What is a bonded title and what is it used for?
A bonded title is a notation reflected on a title document and the motor vehicle record which indicates that a Certificate of Title Surety Bond was surrendered in support of the application for title. The bond is issued in the title applicant’s name for a 3-year period. The notation is carried forward upon subsequent issuance for the 3-year period. The bond is required by statute, when proper ownership documents are unavailable, to protect previous and subsequent owners and lien holders from possible claims.
