Consumer Title Resource | Since 2009!

Illegal Lost Car Title Scams

There are some illegal title duplication scams that we run into every day. These are ways that people try to get lost titles on cars, and people charge a lot of money to get lost titles for cars using these scams.

Mechanic’s Lien Scam
One of the most common is a mechanic’s lien scam. It’s usually a body shop or a towing company that will use the mechanic’s lien process to get a title for a car. It’s extremely illegal. The mechanic’s lien is supposed to get them a title for a car that they did work on. Did somebody then pay the bill? If they’re using the process to get titles for people that never had anything to do with their shop, you can get in big trouble. There’s people that get arrested for that all the time.

Title Agent Scam
There’s also scams where you actually have to sign over the title to the title agent. Usually, it’s an online company or you have to sign a power of attorney saying that you’re allowing them to sign anything they want to on that car. That, in effect, is signing over your rights of that car to that company that you don’t know who they are. You don’t know where they are. Is it a P.O. box? Are they licensed?

Unlicensed Companies
The other scam is exactly that: they’re unlicensed companies. In order to process car titles in most states, you actually have to have a state license to do business specifically for car titling and registration. If you don’t have that license, you’re operating illegally. And if you do business with somebody like that and they do something wrong or they file fraudulent documents, you’re gonna be on the hook for it. You could lose your car, you can get in legal trouble, and those are the kind of things you want to avoid to get a car title.

The Importance of Legal Processes
There are dozens of news stories every week. If you do a search on Google for car title scams or car title fraud or illegal car titles, you’ll find dozens of new stories. We see them all the time. You’ll find them on our blog about people who are getting in trouble every day for doing some type of improper or fraudulent process to get a lost title for a car rather than going through the legal process to do it, where you can get a title that won’t be revoked from you at a later date.

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