Colorado Bonded Title

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What is a bonded title in Colorado?

A Colorado bonded title is a vehicle title with a surety bond attached. The surety bond is called a title bond (or certificate of title bond). If you didn’t receive a title when you bought your car or the title was improperly assigned or defective, you may need a bonded title. Without it, you can’t legally insure, sell, or register your vehicle in your name.

The surety bond protects the state, lienholders (if applicable), and anyone who may turn up as the actual owner of the vehicle. If any of these three parties file a claim against your bond, your surety (backing the bond) may cover for damages. However, you will be responsible for paying them back.

On the other hand, if no one files a claim on your title bond, then you can replace your bonded title with a regular certificate of title once a specified term (of three years) passes.

Get Your Colorado Title Bond:

Quick Takeaways

  • A bonded title is a title backed by a surety bond.
  • If you didn’t receive a title when you bought your car or the title was improperly assigned or defective, you may need a bonded title.
  • Title bonds are often quickly issued, cost $100, and are active for three years.

Lost Title Bond in Colorado

If you simply lost your valid title registered in your name, you don’t need to get a bonded title. Instead, you can obtain a duplicate certificate of title for a small fee. Apply on the Colorado Department of Revenue website.

Colorado Bonded Title Process

Once you know that you need a Colorado bonded title (after contacting your DMV), follow this process to obtain your surety bond and new title.

1. Have your vehicle inspected.

First, a Peace Officers Standards and Training (POST) inspector will examine your vehicle for $50 and return a Certified VIN Inspection Form (DR 2704) to you.

2. Request a Colorado title record.

Next, you’ll need to request a Colorado title record search with the Denver State Office for a minimal fee. You’ll learn if any previous records or liens exist on your vehicle. If they do, you may need to contact the original owner or current lienholder by certified mail, then complete PS Form 3811-A.

3. Get a vehicle appraisal.

Learn the appraised value of your vehicle by contacting a licensed Colorado auto dealer, using a price guidebook (for newer vehicles), or using an online valuation service like Kelly Blue Book.

4. Obtain a certificate of title bond.

Contact a surety provider like ZipBonds to obtain your title bond. The required amount will be twice the appraisal value of your vehicle. The cost to you will be a small percentage of this.

5. Fill out one more form.

Fill out the Bond Statement Guide & In Lieu of Bond Affidavit form (DR 2394).

6. Get your Colorado bonded title.

Complete and submit all required documentation (including your title bond) to your local DMV to finish your bonded title application. Once your DMV approves, they will send you your bonded title.

Who is eligible for a bonded title in Colorado?

If you possess a non-salvage vehicle in Colorado, contact your local DMV office to determine whether you qualify for a bonded title. If the car were registered in your name at any point, you’d need a duplicate certificate of title rather than a bonded title. However, if you never received a title, your title was improperly assigned to you, or you lost the title before registering it in your name, you may need a bonded title.

How much does a title bond cost?

The cost of your Colorado title bond may depend on your credit score and the required bond amount. You will pay a small percentage of the bond value (which must be twice your vehicle’s appraisal value). These bonds are often quickly issued, cost $100, and have a three-year bond period. Once the bond expires, you can apply for a clear certificate of title.

Get a Colorado Title Bond

The experts at ZipBonds can help you obtain the title bond you need. To connect with one of our team members, please give us a call at 888-435-4191 or email us at support@zipbonds.com. We’ll walk you through the process for title bonds to help you get bonded in a flash.

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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.