How much does a motor vehicle title lender bond cost in Virginia?
The Virginia State Corporation Commission’s Bureau of Financial Institutions requires motor vehicle title lenders to post $50,000 surety bonds for each business location. An applicant’s total surety bond amount cannot exceed $500,000.
These bonds are subject to underwriting, so the best way to find out exactly how much you’ll pay is to request a free surety bond quote. The experts at SuretyBonds.com make the bonding process fast and easy.
Why do I need this bond?
Virginia motor vehicle title lender surety bonds ensure that principals (title lenders) perform all written agreements with borrowers or prospective borrowers, accurately account for all funds received while on the job and strictly comply with the provisions of Chapter 22 of the Code of Virginia. The bond protects the State Corporation Commission and any individuals who suffer loss as a result of the principal’s unlawful business practices up to the full bond amount.
What’s the fine print?
Motor vehicle title lender bonds in Virginia remain continuous unless otherwise canceled by the surety or violated by the principal. The surety can terminate its obligation under the bond by giving written notification of cancellation to the Commissioner of Financial Institutions and the principal at least 90 days prior to the effective date of such termination.
How to become a motor vehicle title lender
To apply for a motor vehicle title lender license in Virginia, applicants must submit the following materials with the completed application:
- the $500 application fee made payable to the Treasurer of Virginia
- an organizational chart showing the title and detailing the duties of each position
- a current, properly-executed Personal Financial Report and Disclosure Statement form for each director, senior officer, member, trustee, partner and principal
- an Employment and Business Affiliation Disclosure form for each director, senior officer, member, trustee, partner and principal
- an original surety bond
Complete licensing information can be accessed via the Additional Resources section of this page.
Begin the licensing process by purchasing the surety bond you need.
