WHAT IS THE BOND FOR?
The Dealer License Bond is Consumer Protection. If a dealer fails to obtain the consumer a proper title to the vehicle purchased, they may file a CLAIM for refund for that vehicle through the Bond Company.
If a claim is paid,your bond will be cancelled and you will be liable for refundng the money back to the Bonding Company.
A Bond Claim will result in affecting your credit rating and legal action against you if you fail to refund payment ot the Bond Company for such loss.
As a Dealer, you DO NOT want to have a Bond Claim. It hurts all dealers in the industry and may cause Bond Cost to skyrocket for all dealers