Car title after paying off car loan (Raleigh, Star: insurance, DMV)

[GucciLittlePiggie]

Despite living here for 5 years now, this is the first time I've paid off a car loan in NC. I think I understand what I'm supposed to do from reading the DMV site, but I would appreciate some confirmation.

The bank is sending me a notarized, completed Lien Release Form (they accidentally mailed my original title to a former auto insurance company, but assured me this lien release form will work fine). My understanding is that I pay the $15 fee, bring in that form and my license/registration, and they DMV issues me a new title in my name. When I want to sell the car, I bring that title into the car dealership (or CarMax, etc). Is it really that simple?

Thanks for any input!

[C_Lan]

I don't remember the fee but I just went through the same process and it does work. Note that there is a 15 day wait period after they receive the title request so count on 20 days before you have the title in hand.

[Myghost]

It's been a long time, but I thought they just send you the title (it's already in your name), lien free, and you put it in a place for safe-keeping. No need to file anything or apply, unless that is due to the mistake they made.

I've always just received it, and stored it, and when I sell the car, sign it over per instructions.

20-ish days sounds right.

[twingles]

Yes. It's that simple. Hard to believe with the DMV.

[C_Lan]

Originally Posted by Myghost

It's been a long time, but I thought they just send you the title (it's already in your name), lien free, and you put it in a place for safe-keeping. No need to file anything or apply, unless that is due to the mistake they made.

I've always just received it, and stored it, and when I sell the car, sign it over per instructions.

20-ish days sounds right.

From the sounds of it the title was sent elsewhere and he/she had to get a duplicate. That involves going through the DMV he/she described.

[GucciLittlePiggie]

Okay, thanks for the feedback! (I'm a "he" btw... :-p)
So if I wouldn't have had to pay the fee, I'm going to wait till it shows up in my checking account and ask the bank to reimburse me for their mistake. Just out of principle. If I would've had to pay it anyways, then that's fine.

[Straitlover]

The $15 is a duplicate/lost title fee. I would make the bank reimburse you since they screwed up. I agree, it's the principle.

[RaleighLass]

Originally Posted by Myghost

It's been a long time, but I thought they just send you the title (it's already in your name), lien free, and you put it in a place for safe-keeping. No need to file anything or apply, unless that is due to the mistake they made.

I've always just received it, and stored it, and when I sell the car, sign it over per instructions.

20-ish days sounds right.

Same experience here! Has the process changed?

[Starglow]

Originally Posted by RaleighLass

Same experience here! Has the process changed?

Yes. Once the lien has been satisfied, the lien holder signs the back of the title and mails it to you. This is fine and can be used when you sell/trade the vehicle. However the risk is if this signed title is lost, you no longer have proof the lien has been satisfied and will have to go back to the former lien holder again. If you take the signed title to the DMV tag office and pay $20, they will re-issue a new title in your name with the lien removed...that is the difference.

[saturnfan]

Originally Posted by Starglow

Yes. Once the lien has been satisfied, the lien holder signs the back of the title and mails it to you. This is fine and can be used when you sell/trade the vehicle. However the risk is if this signed title is lost, you no longer have proof the lien has been satisfied and will have to go back to the former lien holder again. If you take the signed title to the DMV tag office and pay $20, they will re-issue a new title in your name with the lien removed...that is the difference.

With the way banks consolidate and disappear, getting proof the lien is satisfied can become a real issue when you want to sell the car.

Be smart and get a new title while you can.