Alabama Automotive Dismantler and Parts Recycler Bond

This bond is required for businesses in Alabama that dismantle vehicles and sell used auto parts. If you take apart cars and resell the parts, you need this $50,000 bond to operate legally. It protects the state and consumers if your business breaks laws or fails to meet obligations, such as improper handling of vehic…

Bond amount$50,000
State or jurisdictionAlabama
ObligeeState of Alabama

Essential point: Pin down whether this is your bond, then start the application. Ava can confirm the right state and license type if you are not sure.

Overview

What it is.

This bond is required for businesses in Alabama that dismantle vehicles and sell used auto parts. If you take apart cars and resell the parts, you need this $50,000 bond to operate legally. It protects the state and consumers if your business breaks laws or fails to meet obligations, such as improper handling of vehic…

Who usually needs it

Individuals, firms, or corporations applying for or holding an Automotive Dismantler and Parts Recycler license in Alabama must obtain this bond. This specifically applies to those in the business of dismantling vehicles and recycling auto parts, including any person or entity possessing 10 or more inoperable motor vehicles for more than 30 days (excluding …

Pricing & timing

What to expect.

Generic pricing

License bonds are required by state and local governments to ensure compliance with industry regulations. Typical Pricing:. • Small bonds (under $25,000): Typically $100–$250 per year (flat fee). • Larger license bonds: Commonly around 1–5% of the bond amount annually. • Credit impact: Good credit: starting around 1–2% · Average credit: typically 2–4% · Credit challenges: often 4–5% or higher. Same-day approval is typical for many common license bonds. Some license bonds may price higher depending on the specific bond type, state program, or underwriting requirements.

Your quote determines the actual premium.

Typical timeframe

Issuance timeframe varies by bond type and underwriting

Timing can change when underwriting needs more information.
Application details

How it works.

  1. Start the application

    Confirm the bond and provide applicant and business details.

  2. Review the quote

    See the terms and premium before deciding to continue.

  3. Pay and sign

    Complete the required payment and signatures.

  4. Receive the bond

    Get the issued bond and filing or delivery instructions.

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Frequently asked

Common questions.

Who is the obligee on this bond?

The obligee is the State of Alabama.

What is the bond amount for the Alabama Automotive Dismantler and Parts Recycler Bond?

The bond amount is $50,000.

If someone is harmed by wrongdoing, how much can they recover through a bond claim?

People can file claims against the bond to recover losses up to $50,000 (the bond limit).

Next step

Ready to move forward?

Start the secure application with this bond already selected, or ask Ava a question before you begin.