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Purchasing a Georgia lost title bond is a mandatory step in the process of obtaining a bonded title from one of the state�s county tag offices. A bonded title will allow you to do the same things you can do with a vehicle for which you have a regular certificate of title�register it, sell it, donate it, or otherwise transfer ownership.
A Georgia lost title bond protects the state of Georgia against being held liable for having issued you a bonded title if it later turns out that you should not have received one because you aren�t the vehicle�s rightful owner. The bond also ensures that funds will be available to compensate the rightful owner or a lienholder who has experienced a financial loss as a result of you claiming ownership of the vehicle.
If you don�t have an original title for a vehicle, you�ll need to obtain a bonded title. The most common reasons for lacking a proper title include:
The required Georgia lost title bond must have the same duration as a bonded title: four years. It must also be in an amount equal to twice the vehicle�s average retail value as determined by the Georgia Department of Revenue, but no less than $5,000. There are also restrictions on the age of the vehicle�it must not have been manufactured earlier than 1984 or within the last two years.
The surety bond agreement for a Georgia lost title bond is a legally binding contract between:
Despite the safeguards in place in the bonded title process, someone could come forward within the four-year period following issuance of your bonded title and be able to prove an ownership interest in the vehicle. If that should happen, the surety will investigate to make sure that the claim is valid and may try to negotiate an amicable settlement for the damages claimed by the vehicle�s rightful owner.
However, if the claim is valid and must be paid, the surety will most likely pay it on your behalf and then seek reimbursement from you. That�s because the terms of the surety bond agreement legally obligate the principal, not the surety, to pay any valid claim. The surety is simply lending you money to cover the claim, which creates a debt that you must repay.
Georgia lost title bonds up to $6,000 are sold for a flat fee of $100. For bonds between $6,000 and $25,000, add $15 per $1,000 of additional coverage.
Bonds above $25,000 are subject to underwriting, with a premium rate that is based on the principal�s creditworthiness.
Request a convenient online quote today, or call to speak with one of our experienced professionals about the Georgia lost title bond you need to obtain a bonded vehicle title.
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