Who requires it
North Dakota Department of Transportation — Motor Vehicle Division
License & permit · North Dakota
North Dakota Motor Vehicle Dealer Bond
North Dakota dealers must file a surety bond with the Motor Vehicle Division before the department issues the matching dealer license. New and used motor vehicle dealers post $25,000 under NDCC 39-22-05. Trailer dealers and motor-powered recreational vehicle dealers post $10,000 under NDCC 39-22.1-02 and 39-22.3-05. Mobile home and manufactured home dealers post $50,000 under NDCC 39-18-02. Across these chapters, the bond runs to the state and covers customers for statutory compliance failures—including proper title delivery. Claims cannot exceed the bond amount. The surety may cancel future coverage by certified mail to the dealer and the department; thirty days after mailing, the bond no longer covers later liability. The MVD dealer handbook states that cancellation suspends the dealer’s license. Keep the bond name aligned with the dealership’s licensed business name.
Common bond amount
$10,000–$50,000
$25,000 motor vehicle; $10,000 trailer or MPR; $50,000 mobile/manufactured home (Title 39).
How you file
File with Motor Vehicle Division; stays in force while licensed
Renewal
Stays in force while licensed; 30-day certified cancel; cancel suspends license
Who requires it
Applicants for and holders of North Dakota new or used motor vehicle, trailer, motor-powered recreational, or mobile/manufactured home dealer licenses filing with NDDOT Motor Vehicle Division.
How much is required
Match the Title 39 chapter for your dealer class: $25,000 for motor vehicle dealers, $10,000 for trailer or MPR dealers, and $50,000 for mobile/manufactured home dealers. A dealer already bonded under chapter 39-18 or 39-22 may not need a separate trailer bond if that existing bond is written to include trailer-dealer requirements.
How to get and file it
Confirm the dealer class and amount, complete the MVD surety form for that class in the exact dealership legal name, have an authorized North Dakota surety issue a bond that stays in force while licensed, and file it with MVD before the license issues. Keep coverage in force for the life of the dealer license. Notify MVD of any bond change. If the surety cancels, replace coverage before the thirty-day cutoff—cancellation suspends the license per MVD guidance.
Cost note
The class figure is the required bond amount, not the premium you pay. See bond amount vs premium. Bond amount vs premium →
Requirement checklist
- New or used motor vehicle dealer
- $25,000 (NDCC 39-22-05)
- Trailer dealer
- $10,000 (NDCC 39-22.1-02)
- Motor-powered recreational dealer
- $10,000 (NDCC 39-22.3-05)
- Mobile / manufactured home dealer
- $50,000 (NDCC 39-18-02)
- Cancellation
- Future liability ends 30 days after certified-mail notice; license suspends on cancel
Official sources
Related resources
Frequently asked questions
Do motorcycle or ATV dealers use the $25,000 motor vehicle bond?
Motor-powered recreational vehicle dealers—motorcycles, ATVs, UTVs, snowmobiles, and similar—use the $10,000 bond under NDCC 39-22.3-05, not the $25,000 motor vehicle dealer bond.
Can one bond cover both cars and trailers?
Possibly. NDCC 39-22.1-02 says an applicant already bonded under chapter 39-18 or 39-22 need not furnish a separate trailer bond if that bond is written to include trailer-dealer requirements. Confirm the updated bond language with MVD before relying on a single instrument.
Related North Dakota bond guides
Money Broker / Mortgage Lender Bond
≥ $50,000
North Dakota money brokers must keep a surety bond of at least $50,000 under NDCC 13-04.1-04.1. Residential mortgage lenders licensed under NDCC chapter 13-12—created in 2023 for residential mortgage lending that previously sat under the money-broker chapter—must keep the same at-least-$50,000 floor under NDCC 13-12-07. In both statutes the bond must be in a form the commissioner prescribes. When a claim is filed on the bond, the commissioner may require a new bond, and the licensee must file a new bond immediately after any recovery. Both credentials also carry a separate $25,000 minimum net-worth requirement that is not a substitute for the surety. File through the Department of Financial Institutions / NMLS as the current checklists require.
Money Transmitter Bond
$100,000–$500,000
North Dakota money transmission applicants and licensees must provide a bond under NDCC 13-09.1-33. The statute requires a surety bond in a form satisfactory to the commissioner or, with the commissioner’s approval, a deposit instead of a bond. The amount is the greater of $100,000 or 100% of the licensee’s average daily money transmission liability in North Dakota for the most recently completed three-month period, capped at $500,000. If the licensee’s tangible net worth exceeds ten percent of total assets, the required bond is $100,000. A licensee that already keeps the maximum $500,000 bond need not calculate average daily North Dakota liability for this section. Keep the bond or deposit in place for the entire license term and increase it when liability pushes the formula higher.
Collection Agency Bond
$50,000
North Dakota collection agencies must keep a $50,000 surety bond under NDCC 13-05-04.1. The statute sets a fixed amount—not a volume schedule—and requires the bond in a form prescribed by the commissioner. When a claim is filed on the bond, the commissioner may require a new bond, and the licensee must file a new bond immediately after any recovery. Keep uninterrupted coverage for the life of the collection-agency license through the Department of Financial Institutions / NMLS filing path.
Surety basics (not repeated here)
Universal surety concepts explained once—linked here instead of repeated on every state or bond page.
Continue with a North Dakota application
North Dakota 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 2026-08-12. This guide is based on verified educational content and official sources.
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