Bonded Title in Texas
A bonded title lets you register and own a vehicle when you cannot provide complete ownership documentation. In Texas, the required bond is 1.5× the vehicle's value as determined by TxDMV and the title is branded "BONDED" for 3 Years.
What Is a Bonded Title?
A bonded title (also called a surety bond title or certificate of title with bond) is issued when you possess a vehicle but cannot prove complete, unbroken ownership history through traditional documentation such as a signed title, bill of sale, or inheritance records.
The surety bond protects any previous owner who might later make a valid claim to the vehicle. If a prior owner appears and can prove their ownership during the 3 Years bond period, the bond pays their claim. After the bond period expires with no claims, Texas will issue you a clean, unbranded title.
Who Issues the Bond in Texas?
The applicant obtains the surety bond from a licensed surety/insurance company, not from TxDMV directly.
Search for "Licensed surety company (private)" in Texas to find authorized insurers. National companies like Western Surety, Lexon Insurance, and IndemniCo are commonly used. Premiums are typically 1–3% of the bond amount annually.
Required Documents in Texas
VTR-275 is NOT a bonded title application form — it is a separate 'Request for Texas Motor Vehicle Information' records request. Do not confuse it with VTR-130-SOF.
Confirmed on the TxDMV forms page. PDF: https://www.txdmv.gov/sites/default/files/form_files/VTR-130-SOF.pdf
When Does the Bond Release?
After 3 years with no adverse ownership claim filed during the bond period, the bonded title converts to a standard certificate of title and the surety bond obligation ends.
Texas is a dual-agency state for bonded titles: (1) submit VTR-130-SOF + $15 fee to a TxDMV Regional Service Center for the eligibility determination; (2) obtain the title certificate through your county tax assessor-collector (Harris, Travis, and Bexar counties handle the largest volume). Statute citation note: the controlling section is most likely Tex. Transp. Code § 501.053, though this has not been independently confirmed from readable primary statute text — a licensed Texas attorney or TxDMV legal contact should confirm before this cite is published as a definitive claim.
Bonded Title FAQ — Texas
A bonded title in Texas is a certificate of title issued when you cannot prove complete ownership history through standard documentation. You purchase a surety bond (1.5× the vehicle's value as determined by TxDMV) and the state issues a title branded "BONDED." After 3 Years with no adverse claims from prior owners, the bond is released and you can get a clean title.
In Texas, the title fee is $28–$33. The surety bond premium — purchased separately from a licensed insurer — is typically 1–3% of the bond amount per year. For a $10,000 vehicle, the bond amount would be approximately $15,000 and the annual premium would be $150–$450.
Yes, you can sell a vehicle with a bonded title in Texas. However, buyers will see the "BONDED" brand on the title and may be unwilling to pay full market value. Full disclosure to the buyer is required. After 3 Years without adverse claims, you or the buyer can apply for a clean title.
A bonded title in Texas is valid for 3 Years. After 3 years with no adverse ownership claim filed during the bond period, the bonded title converts to a standard certificate of title and the surety bond obligation ends.
Texas DMV (TxDMV) — eligibility step — and County Tax Assessor-Collector — title issuance step
https://www.txdmv.gov/motorists/buying-or-selling-a-vehicle/title-litigation