The California Department of Motor Vehicles (DMV) requires anyone who wishes to conduct business as a registration service to apply for a license. The DMV classifies a “registration service” as a person engaged in the business of processing for the public applications for registration, transfer of ownership, registration renewals, conducting lien sales and processing dismantler documents. As part of the licensing requirements, applicants must obtain and file a $25,000 surety bond with the DMV. The purpose of this surety bond is to protect the public and the State of California from loss at the hands of the registration service, and ensures that principal (person or entity buying the bond) complies with all regulations in Chapter 2.5, Sections 11400 – 11413 of the California Vehicle Code. If a harmed party files a valid claim against the bond, the surety will pay out up to the penal sum of the bond to resolve the claim. The principal is then required to reimburse the surety for all monies paid out, including any attorney fees incurred.
Pacific Surety is proud to offer a variety of approvals, regardless of credit, with rates as low at $250 annually and discounted two-year pricing at $438 for qualifying applicants. This process typically takes just a few hours for a quote, and we have the ability to beat any competitors pricing. If you have any specific questions, feel free to contact our knowledgeable underwriting staff.