New Hampshire Car Dealer Bonds
A bond must be held by retail, motorcycle, and wholesale dealers, as well as vehicle repairers and recyclers. Utility dealers that are selling units over 3,000 pounds must also have a bond, but if units are less than 3,000 pounds a bond is not needed.
The bonding requirement for New Hampshire dealers is the same across the different types of dealers. They must have a bond limit of $25,000 to receive their license.
Pricing of the Dealer Bond.
Since a $25,000 bond is the statewide requirement, the price for your motor vehicle dealer bond will vary based on personal factors such as credit score and years in business. With our monthly payment plan, you can receive bonding at $13 per month. If you prefer paying annually, you could pay as low as $150 per year.
With Jet, you will find the best rates possible. By partnering with several insurance carriers, we can find low rates for anyone.
|Price Tier*||$25,000 Dealer Bond|
|Monthly | Annual|
|Preferred||$13 | $150|
|Standard||$21 | $250|
|Credit Repair||$47 | $500|
*Pricing can vary depending on factors including personal credit of the dealership owner and years licensed. Not all price tiers are reflected.
What Is a Bond Used For?
The State of New Hampshire requires that auto dealers need to have a bond in order to operate as a licensed dealer. The bond helps to protect customers from dealers that do not follow the regulations made by the state.
If there is a claim against a dealer, the customer can file a complaint. The complaint will be investigated and if proved valid, the customer will receive payment in the appropriate amount. The dealer must still pay back the surety for the amount they paid to the customer.
Want to get quoted today? Give Jet a call or click Apply Now below to get started with the quick application.
|Application for NH Motor Vehicle Dealers|
|$25,000 Motor Vehicle Dealer Bond|
What Type of Actions Will the Bond Cover?
Since the bond is made to protect customers, there are certain dealer actions that are covered by the bond. The bond will reimburse the customer for financial loss if the dealer:
- Fails to provide payment for purchasing a vehicle
- Fails to provide a title for the vehicle that is free of previous liens and interests
- Sells a stolen vehicle
- Willingly withholds the vehicle’s mileage during the sale
A city or town can also get restitution from a bond if a dealer fails to collect all fees or pay all fees during the vehicle registration process.
What Documents Are Needed for Licensing?
The documents needed for dealer licensing vary with the dealers but there are a few common requirements between dealers. Retail, motorcycle, wholesale, and utility (over 3,000 pounds) dealers, as well as repairers and auto recyclers need:
- Application for corresponding license
- Application for Retail Dealer License and Registration (used for retail, motorcycle, and auto wholesale dealers)
- Application for Automotive Recycling Dealer Registration
- Application for Repairer Registration
- Application for Utility Dealer Registration
- Service agreement with an authorized New Hampshire Inspection station (wholesalers exempt)
- $25,000 Bond
- Established place of business or lease agreement
- Criminal background check of each owner
- $125 dealer license fee
Other specifications may be required. Please visit the DMV website for specific dealer information. All licenses expire on March 31st.