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

Mississippi 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 Mississippi

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

How to Get a Bond in Mississippi

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.

Mississippi-Specific Note

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

Mississippi-Specific Facts for Dealer Surety Bond

Mississippi Vehicle transfer fees and requirements

In Mississippi, the title transfer fee is $9 and registration costs $12.75 - $21.75 depending on vehicle type. Vehicle sales are subject to 5% sales tax on vehicle purchases (reduced rate). Notarization is required for vehicle bill of sale documents in Mississippi. Mississippi does not require emission testing for private-party vehicle sales.

  • Reduced 5% sales tax rate for vehicle purchases
  • Title transfer at county tax collector office
  • Seller must provide title signed and notarized

Mississippi sales tax on vehicle purchases

Mississippi has a 5% state sales tax rate. 5% reduced vehicle sales tax rate statewide. Private-party vehicle sales in Mississippi are subject to sales tax. Sales tax applies at the reduced 5% vehicle rate. The title transfer fee is $9.

Mississippi bill of sale statistics

BillOfSaleNow has generated 724 bill of sale documents for Mississippi transactions, with 20 generated this month alone. The most popular vehicle type is car.

More Mississippi Vehicle Guides

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

Frequently Asked Questions

How much is a dealer surety bond in Mississippi?

Mississippi 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 Mississippi?

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 Mississippi?

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 Mississippi 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 Mississippi?

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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