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All state guides West Virginia dealer license

How to get a used car dealer license in West Virginia

You apply to West Virginia DMV Dealer Services for a class DUC used motor vehicle dealer license. The process starts with a DMV pre-inspection of your location, and you need a $25,000 bond, dealer liability insurance and fingerprints taken by a DMV investigator.

  • Sourced to WV DMV
  • Checked October 2026
  • Free
License
Used motor vehicle dealer license certificate (class DUC)
Surety bond
$25,000
State fee
$250 + $150 recovery fund
Pre-license course
None required
Background check
Fingerprints, all owners and officers
License term
July 1 to June 30, $100 renewal
What the state asks for

West Virginia dealer license requirements

The figures a first-time used car dealer needs before applying to WV DMV. Each row shows how well it is supported.

Surety bond
$25,000Official source

Surety bond filed with the application and effective the day the license is issued. After three years with no claims, suspensions or civil penalties, state law lets a dealer stop carrying it.

State license fee
$250 + $150 recovery fundOfficial source

The $250 application fee covers the license certificate and one dealer plate. Two more plates are $5 each. New applicants also pay $150 into the Dealer Recovery Fund.

Pre-license education
None requiredOfficial source

DMV's list of licensing requirements and its minimum requirements handout do not include a course or an exam.

Background check
Fingerprints, all owners and officersOfficial source

A DMV investigator fingerprints every owner and corporate officer and collects a signed release. DMV then checks criminal records, state tax standing and unemployment compensation accounts.

Insurance
25/50/25 dealer liabilityOfficial source

DMV's handout sets $25,000 per person, $50,000 per accident and $25,000 property damage, running through June 30. The statute and DMV's web page still show 20/40/10, so buy the higher limits.

Business location
144 sq ft office, 1,200 sq ft displayOfficial source

A permanent location with no other business and no residence, a furnished office, a sign with letters at least 4 inches high, a phone listed in the dealership name and a service area or garage agreement.

License term and renewal
July 1 to June 30, $100 renewalOfficial source

Every license runs on the July 1 to June 30 license year. Renewal is $100 for a used dealer, plus the $150 Dealer Recovery Fund fee unless you qualify for the statutory exemption.

Sales allowed without a license
Fewer than 10 a fiscal yearOfficial source

State law defines a used motor vehicle dealer as someone in the business of selling 10 or more used vehicles in a fiscal year. The DMV dealer page does not state a separate limit for private sellers.

Processing time
Not publishedConfirm with the agency

DMV does not publish a processing time. By statute the commissioner may hold an application for up to 20 days to investigate before issuing or refusing the license.

“Official source” means the state agency’s own page, form or law. Where the state’s sources did not settle a point, the row says so instead of showing a guess.

Who issues the license

West Virginia Division of Motor Vehicles, Dealer Services

License you apply for

Used motor vehicle dealer license certificate (class DUC)

Official licensing page

DMV sources disagree on the insurance minimum

DMV's minimum requirements handout sets dealer liability insurance at 25/50/25 ($25,000, $50,000 and $25,000). W. Va. Code §17A-6-4 and the DMV dealer resource page still state 20/40/10. A 25/50/25 policy satisfies both. Confirm the limits on the insurance form in your application packet before you buy coverage.
Step by step

How to get a West Virginia dealer license

The order that works for a first application. Tick each step off as you finish it.

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  1. Pick a location and call Dealer Services

    Choose a site that has no other business on it and is not a residence. Call DMV Dealer Services at (304) 926-0705 and ask for the minimum requirements. A DMV investigator then contacts you to set up a pre-inspection at the location.

    Dealer Services: (304) 926-0705

  2. Pass the pre-inspection and get the packet

    If the investigator finds that the site has no other business and no residence, you receive the application packet at that visit. It holds the application, the insurance and bond forms and a copy of DMV's rules. Ask the investigator what the site still needs.

    Packet comes from the investigator

  3. Bring the site up to the place of business rules

    Set up a furnished office of at least 144 square feet with posted hours and a phone listed in the dealership name. Mount a permanent sign with letters at least 4 inches high. Mark out 1,200 square feet for display only. Arrange a service area on site or a written garage agreement with a repair shop.

    W. Va. Code §17A-6-1

  4. Get the bond, insurance and tax documents

    Buy the $25,000 surety bond and a dealer liability policy at 25/50/25 that runs through June 30. Each owner needs a paid personal property tax receipt, or an affidavit from the county assessor that no tax was owed. You also need a valid West Virginia business license.

    Forms MV-126-DS-P and DMV-126-DS-J

  5. Submit the application and fees

    Send the completed application, photos of the dealership and sign, and the supporting documents to Dealer Services. Include the $250 application fee and the $150 Dealer Recovery Fund fee. The $250 covers the license certificate and one dealer plate, and you can buy up to two more plates at $5 each.

