New Jersey Auto Dealer Bond$10,000 MVC Requirement

New Jersey auto dealer bonds ($10,000) typically cost $100-$1,000 annually based on credit. Excellent credit (750+) pays $100-$200 (1-2%). Good credit (680-749) costs $200-$400 (2-4%). Fair credit (620-679) ranges $400-$700 (4-7%). Lower credit may pay up to 10%.

New Jersey requires only a $10,000 bond, one of the lowest in the nation. However, the state has strict insurance requirements ($100,000/$250,000 bodily injury) that provide additional consumer protection beyond the bond.

All New Jersey dealer licenses expire on March 31st annually, regardless of when they were issued. Both your license and bond must be renewed before this date. Your bond expiration must coincide with March 31st of the licensing year.

New Jersey requires a minimum 8x9 square foot office space with a desk, chair, landline telephone, and a working safe for motor vehicle documents. The office must be dedicated to dealer operations.

New Jersey dealers must maintain minimum 20 hours per week between 9:00 AM and 5:00 PM, Monday through Saturday, unless operating 48+ hours per week. This ensures consumers can access the dealership during reasonable hours.

Processing time is approximately 6-8 weeks from the Business Licensing Services Bureau. Applicants must attend a pre-licensure interview and be examined on knowledge of lawful dealer conduct in New Jersey.

New Jersey requires liability coverage of $100,000 per person/incident up to $250,000 bodily injury and $50,000 property damage. The certificate holder must read: "NJ Motor Vehicle Commission, P.O. Box 168, Trenton, NJ 08666-0168".

The wall license fee is $100 and a set of 5 dealer plates costs $257.50, for a total initial cost of $357.50 plus bond and insurance costs. Franchise dealers also need a manufacturer franchise agreement.

Contact the Business Licensing Services Bureau, Dealer Unit at 609-292-6500 ext. 5014. The mailing address is P.O. Box 170, 225 East State Street, Trenton, NJ 08666-0170.