California Vehicle Registration Service Bond Guide
If you are applying for an registration service provider license in California, you will need to purchase a surety bond. Read on to learn the ins and outs of the bonding process.
Bond Overview
- Purpose: To protect against losses if a vehicle registration service provider breaks license regulations
- Who Needs It: All vehicle registration service providers in California
- Regulating Body: The California Department of Motor Vehicles
- Required Amount: $25,000
- Premium Rate: Typically $250, exact pricing based on credit score
How much does a California registration service bond cost?
California vehicle registration service bond costs start at $250 annually. Your personal vehicle registration bond premium will be provided after a quick application review.
How can I get a vehicle registration bond in California?
You can apply for your California registration bond online 24/7. Simply provide your registration service name, DBA, and address for California Department of Motor Vehicle filing approval. Once your order has been processed, your official California surety bond will be delivered by email.
How fast can I get a vehicle registration service bond?
Our industry-leading technology and responsive customer service team allow us to deliver your official California vehicle registration bond faster than any other surety company. Orders placed by 4 PM CST Monday-Friday are typically processed with same-day emailed bond delivery.
If you have questions about the California registration service bond or your application, call 1(800)308-4358 to speak with a surety expert. We're here to guide you through the registration bond process so you can get back to running your business.
What is a California vehicle registration service bond?
Occupational Licensing and Business Regulations Section 11401 requires individuals file a surety bond with their registration service license application. Section 11402 requires a minimum $25,000 bond amount. State Form OL 605 is officially titled the “Registration Service Surety Bond (Vehicle Code Sections 11401 and 11402)” but is more commonly known as the “vehicle registration service bond” or just “registration bond.”
Why is a California registration service bond required?
Vehicle registration service providers must file this California surety bond before being licensed to work in the state. The California registration service bond specifically protects the public and the the state from losses resulting from a registration service's business operations. If a valid claim is made against a registration service provider's bond, the issuing surety company will pay the state or harmed individuals up to the full $25,000 bond amount, which the registration service must reimburse.
Who regulates licensing for registration agents in California?
The California Department of Motor Vehicles enforces state licensing for vehicle registration services. If you have questions about your existing vehicle registration service license or new application, you can contact the DMV by calling 1(916)229-3126.
The California DMV requires this bond for those who provide vehicle registration service in California. If you need a bond to title a vehicle, the DMV requires a separate California defective title bond. If you plan on selling vehicles, the DMV requires a separate California auto dealer bond.
What are the consequences of not having a California registration bond?
If you don't purchase, file, and maintain a $25,000 surety bond as required by law, the DMV won't approve your vehicle registration service business license. If you fail to renew your bond annually, you risk losing your license.
How do I update or change my registration bond form?
If the California DMV requires your bond form to be updated for any reason, contact your surety company. If you purchased your bond from SuretyBonds.com, email [email protected] to explain the needed change. The most common changes requested are updating your name or address to match your existing license or new license application.
How do I renew my vehicle registration service bond?
You must renew your California registration bond before its current term expires. Once you pay your SuretyBonds.com renewal invoice, instructions will be provided to keep your bond active for your next license term.
What are the license requirements to operate a registration service business in California?
Learn How to get a California Registration Service License by reviewing our comprehensive guide.
You'll need to provide the following to apply for your California registration service license.
- Application for Occupational License for Registration Service
- Application for Occupational License Personal History Questionnaire
- Registration Service Surety Bond
- Property Use Verification for Registration Service License
- Appointment of Director as Agent for Service of Process
- fingerprinting through Live Scan
- photographs of your business
- fictitious name
- business location inspection verification
- required fee payments: $150 license fee, $70 fee for each branch location, and $1 family support program fee
What if there's claim on a California registration service bond?
Your issuing surety company will pay valid claims to harmed individuals up to the $25,000 bond amount, which you must reimburse in full. To avoid claims made on your California surety bond, your business operations should adhere to California Vehicle Code.
