A vehicle title is a legal document that proves ownership of a particular vehicle. To transfer ownership of the vehicle, the prior owner must sign the title over, but how do you know if the title you have is legitimate before you buy?
On every certificate of title for a vehicle, the VIN will be present. Typically the VIN is 17 characters, but vehicles older than 1981 may contain less. The VIN is present inside of the vehicle in various areas, most commonly in the door and under the hood. Find at least 2-3 places on the vehicle where the VIN is present and verify that the VIN on the title matches the one on the vehicle.
Only the legally titled owner of the vehicle is authorized to sign over the title to the new owner. Check the certificate of title for the owner information and ask the seller to provide a valid photo ID to verify their identity. Oftentimes if the seller is not the actual owner, they may be attempting to jump titles or the vehicle may have been stolen. If the seller doesn’t want to prove their identity for verification, this may be a red flag that they’re involved in illegal activities.
Check the lien section on the title for previous liens on the vehicle. Even if there is a signature in the lien section, it doesn’t mean it’s a valid signature. Contact the lienholder listed to verify that the lien has been paid off. If there’s a lien on the title, you won’t be able to transfer it until that lien has been released. Additionally, remember if there’s a lien on a vehicle, that vehicle is owned by the lender.
At the top of the title will be the title number. If a title is reissued, the new title will be valid and will invalidate the old title. It’s possible that the title you’ve been given is an old title and a new title is already issued in someone else’s name. To check the status of the title number, contact your local DMV directly.
Titles cannot be issued from any other institution other than the DMV. If a title has been typed over or otherwise altered in an unofficial way, the title is considered forgery and is immediately deemed invalid. Additionally, check the title number against the current registration of the vehicle. If the title number on the registration does not match the title number of the certificate, it may be a false title.
When the vehicle title is signed over to you, make sure that the seller completes their part correctly. If not, it could leave you with a vehicle and no title. Keeping yourself educated is the best way to stay safe from scams. These five tips are not the only ways to keep yourself safe from vehicle title scams. Always double-check the information provided and when in doubt, contact the DMV for verification. If the situation feels wrong, it just might be.
A mechanic’s lien is a process afforded to licensed automotive facilities in order to recover costs for repairing a vehicle. Similar to the mechanic’s lien, many states also allow for storage facilities to file a similar lien on stored vehicles known as a storage lien. In Virginia, these two liens are processed in essentially the same method. If you’re an automotive mechanic or storage facility in Virginia looking to file a mechanic’s lien or storage lien (MSL), there are strict requirements and timelines to file. So how do you file a mechanic’s lien?
When filing a mechanic’s lien in Virginia, the first step is to determine the NADA value of the vehicle. The NADA value provides the book value of the vehicle which translates to how much the vehicle is worth. This step is especially crucial for filing a mechanic’s lien in Virginia as different filing procedures will exist for different value vehicles.
This procedure to file a mechanic’s lien requires that there is no record of owner or lienholder on official DMV records. If a record is found, the owner and/or lienholder must be notified in accordance with MSL guidelines. Additionally, the vehicle must be at least 6 years older than the current model year.
The Virginia mechanic’s lien process and storage lien process is a very valuable and powerful tool. Unfortunately, oftentimes mechanic’s liens are not filed in good faith. The DMV is constantly picking through mechanic’s lien and storage lien applications to check for fraud. If you’ve submitted your application properly but it was still rejected by the DMV, don’t panic. This is a common tactic used by the DMV to scare off those who are attempting to use this process fraudulently. Simply resubmit your application and contact your local DMV if needed. If a mechanic’s lien is not done correctly, the DMV has the authority to revoke the title and could even bar a business from filing mechanic’s liens in the future.
Want help getting started on your mechanic’s lien or storage lien? CarTitles.com is the expert at handling challenging title situations. Let us help you get started with your paperwork or mechanic’s lien process here!
When you think of the DMV, “fast” may not be the adjective you choose to describe them. Before dragging the DMV too much, there is one simple tip that you can use to get your car title processed faster. Like most businesses in 2021, the DMV heavily relies on computer automation for its processes. To get your car title processed faster, appeal to the automated processes and type your documents.
The old ways of manually filling out your title application are phasing out and technology is taking over. Today most DMVs use a computer processing system to read documents called optical character recognition (OCR) to recognize the characters and upload them into the DMV database. If your title application is typed, the OCR system typically has no problem reading your application and has the ability to speed up processing times. While most DMVs still allow handwritten applications, OCR systems may have trouble deciphering certain characters resulting in manual processing. With your application now in the hands of a DMV employee to be manually reviewed, your processing time will likely be much longer.
Most state title documents are available on your state’s DMV website as a PDF. Many programs allow for PDFs to be edited, check out this article for ways to type into a PDF. Automation is what makes title processing faster, make it easy on yourself and the DMV by typing your title application.
What happens when you bought a car without a title from a dealership that has gone out of business? Unfortunately, this happens much more often than you may think. Oftentimes when a dealership is getting ready to go out of business or having financial troubles, they’ll sell vehicles that they don’t have the title for or can’t obtain the title for without paying off a lien first. This way they avoid paying additional fees for registration and/or liens since they’re going out of business anyway. So where does that leave the new owner? The dealership is hoping that this will now be their problem, but there are still ways to get your car title from a closed dealership.
