South Carolina Motor Vehicle Dealer Bond Overview
- Purpose: To ensure dealers and wholesalers follow state law
- Who Needs It: All auto dealers and wholesalers in South Carolina
- Regulating Body: The South Carolina Department of Motor Vehicles
- Bond Amount: $15,000–$50,000, based on license type
- Minimum Price: $150, credit-based
What Is a South Carolina Motor Vehicle Dealer and Wholesaler Bond?
A South Carolina motor vehicle dealer and wholesaler bond protects consumers from fraud, misrepresentation and other harmful business practices. The South Carolina Department of Motor Vehicles (SCDMV) requires you to file a surety bond for state licensing.
What Are the Bond Coverage Requirements?
Your exact bond amount depends on your license type.
| License Type | Bond Amount |
|---|---|
| Wholesale Auto Auction | $15,000 |
| Motorcycle-Only Dealers & Motorcycle Wholesalers | $25,000 |
| All Other Vehicle Dealers and Wholesalers | $50,000 |
How Much Do Auto Dealer Bonds Cost in South Carolina?
South Carolina auto dealer and wholesaler bond premium rates vary depending on your bond amount and personal credit score:
- The $15,000 wholesale auction bond starts at $150.
- The $25,000 motorcycle-only bond starts at $188.
- The $50,000 dealer and wholesaler bond starts at $375.
Most qualified applicants pay 0.75-5% of the bond amount. Apply for a free quote today!
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
How Does a South Carolina MVD or Wholesaler Bond Work?
A South Carolina motor vehicle dealer (MVD) or wholesaler bond forms a legal contract between three parties.
| Bond Party | Description |
|---|---|
| Principal | The dealer or wholesaler purchasing the bond |
| Obligee | The South Carolina Department of Motor Vehicles requiring the bond |
| Surety | The issuing surety provider |
By filing this bond, you promise to comply with all applicable South Carolina motor vehicle laws. If you violate these terms, those affected can file claims to recover any losses.
The surety will pay out valid claims up to the full bond amount. However, you’re responsible for repaying the surety.
How Do I Get Bonded?
To get your South Carolina vehicle dealer or wholesaler bond, simply:
- Select your bond amount and complete the application form.
- Receive your free quote within one business day.
- Pay for your bond.
- File the official bond form with the SCDMV.
How Do I File My Bond?
All bonds are delivered via email right after purchase. You’ll need to sign, print and mail the official form to the address below:
Standard Mail
SCDMV
Attn: Business License Unit
PO Box 1498
Blythewood, SC 29016-0023
Overnight Mail
SCDMV
Attn: Business License Unit
10311 Wilson Boulevard, Building C
Blythewood, SC 29016-0023
Can I Get Bonded With Bad Credit?
You may still qualify for a surety bond with bad credit, but you’ll likely pay a higher premium. Visit our bad credit FAQ page or apply for a free quote to learn more.
How Do I Renew My Bond?
Your initial premium payment always covers a one-year term. We’ll send you periodic reminders starting 90 days before expiration. Once you pay the renewal premium, you’ll receive a continuation certificate to file with the SCDMV.
Can I Edit My Bond Form?
You can make minor changes to your bond form by contacting your surety company. Email [email protected] with the new information, and we’ll issue a bond rider or a new form if needed.
How to Become a Vehicle Dealer or Wholesaler in South Carolina
First, you’ll need to determine your license type:
- Motor Vehicle Dealer
- Motor Vehicle Wholesaler
- Motor Vehicle Wholesale Auction
- Motorcycle Dealer
- Motorcycle Wholesaler
- Recreational Vehicle Dealer
- Temporary Recreational Vehicle Dealer
You also need a separate license for each business location.
Then, complete the application form (SCDMV Form DLA-1) and gather these supporting documents:
- Articles of Authorization
- SCDOR Retail License
- City/county compliance documents (business license, zoning permit, etc.)
- National Criminal Report background check
- Affidavit of Eligibility
- Diagram of your building and lot
- Certificate of liability/garage insurance
- Surety bond
- Pre-licensing course certificate (non-franchise dealers only)
Mail all materials to the address below:
SCDMV
Attn: Business License Unit
P.O. Box 1498
Blythewood, SC 29016-0023
After the SCDMV receives your application, a representative will contact you to set up a site inspection.
For more detailed information, visit our complete guide to becoming a dealer or wholesaler in South Carolina.
