If you have taken out a car title loan, you have turned over the title to your vehicle to your lender in exchange for receiving your money. The car title loan was a very quick and easy way to access cash for whatever reason. What do you do when the loan is paid off? There is a real simple process to follow to make sure that you regain your vehicle’s title.
The first thing that must happen in order to you to regain the title is to pay off the loan, of course. Make all of your payments on time and, when possible, make extra payments in an effort to pay the loan off quicker. Check with your lender to make sure there are no penalties associated with early payoff. You should also find out from your title loan company what takes place once you have paid off the loan. If you used Embassy Loans, one of Florida’s premier consumer finance companies, the laws and regulations may be different than in another state. Find out exactly what you must do to reclaim your title.
Your title loan company should provide you with proof that the loan is paid in full. The company can provide you with a payoff statement, which you will need to get your title back. You should also be able to obtain a complete history of your payments and other relevant information regarding the loan. Keep all of that documentation in case you have any problems getting the title back.
You will have to contact the government agency that records car titles. Most states have a Department of Motor Vehicles or Department of Transportation with local offices that can help you with obtaining your title. The agency will let you know what paperwork is necessary – like the payoff statement showing the lien is paid in full – and you may pay a fee. The agency will also let you know how long it may take to process your paperwork and receive your new title.
Once you do receive the new title, check it and make sure the lien has been removed. Check the rest of the title as well for any errors. A title with errors can make it difficult to secure tags, pay taxes on the vehicle, or to sell it in the future.
To make it easy to obtain your vehicle’s title after taking out a car title loan, make all of your payments on time. Make sure you do your homework and understand the process in your state for reclaiming your title.