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West Virginia Motor Vehicle Dealer Bonds

West Virginia Motor Vehicle Dealer Bond Information

Used car dealers in West Virginia must post a $25,000 surety bond in order to legally conduct business in the state. All West Virginia auto dealer bonds expire annually on June 30th (except for License Services). Your surety bond cost will be adjusted to only reflect the portion of the year covered by the bond. The surety bond is required of all motor vehicle dealers licensed pursuant to Article 6, Chapter 17A of the West Virginia Code. The surety bond is conditioned upon compliance with all applicable sections of that statute and all pertinent rules and regulations of the West Virginia Department of Motor Vehicles.

Please see Dealer License/Registration Services Bonds for LS classification (License Services).

How Much Does a Vehicle Dealer Surety Bond Cost in West Virginia?

Most Common Bonds

Used Auto Dealer Bond

$25,000 Bond

Expires 6/30

Motor Vehicle Dealer Bond - Used Vehicles

$25,000 Bond

Expires 6/30

Motor Vehicle License Service Bond

$25,000 Bond

Expires 12/31

Additional Bonds

Motor Vehicle Dealer Bond - New Vehicles

$25,000 Bond

Expires 6/30

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What Does a Vehicle Dealer Surety Bond Protect Against?

The purpose of the bond is to protect against fraud or fraudulent representation on the part of the bonded dealer when such actions result in a financial loss to State of West Virginia, a purchaser, seller, financial institution or agency. The surety bond may be cancelled with the West Virginia DMV through thirty days written notice via certified mail from the surety company.

Getting Your West Virginia Business License or Registration

The following is an overview of the key used auto dealer licensing requirements in West Virginia

  • Completed application
  • $25,000 surety bond. A bond is not required for repo-financial institution, mfg-manufacturer and trs-transporter.
  • Personal property tax receipt
  • Pictures of dealership as required
  • A valid business license in the state of West Virginia
  • Dealer liability insurance as required
  • Garage agreement if required
  • Franchise agreement if required

Additional items may be needed and exact requirements may vary based on applicant, license type, or DMV's discretion. Please see the West Virginia Dealer Licensing Information section on the WV DMV site.

Other Helpful Information and Links

West Virginia DMV Class of Licenses: D - New & Used, Duc - Used, Drv - Recreational, Dtr - Trailer, F - Motorcycle, Mfg - Manufacturer, Trs - Transporter, Aa - Auto Auction, Wdr - Wrecker, Dismantler, Rebuilder, Repo-Financial, Institution, and Ls-License Service