any time and do not constitute an offer. A soft credit check of the dealer is required to obtain an accurate rate – this will not affect your credit.
Bond Limits for Auto Dealers.
The limits of a bond vary for different dealers, based on the coverage needed. A $5,000 bond is required for motorboat, personal watercraft, snowmobile, and off-highway vehicle dealers. For motorcycle and quadricycle dealers, a $15,000 bond is needed. The highest bond limit is mandatory for new or used vehicle dealers, brokers, wholesalers, auto auction, and manufactured dwelling dealers, which is $50,000.
How to Apply Online for a Dealer Bond.
Click the Apply Now button below that corresponds with your dealer type to start the application. Once the application is submitted Jet will work on a quote that will be delivered to your email for direct purchase.
|Montana Dealer Bond Applications|
|$50,000 Used/New Dealer Bond|
|$15,000 Motorcycle Dealer Bond|
|$5,000 Bond for Boat, Watercraft, Snowmobile, and Off-highway Dealers|
When Do Dealer Licenses Expire?
If you are applying as a dealer for the first time, you will have a license period that ends on December 31st. This used to be the license period for renewals as well, but the Montana MVD has updated the expiration dates for dealer license renewals.
When going through your first renewal, you will be placed into one of the quarters below based on the first initial of your business. After that, your license period will reflect the 12-month license period of the quarter you are placed in.
|Renewal Period||Renewal Packet Due Date||License Expiration Date
|1st Quarter||December 15th||March 31st|
|2nd Quarter||March 15th||June 30th|
|3rd Quarter||June 15th||September 30th|
|4th Quarter||September 15th||December 31st|
Steps to Getting Your Dealer License.
With a little preparation, applying for your dealer license can be easy. These are the steps that will make your application go smoothly:
1. Fill out the dealer application completely and have all owners sign the application
2. Submit plate order (MV35P) and license fees
3. Request inspection by the Montana Highway Patrol, local law enforcement agency, or a compliance specialist
4. Surety Bond in the required amount, stating the license you are applying for
5. Certificate of Liability for all dealers (and garage liability if needed). The certificate must show the state of Montana at P.O. Box 201431 as the holder.
6. Evidence of local land-use planning, zoning, and business-permitting requirements with authorization from zoning board
7. For new vehicle dealers, a franchise sales and service agreement must be attached
8. Once these are all completed, all forms and required fees must be returned to the Vehicle Services Bureau.
After submission, the Bureau will take up to 3 weeks to approve your application.