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Dealer Surety Bond in Kansas: $10,000–$100,000 Requirement

Kansas requires all licensed dealers to maintain a $10,000–$100,000 surety bond. Here is exactly what you need, what it costs, and what happens when a claim is filed.

Bond Requirement at a Glance

Required Bond Amount$10,000–$100,000
Issuing AuthorityState DMV or Motor Vehicle Division
Estimated Annual Cost0.5%–3% of bond face value per year

Amount varies by state and dealer license category. Contact your state DMV for the exact requirement.

Who Needs a Surety Bond in Kansas

Most states require a surety bond as a condition of obtaining and maintaining a dealer license.

How to Get a Bond in Kansas

Where to get it: Any state-licensed surety company

Use the state DMV-approved bond form. File with your dealer license application.

Annual Premium Cost

0.5%–3% of bond face value per year

Premium is based on your personal credit score. Good credit = lower annual cost.

How Claims Work

Injured buyer files with state DMV or directly with the surety company.

Valid claims are paid up to the bond face value. Dealer must reimburse the surety for any paid claims.

Penalties for Operating Without a Bond

Dealer license denial, suspension, or revocation. Possible criminal charges for operating without a bond.

Kansas-Specific Note

Always verify the current bond amount with your state DMV before purchasing — amounts change periodically.

Kansas-Specific Facts for Dealer Surety Bond

Kansas Vehicle transfer fees and requirements

In Kansas, the title transfer fee is $10 and registration costs $39 - $54 based on vehicle weight. Vehicle sales are subject to 6.5% state sales tax plus local taxes. Kansas does not require notarization for private-party vehicle transfers. Emission testing is required in Kansas — verify the vehicle passes before completing the sale.

  • Emissions testing required in Johnson and Douglas counties
  • Title transfer at county treasurer office within 60 days
  • Property tax due at time of registration

Official Kansas bill of sale form

The official Kansas bill of sale form is TR-12 (Bill of Sale for a Motor Vehicle). BillOfSaleNow generates a document that meets all Kansas requirements and can be used in place of the official form.

Kansas sales tax on vehicle purchases

Kansas has a 6.5% state sales tax rate. 6.5% state plus local taxes (total can exceed 10%). Private-party vehicle sales in Kansas are subject to sales tax. Sales tax applies to private party vehicle purchases. The title transfer fee is $10.

Kansas bill of sale statistics

BillOfSaleNow has generated 712 bill of sale documents for Kansas transactions, with 19 generated this month alone. The most popular vehicle type is car.

More Kansas Vehicle Guides

Each guide is written specifically for Kansas laws, agencies, and procedures. Bookmark for future reference.

Frequently Asked Questions

How much is a dealer surety bond in Kansas?

Kansas requires a $10,000–$100,000 surety bond for licensed dealers. Amount varies by state and dealer license category. Contact your state DMV for the exact requirement.

Who requires a dealer surety bond in Kansas?

State DMV or Motor Vehicle Division requires the bond. Most states require a surety bond as a condition of obtaining and maintaining a dealer license.

How much does a dealer surety bond cost annually in Kansas?

Expect to pay 0.5%–3% of bond face value per year. Premium is based on your personal credit score. Good credit = lower annual cost.

What happens if a Kansas dealer doesn't have a surety bond?

Dealer license denial, suspension, or revocation. Possible criminal charges for operating without a bond.

How does a surety bond claim work in Kansas?

Injured buyer files with state DMV or directly with the surety company. Valid claims are paid up to the bond face value. Dealer must reimburse the surety for any paid claims.

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Source: State DMV Dealer Licensing Division. Verify current bond amounts with your state DMV before purchasing.

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