Dealer Bonds are required by the Motor Vehicle Departments in the State where you live in order to get a Dealer License. Auto Dealer Bond will guarantee that dealer will obay the rules and regulations of the State whare your buisness opeartes. The Auto Dealer Bonds usually costs around 0.50% to 1.50% of the value the Bonds amount. To qualify for a dealer bond you have to have acceptable credit history.
In case you have poor credit history, there are some high risk bonding companies that will issue the bond at a higher rate, usually is betwwen 3% to 15% of the value of the bond.
Most Dealer Bonds are underwritten and issued within mintues if your credit is acceptable. Texas Dealer Bonds are set by the State of Texas for $25,000 and the rate is $350.00 for 2 years. Other Bonds Life New Mexico Dealer Bonds are for $100,000, Oklahoma Dealer Bonds for $10,000, or Louisana Dealer Bonds for $25,000,