When did you get your first car?
Was it when you were a teenager, dying for the freedom of the road? Was it later in your adulthood when public transportation became more inconvenient?
Whenever it was, if you're like most people, it felt good. Being behind the wheel on the open road is more emblematic of freedom than anything else.
However, anyone who has bought a car knows that it's not a free and loose process. There's a lot of money and paperwork involved.
One of the most important pieces of paperwork is your vehicle title.This form recognizes you to be the formal owner of a vehicle.
You will receive a car title wheneveryou buy a car. However you buy the car, you are legally required to sign a title. This applies in every instance, whether you buy a car new from a dealership or used from a private citizen.
There's a lot to learn about titles. While all this information may seem overwhelming, it's no cause for panic! We're here to give you all the information you need to understand this aspect of the buying process.
Basic Information of Vehicle Titles
There are a few essential pieces of information for you to know about car titles. First, understand that your new car title will come from the state where you purchase the vehicle.
If you live in a different state than the one that issued the title, make sure you take the title to the local Department of Motor Vehicles (DMV) when you register the car in your state.
Different states may have different processes. However, all titles generally include the following information.
They will include the license plate number, technical information, and the owner's name and address. The address is part of why your title needs to be taken to your new state's DMV when you register it.
Furthermore, the title will include identifying information about the vehicle, like the VIN, model, make, and year. If you buy a car with a lien against it, the title will include the lien holder's information.
When You'll Get Your Title
When you buy a new motor vehicle, you're most likely going to finance it. If that's the case, you will not receive the title on the day you purchase it. Instead, the title is mailed to you once you finish paying off the vehicle.
If you've ever bought a new car before, you know this could be quite a long time. However, don't be too concerned about this. Even if you don't receive the title for a long time, you can still use information from the title.
For instance, when you get insurance on your motor vehicle, you won't need your physical title. Instead, you'll use information like the VIN, proof of ownership, and your driver's license.
Different Types of Titles
Just as vehicles come in different conditions, there are different types of titles to reflect those conditions. There are four primary types of titles, though different states may classify sub-types or secondary statuses.
Clean Titles
This is the most basic type of title. A clean title applies to a vehicle that has no prior salvage notations. This means that everything works properly, and the car is in good condition structurally.
Clear Titles
This is the second most desirable type of car title. All it means is that there is no debt against the car. Once you've paid off your vehicle, your title will be clear.
Salvage Titles
This type of title applies to a wrecked car. There are often two types of salvage titles: those that are salvageable and those that are irreparable. You should know that either type of salvage title can be difficult to insure.
Reconstructed Titles
If a salvaged car has undergone repairs and the government determines it safe to drive again, then the title is upgraded to reconstructed.
Cautions Against Title Fraud
Before you buy a car from a used lot or a private citizen, exercise caution. Always ask to see the car title and make sure it is legal according to the individual state's law.
Once you see the title, run a history report. Use the VIN number on the title to do this. We at EpicVIN offer services to scan VIN numbers and run VIN checks by state. This service can help you track down the vehicle's history.
Have a mechanic examine the car. A car may look great on the exterior but have plenty of internal problems that can escape your notice.
Lastly, make sure the title of the car is legitimate in its presentation of information. Some shady sellers will "wash" a vehicle title, which means they clear up the vehicle's history before reselling it.
If you want to ensure that the title is accurately reflecting vehicle information history, check out the National Motor Vehicle Title Information System.
Their system protects consumers from fraud and potentially dangerous vehicles. If you're unsure about a vehicle's history or want to be cautious, they are a fantastic resource.
Abandoned Vehicle Titles
This is a little more obscure, but it is a type of title you could come across. This title comes up if an abandoned vehicle turns up on your property, and you would like to obtain a title for it.
The processes you go through vary according to participating states' practices. However, most follow these basic guidelines. First, you must contact law enforcement to verify that you did not steal the vehicle.
Following this, learn if there are any liens on the vehicle. Then you can file a "report of unclaimed vehicle" with the county. Once you notify the owner and all lien holders of what you're doing, you can apply for a title.
Be Thorough
If you have any concerns about your vehicle history, visit our website today! We are happy to help clear up any worries you may have.
