Montana Dealer Bond Overview
- Purpose: To protect dealership consumers from financial harm
- Who Needs It: All motor vehicle dealers in Montana
- Regulating Body: The Montana Department of Motor Vehicles
- Bond Amount: $50,000 for standard new and used auto dealers
- Minimum Price: $400 or 1%; credit-based
What Is a Montana Motor Vehicle Dealer Bond?
A Montana auto dealer bond is a financial guarantee required for all licensed vehicle dealers. This type of surety bond protects the state and customers if a dealership causes harm.
Bond Coverage Requirements for Montana Dealers
The bond amount you’ll need for your dealership will be $5,000–$50,000 based on the type of vehicles you sell.
| Dealership Type | Bond Coverage |
|---|---|
| Motorboats, Personal Watercraft, Snowmobiles, Off-Highway Vehicles | $5,000 Bond |
| Motorcycles and Quadricycles | $15,000 Bond |
| New or Used Dealers, Brokers, Wholesalers, Auto Auctions, Manufactured Dwelling | $50,000 Bond |
How Much Do Motor Vehicle Dealer Bonds Cost?
Montana dealer surety bond premiums start at $100–$400 based on the coverage amount:
- The $5,000 bond costs $100.
- The $15,000 bond costs $150.
- The $50,000 bond starts at $400, but varies based on credit history.
Buy your bond instantly now or apply for your free quote.
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How Does a Montana Vehicle Dealer Bond Work?
When you file a dealer bond, you enter a legally-binding contract with the surety provider and the DOJ.
- Principal: The vehicle dealer filing the bond
- Obligee: The Montana Department of Justice – Motor Vehicle Division
- Surety: The issuing surety provider
You, as the principal, are responsible for upholding all license laws and regulations. If you violate these, the surety will repay any harmed parties up to the full bond amount. Then, you must repay the surety.
How Do I Get a Dealer Bond in Montana?
If you need the $5,000 or $15,000 bond for small vehicles or motorcycles, you can buy your bond online in minutes.
If you’re applying for the $50,000 new or used dealer bond, submit a quote request form. We’ll get back to you with a quote within one business day or less.
How Fast Can I Get My Bond?
Once you have your quote, you can buy your bond online and receive it instantly via email. Remember to file it with the Motor Vehicle Division along with your dealer license application.
When Do I Renew My Bond?
Your initial bond will be active for one full year. As the expiration date approaches, we’ll send a renewal reminder and invoice. All you need to do is pay the premium and your bond will stay active for another year.
How to Get a Vehicle Dealer License in Montana
To get your Montana dealer license, gather the following documents:
- Dealer license application
- Dealer inspection form
- Dealer surety bond
- General liability insurance
- Written verification from an authorized representative of the local land-use or zoning board confirming the business location complies with zoning requirements
- Franchise letter (franchise dealers only)
Submit everything to the Vehicle Services Bureau:
- Email: [email protected]
- Mail: VSB 302 North Roberts Street, Helena, MT 59620.