    $250 plus $150 recovery fund

  6. Complete the final inspection and fingerprinting

    When your file is in order, a DMV investigator returns to confirm the site meets every place of business requirement. The investigator fingerprints each owner and corporate officer and collects a waiver that lets DMV check for delinquent state taxes.

    Done on site by DMV

  7. Receive the license certificate and plates

    After the inspection, the criminal background check and the tax and unemployment checks clear, DMV issues the license certificate and sends your dealer plates. Temporary plates are bought from DMV at $3 each.

    Temporary plates: $3 each

Practical advice

Hold off on a long lease or a permanent sign until the DMV investigator has seen the site. Bring a floor plan with the office and display measurements to the pre-inspection and ask for a written list of what must change. Collect personal property tax receipts for every owner early, since each owner needs one. Have your insurance run through June 30 to match the license year.

Before you apply

Seven things to settle before any state application: the business, the owners, the money and the property.

Read the startup playbook
The lot and the office

West Virginia dealer location requirements

What the state checks at the business address.

  • A permanent location that is free of any other business and is not at a residence.
  • An office of at least 144 square feet with furniture, power for heat and light, and office hours posted on the door (at least 20 hours a week).
  • A telephone listed in the name of the dealership.
  • A permanently mounted sign with letters at least 4 inches high, clearly visible from the nearest street or highway.
  • A display area of at least 1,200 square feet used only for vehicles the dealership offers for sale.
  • Space to service the vehicles you sell, either on site or at a third party's shop under a written garage agreement.
  • A business name that shows the license type, such as "used" or "pre-owned". DMV reserves generic terms like "Motors" for class D dealers.

Zoning comes first

A site that meets the state’s rules can still fail local zoning. Get written approval for vehicle sales from the city or county, and ask the landlord for a lease that depends on the license being issued, before you sign.
Once you are licensed

Keeping a West Virginia dealer license

Renewal and ongoing duties

Licenses run July 1 to June 30. Renew each year for $100 plus the $150 Dealer Recovery Fund fee, and keep dealer liability insurance in force for the whole license year. Keep the bond in place. State law lets a dealer drop it after three years with no claims, suspensions or civil penalties. Report a change of ownership or location on form DMV-126-M-DS.

Federal rules that apply here too

  • The FTC Buyers Guide, posted on every used vehicle you offer for sale.
  • The FTC Safeguards Rule: a written plan for protecting customer financial information.
  • IRS Form 8300 when a customer pays more than $10,000 in cash.
  • A federal odometer disclosure on each transfer.
How each federal rule works
FAQ

West Virginia dealer license FAQ

The questions first-time dealers ask most.

How do I get a used car dealer license in West Virginia?

Pick a location with no other business and no residence, then call DMV Dealer Services at (304) 926-0705 to schedule a pre-inspection. The investigator gives you the application packet. Bring the site up to the place of business rules, get a $25,000 bond and dealer liability insurance, and submit the application with the fees. DMV then does a final inspection, fingerprints the owners and issues the license.

How much is the dealer bond in West Virginia?

$25,000. It is a surety bond filed with the application under W. Va. Code §17A-6-4. A dealer who goes three years with no bond or recovery fund claims, no suspension and no civil penalties is no longer required by statute to keep it.

How much does a West Virginia dealer license cost?

The application fee for a used dealer is $250, which covers the license certificate and one dealer plate. You also pay $150 into the Dealer Recovery Fund. Up to two more dealer plates cost $5 each. Renewal is $100 a year plus the recovery fund fee. The bond premium and insurance are separate costs.

Do I need a pre-licensing course in West Virginia?

No. Neither DMV's list of licensing requirements nor its minimum requirements handout includes a course or an exam. What DMV does require is a pre-inspection, a final inspection and fingerprints from every owner and corporate officer.

Can I get a West Virginia dealer license without a car lot?

No. DMV requires a permanent location that is not a residence and has no other business on it, with an office of at least 144 square feet and a display area of at least 1,200 square feet used only for vehicles you offer for sale. A DMV investigator inspects the site before and after you apply.

How many cars can I sell in West Virginia without a dealer license?

State law defines a used motor vehicle dealer as a person in the business of selling 10 or more used motor vehicles in a fiscal year, and that person needs a license certificate. Operating as a dealer without one carries a civil penalty of up to $1,000 for a first violation.

Sources

Checked October 2026. This is general information, not legal, tax or insurance advice. Fees, bond amounts and forms change, and local zoning rules vary. Confirm current requirements with WV DMV or your attorney before you sign a lease or pay a fee.

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