Wyoming Auto Dealer License Bond
What is a Wyoming auto dealer license bond?
The Wyoming Department of Transportation requires all vehicle dealers and Wyoming-based manufacturers to file a $25,000 surety bond to become licensed to do business in the state. This includes anyone engaged in selling or exchanging at least three vehicles in Wyoming in a consecutive 12-month period.
An auto dealer bond holds dealers and dealerships accountable to the law and industry regulations. If a dealer causes a customer financial harm by breaking the law, the customer can file a claim against the bond for compensation.
Get Your Auto Dealer Bond in Wyoming:
How much does a Wyoming auto dealer bond cost?
Auto dealer bond premiums can vary based on applicants’ credit scores: the higher your credit score, the lower your annual premium. If you have excellent credit, expect to pay as little as 1% or less of the total bond amount. Other factors that may impact the cost of your bond include your industry experience and business and personal financials.
ZipBonds can offer $25,000 Wyoming auto dealer bonds for as low as $250 per year. Apply today!
Who needs an auto dealer surety bond and license in Wyoming?
If you sell three or more vehicles in a consecutive 12-month period, you need a license and bond (Wyoming Legislative Statutes).
How to Apply for Your Wyoming Auto Dealer License
Follow the application instructions outlined on the Wyoming DOT website. Here’s an overview of the steps:
- Complete the MV-422 Vehicle Dealer and Manufacturer Application.
- New dealers must include copies of dealer sales and service agreements or franchise papers for new vehicles they plan to sell.
- Obtain a Wyoming Sales and Use Tax License.
- Pay an annual application fee (amount listed on the application form).
- File a $25,000 surety bond. (New applicants can wait until their application is approved.)
- Undergo a state and national criminal history record background check.
Mail your completed application with all required documents and fees to the following address:
- WYDOT, ATTN: Motor Vehicle Services
- 5300 Bishop Blvd
- Cheyenne, Wyoming 82009-3340
Your license and bond will be valid for one year and must be renewed before they expire. If you have questions about your license application, call 307-777-4717 or email mvsplates@wyo.gov.
Frequently Asked Questions
How long does it take to get a motor vehicle dealer bond?
Since this bond requires underwriting, we can’t issue it to you instantly. However, the ZipBonds team always strives to deliver your bond to you within 24 hours of application.
Who regulates auto dealer bonds in Wyoming?
The Wyoming Department of Transportation Motor Vehicle Services regulates licensing and bonding for the motor vehicle industry in the state.
How do I renew my surety bond?
A Wyoming dealer license is good for one year and then needs to be renewed. Your bond must also be renewed annually before it expires.
If you’re buying your bond from Zip, we’ll send a reminder when the expiration date is approaching. That way, you’ll have plenty of time to renew your bond and maintain your business license.
What happens if someone files a claim on my bond?
A customer can file a claim if a dealer commits fraud or unethical or unlawful business activity. If the claim is valid, the surety may cover the customer’s losses up to the total amount of the bond. The dealer will then need to pay back the surety for the damages.
Claims can be costly and damage your reputation and ability to get licensed and bonded again, so it’s best to do everything you can to avoid them.
How can I avoid claims on my auto dealer bond?
Avoid illegal activities and fraudulent business practices to prevent claims on your bond. Pay all taxes you owe. Also, ensure you comply with your licensing regulations. If a customer complains about something, address the issue immediately to avoid complaints from turning into costly claims.
How to Get Your Wyoming Auto Dealer License Bond
ZipBonds offers the fastest and most secure option for getting the surety bonds you need. Our all-digital platform is intuitive and straightforward. Apply online or call us at (888) 435-4191 to get bonded in a flash!
About ZipBonds.com
Founders Ryan Swalve and Zach Mefferd formed the vision for ZipBonds.com when they realized how overly complicated it was to help clients place surety. The frustration of being unable to incorporate the technology they’d used in other insurance-focused projects left them thinking “there has to be a better way.”
Fast forward a couple of years, and that better way is the impetus of everything we do at ZipBonds. We constantly look for innovative ways to improve the bonding process for our clients and agents. Our team comprises individuals who understand all angles of surety – for companies, agencies, and individuals. Incorporating everyone’s point of view to improve the process while simultaneously integrating cutting-edge technology is what sets our business apart.