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What is a used car bond?

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13y ago

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It is a bond that a dealer has to buy to guarantee titles to vehicles. For instance if they take a car in on trade that has a payoff on it and they sell the car without paying off the note and then go bankrupt you would go after the bond money to pay the loan off. In most states only a small bond (around $40k) is required.

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13y ago
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Q: What is a used car bond?
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