What are dealers, including motor vehicle and powersports dealers, required to have?

Dealers, including motor vehicle and powersports dealers, are generally required to have a surety bond that applies to the types of vehicles they deal with. This surety bond serves as a form of protection for consumers and the state, ensuring that dealers comply with regulations and financial obligations related to vehicle sales. The bond acts as a safeguard, allowing consumers to recover losses if a dealer engages in fraudulent activities or fails to meet legal standards.

While the specifics of the surety bond amount can vary based on jurisdiction and the types of vehicles being sold, the requirement to have a bond for all types of vehicles ensures that dealers are held to certain standards of accountability and financial responsibility. This reflects a comprehensive regulatory approach to protect consumers and promote fair business practices within the automotive industry.