States like New Jersey have a specific process that addresses how to get a car title from a dealership if they’re out of business. If you bought a car without a title from a dealership in New Jersey that went out of business prior to issuing your car title, you can apply to acquire a title from the New Jersey Motor Vehicle Commission (NJMVC). This is a 14 step process that allows for emergency application for vehicle title in the event that your dealership has gone out of business prior to issuing your: title, plates, and/or registration. Each state handles this process differently, be sure to check your state’s requirements before proceeding with any official application.
Other states, like Indiana, have a different process that requires you to directly make contact with the dealership by sending a demand letter for your car title. If your state requires you to contact the dealership with a demand letter, the first step is to look up the business in your state’s Secretary of State database. Next, search the database for the principal name, registered agent, and addresses. Then, write your demand letter clearly stating what you need from the dealership and send it by certified mail to the principal, registered agent, and any additional officers listed. Before sending any letters, it’s important to review your state’s requirements to ensure all of the criteria are met and that the correct parties will receive your letter. Sending your letter to multiple contacts within the company increases the likelihood that you will receive a response and provides proof that you attempted to make contact.
Buying a car is one of the most exciting purchases you can make, but it can quickly become unpleasant if you’re purchasing from a bad dealership The best way to prevent yourself from buying a car with no title and avoid being scammed by the dealership is to ask for the dealership to show you the physical title prior to purchasing. While they may not be able to hand over the title to you at that time, they can show you that they physically have it. If they’re a reputable dealership, they’ll show you the title. If you’ve already bought a car without a title, there are still ways to get the title you deserve.
Did you buy a car with no title? If you have, you’re not alone. Navigating the auto market can be tricky, but it gets even more so when you find your vehicle is missing its title. Whether you’re planning to sell a car without a title or you’re buying a car with no title, it’s imperative to know ahead of time that buying or selling a vehicle without a title is actually illegal in most jurisdictions. Typically, vehicles cannot be registered without a title and if your vehicle cannot be registered, you cannot legally drive it.
However, just because there’s no title doesn’t mean you can’t still get one. The first step in obtaining a title for a car without a title is to determine if the car was legally obtained or if it was stolen. One way to check the history of your car is through the National Motor Vehicle Title Information System (NMVTIS) by searching your car’s VIN through their database. This database not only can tell you if your car was previously stolen but will also tell you if it has ever been junked. If your car’s VIN is found in the NMVTIS record as junk, you may not be able to get a title. If your car’s history is clear and you have the necessary documentation to obtain a car title, here are four methods for title recovery for cars without a title:
A bonded title can be obtained if you have a car with no title and limited documentation. The bonded title process requires the vehicle owner to purchase a surety bond for the vehicle which typically is under $100. The surety bond allows for protection for the lender if someone else were to prove ownership of the vehicle or otherwise invalidate the bonded title. Once you have your bonded title, you can register the vehicle at your local DMV. Be sure to check your state laws as not all states accept bonded titles.
The Vermont title loophole has been used for years as a way for vehicle owners to get a title for a vehicle over 15 years old. Vermont is a non-titling jurisdiction, meaning they do not produce titles for vehicles over a certain year. The loophole is that just about anyone, not just residents of Vermont can use this method if they have a bill of sale and a car over 15 years old. By registering your 15+ year-old car in Vermont, the registration itself is the state’s version of a car title for that age of vehicle. After you register your car in Vermont, you can then transfer the registration to a title in your home state.
Were you the last titled owner of the vehicle? If so, this is the easiest way to get a new car title. Simply visit the DMV in the state where you were the last titled owner, provide the necessary documentation and identification, then they’ll reissue you a title. If you’re applying for a duplicate title, please note that you cannot apply for a duplicate title in a state other than the last titled state. For example, if your car was last titled in Florida, but you now live in Colorado, you must contact the Florida DMV to obtain your duplicate title. Similarly, if you were not the last titled owner of this vehicle, this title recovery method will not work.
If you’re buying or selling a car with no title, typically you won’t want to file it as an abandoned vehicle. In most states, the property owner who reports the abandoned vehicle must intend to dispose of the vehicle afterward. However, in some states like Virginia, there are some exceptions. In Virginia, abandoned vehicles are considered abandoned after 48 hours on private property without the property owner’s consent. If the situation meets the Virginia Abandoned Vehicle Process (AVP), the Virginia DMV will take action to contact the prior owner in order to remove the vehicle. If no owner is found and the vehicle is not removed within 15 days, the property owner is authorized to post the intent for vehicle auction and sell the vehicle within 30 days of the original notice.
If you’re considering an abandoned vehicle process, be sure to check your state’s timeline to file.
Using any of these methods may be beneficial to get you a car title, make sure to check with your state and local laws to ensure these methods are valid in your location. The vehicle title provides proof of ownership and if you’re buying a car, getting the title in your name is the best way to ensure your asset is safe. Need assistance getting your car title? Our Title Experts can prepare documents for any of the listed title recovery methods whether you’re selling your car or buying one. Not sure what type of title best fits your situation? Text TITLE to (402) 698-4853 or (402) MY TITLE.
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