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  • How do I become a designated agent?
View All Dealer License, Designated Agent FAQs

How do I become a designated agent?

Designated Agent Qualification Requirements:
Licensed Alabama Motor Vehicle Dealers must have a current Dealer License.
Licensed financial institutions – Submit a copy of their Title 5, Chapter 19, State Banking License or equivalent.
Pawnshops – Submit copy of Alabama Pawnshop License.
Insurance companies
Towing companies
Out of state financial institutions (manufactured homes only) – Submit copy of company’s State business or regulatory license.
Law Firms (manufactured homes only) – Submit copy of document evidencing that a principal of the firm is admitted to the State Bar.
Title Agents (manufactured homes only) – Submit copy of certificate of authority issued by the Alabama Department of Insurance.

Access the designated agent package (ALTS).Please note: the dealer regulatory license bond satisfies the designated agent bonding requirement. Non-dealers are required to post a surety bond in the amount of $50,000, payable to the State of Alabama.
When a completed package is received by the Department, the designated agent account will be set up in ALTS and a designated agent certificate will be sent to the applicant.
All designated agents are required to attend complete a training course before their ALTS account is activated and they are allowed to process title applications through ALTS.
Upon activation, the administrator can create additional users for the dealer and submit title applications.

Designated Agent Qualification Requirements:

  • Licensed Alabama motor vehicle dealers must have a current dealer license.
  • Licensed financial institutions – Submit a copy of their Title 5, Chapter 19, State Banking License or equivalent.
  • Pawnshops – Submit copy of Alabama Pawnshop License.
  • Insurance companies
  • Towing companies
  • Out of state financial institutions (manufactured homes only) – Submit copy of company’s State business or regulatory license.
  • Law Firms (manufactured homes only) – Submit copy of document evidencing that a principal of the firm is admitted to the State Bar.
  • Title Agents (manufactured homes only) – Submit copy of certificate of authority issued by the Alabama Department of Insurance.

Apply to become a designated agent by visiting MyDMV and Register as an Alabama Partner. Please note: the dealer regulatory license bond satisfies the Designated Agent bonding requirement. Non-dealers are required to post a surety bond in the amount of $50,000, payable to the State of Alabama.

When the application is approved by ALDOR the Designated Agent account will be set up in MyDMV.

All designated agents are required to complete their Designated Agent Training courses online before their access is granted. Once the training is complete the Designated Agent is allowed to process title applications through MyDMV.

 

Related FAQs in Dealer License, Designated Agent
All licensees are required to submit to the department a continuous bond in the amount of $50,000. All dealers are required by law to become designated agents of the department. The dealer bond also satisfies the designated agent bonding requirement. (Section 40-12-398, Code of Alabama 1975)
  • Master Dealer License: $125
  • Each additional place of business: $5
  • Off-site sales license: $25
  • Master Off-site Sales License: $25

(Off-site sales licenses must be purchased at least 10 calendar days prior to sale.)

Each dealer must maintain blanket liability insurance coverage for all vehicles owned or associated with the business.

Minimum insurance limits are:

  • $25,000 bodily injury/person/accident
  • $50,000 combined bodily injury/accident
  • $25,000 property damage/accident or a combined single limit of $75,000/accident

(§402-12-392, Code of Ala. 1975)

Processing time is approximately 3-5 business days from when the documents are received by our Department.
You can only obtain the bond and insurance form by applying for a dealer license.
All new and used motor vehicle dealers, including motorcycle and trailer dealers (excluding trailers not subject to titling), wholesale dealers, and rebuilders. (Section 40-12-391, Code of Alabama 1975)