Minnesota NEW Motor Vehicle Dealer Bond
Overview
Minnesota concentrates its entire dealer licensing scheme — new, used, wholesale, and auction — in one statute, and the bond lives there too. Minnesota Statutes section 168.27 requires dealer license applicants to file a $50,000 surety bond with the state, a single amount that applies across the major dealer classes; the statute's only reduced tier is $5,000 for dealers limited to certain small trailers. For a new motor vehicle dealer, the $50,000 bond is a condition of holding the license issued through the Department of Public Safety's Driver and Vehicle Services division.
Who Needs This Bond?
Applicants for a Minnesota new motor vehicle dealer license under section 168.27 file this bond with Driver and Vehicle Services — and the same statutory bond requirement reaches used vehicle dealers, wholesalers, and auctioneers licensed under the section. If DVS's dealer licensing unit has listed a surety bond among your application requirements, this is the filing, at the statute's $50,000 amount for standard dealer classes.
What is this Bond For?
The bond backs the dealer's obligations under Minnesota's dealer statute — delivering good title, properly handling the taxes and fees collected in vehicle transactions, and complying with section 168.27's licensing conditions. When a dealer's violation causes a monetary loss, the bond gives the harmed party and the state a source of recovery, and the dealer must make the surety whole for any claim paid.
When is it Required?
The bond must be in place when DVS issues the license and must remain continuously in force through every renewal — bond coverage and license status travel together under the statute. Get the executed bond into your application package up front so the licensing review isn't held up waiting on it, and coordinate with your surety at renewal so there is never a coverage gap.
Where Does it Apply?
This is a statewide Minnesota requirement administered by Driver and Vehicle Services within the Department of Public Safety, which licenses dealers under Minnesota Statutes section 168.27. It applies to licensed dealer locations throughout Minnesota, because the obligation comes from state statute rather than any county or municipal rule.
How to Buy Online
Click 'Buy This Bond Online' on this page and the secure surety portal opens in a new tab. Complete the short application, review your bond documents, and pay securely in one session. Your executed Minnesota dealer bond is ready to file with DVS as soon as you finish.
Why Bond Titan?
Bond Titan is powered by The Southern Agency, a licensed surety agency, and every requirement on this page is cited to the Minnesota Statutes in the Official Sources section below — verify the rules yourself before you buy. The online flow gets your executed bond to you in time for your DVS filing.
Official Sources
The requirements described on this page are verified against the official sources below.
- $50,000 dealer bond requirement under Minnesota's unified dealer licensing statute, with a $5,000 tier only for certain small-trailer dealers: Minnesota Statutes §168.27 (verified July 16, 2026)