Alabama Auto Dealer Bond Increase

Alabama Auto Dealer Bond Requirement Increase

A new bill was enacted in Alabama titled HB 393, which changes the amount of the license bond for a new motor vehicle dealer, used motor vehicle dealer, motor vehicle rebuilder, or motor vehicle wholesaler so that it must be for not less than $50,000 or another amount that the Department of Revenue requires. Prior law required a $25,000 bond.

The new law specifies that the bond would secure the payment of the dealer’s tax liability and any penalties imposed on the dealer. The bill also would require a wholesale motor vehicle auction dealer to meet the license bond requirements.

 

 

Get a Free Quote Instantly Online

If you’re ready to get a free surety bond quote to meet this new surety bond requirement, you can simply apply online. We are the nation’s largest volume bond producer, and provide the lowest rates in the industry.

 


Eric is the Chief Marketing Officer of JW Surety Bonds. With years of experience in the surety industry, he is also a contributing author to the surety bond blog. He has held a range of different roles within the surety industry, from agent assistant to bond issuer, which gives him a unique insider perspective on surety related topics.

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