A surety bond is a three-party agreement among a principal, an obligee, and a surety.
The bond formalizes the principal's obligation to the obligee. The surety guarantees that the principal will fulfill their obligation.
All licensed motor vehicle dealers are required to maintain a Maryland Surety Bond of Vehicle or Trailer Dealer by the State of Maryland Motor Vehicle Administration. The bond is required as part of your dealer license application.
The Maryland Motor Vehicle Dealer Bond helps ensure that dealers conduct business ethically and lawfully.
You may have heard this bond referred to as a Maryland Motor Vehicle Dealer License Surety Bond, Maryland DMV Bond, Dealer Bond, Dealer License Bond, Car Dealer Bond or Auto Dealer Bond. While people use many names, they refer to the same bond. Bond requirements will vary depending your business’ profile. Our online order process automatically applies the correct forms and requirements based on the information you provide.