Who requires it
Kansas Department of Revenue — Division of Vehicles (Dealer Licensing)
License & permit · Kansas
Kansas Motor Vehicle Dealer Bond
Kansas new-vehicle and used-vehicle dealer applicants must keep a fifty-thousand-dollar surety bond on file before the Division of Vehicles issues or continues the license. K.S.A. 8-2404 requires the bond for the dealer license. Dealers may instead deposit cash, negotiable U.S. or Kansas bonds, or bank certificates of deposit with the State Treasurer in at least the same amount.
Common bond amount
$50,000
Fixed amount for new and used vehicle dealers (K.S.A. 8-2404); cash/securities deposit alternative available.
How you file
Surety bond, or cash/CD deposit with the State Treasurer
Renewal
Continuous while licensed; 30-day surety cancellation notice to director
Who requires it
Applicants for and holders of Kansas new vehicle dealer or used vehicle dealer licenses under article 24 of chapter 8. Bonding does not apply to first- or second-stage manufacturers, factory branches, factory representatives, or salespersons. KDOR’s D17A application also lists distributors, lending agencies, and manufactured home dealers among classes that do not use this $50,000 dealer bond path.
How much is required
Section 8-2404(i) sets the new- and used-dealer amount at fifty thousand dollars. Separately, if the director doubts a different license class can meet its obligations, the director may require a bond of not less than five thousand nor more than twenty thousand dollars. Sureties may cancel with thirty days’ notice to the director.
How to get and file it
Have a surety authorized in Kansas issue a $50,000 dealer bond in the exact legal name required for your entity type (corporate name only for corporations; all owners d.b.a. the dealership for partnerships; owner d.b.a. for sole proprietors). File the original with power of attorney with the Division of Vehicles dealer-licensing package, or arrange the State Treasurer deposit alternative described in §8-2404(j) and D17A. Keep coverage continuous with no lapse while licensed. Notify the surety and KDOR when the business name, address, entity, or ownership changes so the bond tracks the license. A surety cancellation notice runs thirty days; replace coverage before the effective date or the license is at risk.
Cost note
Fifty thousand dollars is the required bond amount, not the premium you pay. See bond amount vs premium. Bond amount vs premium →
Requirement checklist
- New or used vehicle dealer
- $50,000 surety bond
- Deposit alternative
- ≥ $50,000 cash, U.S./Kansas negotiable bonds, or bank CDs with the State Treasurer
- Name match
- Bond name must match the entity style KDOR requires for your ownership form
- Exceptions
- Manufacturers, factory branches/representatives, salespersons; D17A also excepts distributors, lending agencies, manufactured home dealers
Official sources
Related resources
Frequently asked questions
Do Kansas wholesalers and salvage dealers use the same $50,000 bond?
The automatic fifty-thousand-dollar amount in §8-2404(i) applies to used vehicle dealers and new vehicle dealers. Other license classes are not automatically on that amount; the director may still require a five-thousand- to twenty-thousand-dollar bond when the director doubts the applicant can meet its obligations. Confirm your D17A license class with the Kansas Department of Revenue before ordering.
Can I deposit cash instead of buying a Kansas dealer bond?
Yes. Section 8-2404(j) and the D17A instructions allow depositing at least $50,000 in cash, negotiable U.S. or Kansas bonds, or bank certificates of deposit with the State Treasurer instead of a surety bond.
Related Kansas bond guides
Mortgage Company Bond
$50,000–$125,000
Kansas mortgage company applicants and licensees under the Kansas Mortgage Business Act must file a surety bond the Office of the State Bank Commissioner accepts. K.S.A. 9-2211 frames the requirement as a bond of not less than one hundred thousand dollars in an amount the commissioner sets by rule. The currently published K.A.R. 17-24-6 schedule sizes the amount by whether the company maintains a bona fide Kansas office and by prior-calendar-year Kansas mortgage origination volume.
Money Transmitter Bond
$200,000–$1,000,000
Kansas money-transmission applicants and licensees must keep a surety bond satisfactory to the commissioner—or an approved deposit in place of a bond—under the Kansas Money Transmission Act. K.S.A. 9-587, effective January 1, 2025, generally sets the amount at the greater of two hundred thousand dollars or one hundred percent of the licensee’s average daily Kansas money-transmission liability for the most recently completed three-month period, capped at one million dollars.
Notary Public Bond
$12,000
Every Kansas notary public appointed on or after January 1, 2022, must keep a twelve-thousand-dollar surety bond for the four-year commission term. The Secretary of State’s appointment process requires the surety to complete section C of Form NO or Form NO-S; a standalone bond certificate alone does not satisfy that filing instruction.
Surety basics (not repeated here)
Universal surety concepts explained once—linked here instead of repeated on every state or bond page.
Continue with a Kansas application
Kansas will be preselected. Choose your bond type in the application—we confirm the correct product against your agency form before anything is issued.
Last verified 2026-08-11. This guide is based on verified educational content and official sources.
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