Learn more about lost title bonds, and apply today. Absolute Surety offers surety bonds nationwide through a convenient online application system.
What Are Lost Title Bonds?
Purchasing a lost title bond is the first step in the process of getting a bonded title as proof of ownership when the original title for a motor vehicle is missing or deemed unacceptable for the purpose of registering a vehicle. A bonded title is a title that is marked “Bonded” to indicate that a surety bond is attached to it.
These bonds are also known as vehicle title bonds, certificate of title bonds, or defective title bonds. Laws regarding lost or defective titles vary from state to state, so it’s best to check with the motor vehicle department in the state in which you plan to register the vehicle. Make sure you are eligible to get a bonded title before going to the expense of buying a bond.
Who Needs Them?
You may need to purchase a lost title bond if you bought or were given a vehicle and:
Did not receive a title
Received only a bill of sale
Received an improperly assigned, damaged, or unreadable title
Lost the title before transferring it into your name
By purchasing a title bond, you are guaranteeing that you are the vehicle’s rightful owner.
How Do They Work?
The bond protects the DMV and any legitimate previous title owner. The DMV is the obligee requiring the bond. The vehicle owner purchasing the bond is the principal, and the company issuing the bond is the surety.
If the state DMV issues you a bonded title and someone subsequently proves that they are the legitimate owner of the vehicle, that person can file a claim against your bond. If the surety company determines that the claim is valid, it will compensate the claimant fairly and recover that amount from you as the principal. You may also be required to return the vehicle to its lawful owner. You have nothing to fear if you are the true owner of the vehicle.
A lost title bond remains in force for 3-5 years, and the vehicle title will be marked “bonded” throughout that time. If no claim has been made against the bond by the time, it expires. You can then apply to the DMV for a clear certificate of title without the “Bonded” brand.
What Do They Cost?
The required bond amount depends on which state the vehicle will be bonded in and the vehicle’s current value. A vehicle title bond for $6,000 or less will cost you only $100. For larger bond amounts, the premium will be higher, depending on the bond amount and the state where the vehicle will be titled.
Use our convenient online system to apply for a title bond today.
"Since 2001, I have jumped through hoops every 2-years come bond renewal time. With Absolute Surety and their user-friendly online application form, it was all done in MINUTES! Highly Recommended!!!"
Sean McCabe, Orlando