Purchase a New York Certificate of Title Bond online with no credit check for most amounts. Learn about these bonds, including who needs one and what the title bond guarantees.
A New York Certificate of Title Bond is a type of surety bond that protects buyers, sellers, lienholders, and other interested parties against damages in cases where the State of New York issues a vehicle title when questions about vehicle ownership or liens exist. The bond allows a Title to be issued under Article 46 2105 of New York Code.
The applicant applying for a certificate of title bond is known as the principal on the bond. The principal makes a payment and provides indemnity to the surety bond company. The surety bond company is a third party company that is licensed and rated to pay claims if they occur. The surety provided a financial guarantee to the State of New York who is referred to as the obligee. The bond provides financial protection to a party that is damaged if the applicant is not the rightful owner or if the vehicle has liens against it.
Should a party suffer damages on account of the state issuing a title, the party can make a claim against the title bond. The surety will investigate the claim and pay if necessary. The surety can then seek reimbursement from the principal as part of the indemnity agreement. These title bonds benefit the public because collecting from a surety company should be faster and easier than trying to seek damages from the principal through litigation.
The bond is required to be one and one half times (1.5x) the vehicle's value as determined by the commission. This is the maximum that must be paid by the bond company, regardless of the actual dollar amount of damages, or the number of claims filed. This is referred to as the bond's penal sum. Generally, payment under the bond does not relieve the principal of further damages.
New York Certificate of Title Bond's cost 1.5% of the bond amount for most applicants. For example, a $30,000 Title Bond would cost $450.
New York Certificate of Title Bond's can be purchased online instantly. Amounts of $50,000 and less can be purchased without a credit check. The applicant will need to know the bond amount needed along with the year, make, model and vehicle identification number.
The bond must be in place for three years. At the end of three years, the commissioner will return the bond if a notice of claim has not been received or if the commission has not received that the title was used to obtain a title in another state.
The commission may return the bond if the applicant surrenders the title back to the commission before the end of the three-year period.
New York does not issue 'Titles' for the following vehicles:
New York is one of many states that allows an applicant to obtain a certificate of title when the state is unsure of ownership or liens. The title bond protects past and future interested parties of the vehicle. These title bonds are an effective way to protect the public. They are inexpensive and can be purchased online. Contact the title bond experts at Axcess Surety today with all your questions and surety bond needs.
Axcess Surety is the premier provider of surety bonds nationally. We work individuals and businesses across the country to provide the best surety bond programs at the best price.
