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In the event that you lose the title to your car (or if it’s stolen), a title bond guarantees your ownership of the vehicle to the state. The vehicle must be in your possession and cannot be considered abandoned, junked, stolen, or in any other pending lawsuits.
If your documents are approved, you will be issued a letter stating the amount of the bond equal to 1½ times the value of the vehicle.
Email or fax your letter and other documents given to you by the TxDMV Regional Service Center along with any supporting evidence of ownership (Bill of Sale, Invoice, Cancelled Check, Auction receipt, etc.) to our office.
You have one year from the date of the letter to purchase a Surety Bond in the amount shown on the letter, otherwise a new letter and bond will be required. Note: If records indicate that the vehicle has a lien that is less than 10 years old, as the surety bonding company we are responsible for ensuring that the lien has been satisfied or released.

The New Jersey motor vehicle bill of sale outlines for two parties the transaction details for a trade of a car for monetary funds (cash or check). It is highly recommended both parties verify each other’s identification to prevent fraud. This is particularly useful if someone else tries to claim ownership of your car after the title goes missing. Although not required to be operational, it must be a complete vehicle including a frame, body and motor or if a motorcycle, a frame and motor. Both items, the funds and the vehicle, should be exchanged on the date of sale along with the signing of the document.
The disclosure is to be used for all vehicles under 10 years old and below sixteen-thousand pounds (16,000 lb.).

Because you need your car’s title in order to register the vehicle, a title bond is beneficial to ensure that you can always prove ownership.
If the previous owner files a claim and the surety company finds they should be paid, the surety company will pay the previous owner the amount of the bond and require the purchaser of the bond to pay that amount back.

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07.12.2013 admin

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