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City of Detroit Used Parts Dealer and Wrecking Bond

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Coverage Amount: $1,000 - $3,000
Term Length: 1 year
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Detroit Used Auto Parts Dealer and Wrecking Bond Guide

If you’re applying for a used auto vehicle parts dealer or wrecking license in Detroit, Michigan, you’ll need this surety bond. 

Bond Overview

  • Purpose: To ensure used auto parts dealers and wreckers uphold city regulations and operate ethically
  • Who Needs It: Businesses selling used auto parts and/or performing wrecking activities
  • Regulating Body: The Detroit Buildings, Safety Engineering & Environmental Department
  • Required Coverage: $1,000 or $3,000
  • Premium Rate: $100 for a 1-year term

Learn all about the bond requirements and process in this guide. 

What Is a Detroit Used Auto Parts Dealer and Wrecking Bond? 

This bond ensures businesses selling used auto parts and providing wrecking services in Detroit, Michigan, comply with local and state regulations. 

The Detroit Buildings, Safety Engineering & Environmental Department (BSEED) will set your bond amount based on your license type:

  • Used auto parts only: $1,000
  • Used auto parts and wrecking: $3,000

How Much Do Used Parts Dealer and Wrecking Bonds Cost?

Both the $1,000 and $3,000 City of Detroit used parts dealer and vehicle wrecking bonds cost a flat rate of $100 for a 1-year term. These bonds expire annually on January 1, so your exact rate may be prorated. 

Click below to buy your bond in minutes! 

Bond Type
$1,000City of Detroit Used Parts Dealer and Wrecking BondUsed Auto Parts Only
$3,000City of Detroit Used Parts Dealer and Wrecking BondUsed Auto Parts and Wrecking

SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees. 

Who Needs a Used Parts Dealer and Wrecking Bond? 

The Detroit Buildings, Safety Engineering & Environmental Department requires this bond for all businesses that sell used auto parts and/or perform wrecking activities. 

How Do I Get My Bond?

With SuretyBonds.com, you can buy your City of Detroit used auto parts dealer and wrecking bond instantly online. Just enter your information and checkout in minutes. 

We’ll mail you the bond via your preferred shipping method. Be sure to file it with the Detroit BSEED as instructed. 

If you have any questions, call our friendly surety experts at 1 (800) 308-4358 for assistance. 

How Does a Detroit Used Parts Dealer and Wrecking Bond Work? 

A used auto parts dealer and wrecking bond creates a legal contract between these three parties: 

  1. Principal: You, the dealer or wrecker filing the bond
  2. Obligee: The Detroit Buildings, Safety Engineering & Environmental Department requiring the bond
  3. Surety: The provider issuing the bond

This holds you financially responsible for upholding the provisions of Detroit City Code Chapter 49, Article VI, Division 4

If you break the bond terms, harmed parties can file claims. The surety will pay valid claims up to the bond amount, but you must ultimately refund the surety. 

How Do I Renew My Bond?

These bonds expire annually. To renew your used parts dealer and wrecking bond, simply pay your renewal invoice and submit the updated bond form to the Detroit BSEED.

We’ll begin contacting you by phone and email 90 days before the expiration date. 

More Resources

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