I have a 2010 Tundra I'm selling to my folks. I live in MT and they live in TN. I have the letter from Toyota stating that the loan has been paid in full and that the lien can be lifted. Can I give that form to my parents with the title and have them get the lien removed when they title it in TN?

Or do I need to have that done in MT beforehand?

I have never had a title reissued after a lien release. I simply keep the release with the original title and send them both together. Never had an issue.

I'd call the TN DMV and ask what they need. Getting a new title from MT is probably cheap and will only take a week or so if you need it.

quote:

Originally posted by thezoltar:
Getting a new title from MT is probably cheap and will only take a week or so if you need it.

MT is taking about 8 weeks to produce a clean title after submitting a lien release; it's $10

Probably going to have to make some phone calls as it will very by state. Even then you may be told something different than what happens when you show up.

I know in MD I have been giving different info by different people.

Since the vehicle and the loan are in your name, you'll likely need to handle canceling the debt and updating the title on the vehicle. Your parents will likely be viewed as a third party, and won't have any authority to do anything, especially with the note.

In Ohio the lien needs to be cleared off the title in the county where the lien was put on the vehicle (I think).

When dealing with any DMV, make it as easy as possible.

Get the clean title first...

In Indiana there is a lien release on the title itself that needs to be signed and stamped. You might be able to get by with a notarized affidavit but probably not.

quote:

Originally posted by aileron:

quote:

Originally posted by thezoltar:
Getting a new title from MT is probably cheap and will only take a week or so if you need it.

MT is taking about 8 weeks to produce a clean title after submitting a lien release; it's $10

That is complete nonsense. Absolutely no reason it should take that long.

Here you take the title to the clerk they cross out the lien on the title and emboss their stamp over it. Charged me nothing and I was out in under 10 minutes.

In New Jersey we don't receive the title until the loan is paid off. Then it can take up to a month to finally receive the title. I'm sure you can get it quicker but at the time I wasn't in a rush for the title.

Check with both states to make sure. But you should be able to sign over title to parents and then they present title and lien release to their state.

I just went through this for a parent to register their own vehicle, they moved from MS to GA. MS still showed a lien. Requested lien release from lender and was snail mailed to her within two weeks. Had release statement to whom it may concern with a stamp and signatures. No charge.

Title was snail mail from MS to her per a snail mail request, only way to request it in MS. Cost $9. Snail mail it takes several weeks to be returned unless you pay an extra $30 for a 72hr turn around upon arrival of request to MS. She paid extra had it back within 10 days including a weekend and one holiday.

But had she still been living there she could have picked up same day.

quote:

Originally posted by Patriot:
When dealing with any DMV, make it as easy as possible.

Get the clean title first...

I think I would go this route as well. Keep it as simple as possible.

quote:

Originally posted by bigdeal:
Since the vehicle and the loan are in your name, you'll likely need to handle canceling the debt and updating the title on the vehicle. Your parents will likely be viewed as a third party, and won't have any authority to do anything, especially with the note.

This, you will need to deal with the lien. But the satisfactory note might be enough. But easiest for everyone involved is for you to have the lien satisfied on the title before selling it to your parents.

Same in CA. Will take a month plus after the lienholder files their lien release till you get a pink slip. Just wait till you get the clean title and do the deal then.

Many states have a fast title office, ask.

quote:

I have the letter from Toyota stating that the loan has been paid in full and that the lien can be lifted.

Then they should have sent you the title.

quote:

Then they should have sent you the title.

In some states (like Missouri) the vehicle owner holds the title, not the lender. The title is branded with a lien, and the lien release letter allows that branding to be removed upon the next titling.

Doesn't matter if the new title is issued to the existing owner or a party the vehicle was sold to.

Its your responsibility to provide a clear title. I bought a truck once that had a lien. We both met at his bank, I gave him the cash and he paid off the lien. Bank signed off on the title he and signed title selling to me. I took title to sec of state for plates and new title.

quote:

Originally posted by Black92LX:

quote:

Originally posted by aileron:

quote:

Originally posted by thezoltar:
Getting a new title from MT is probably cheap and will only take a week or so if you need it.

MT is taking about 8 weeks to produce a clean title after submitting a lien release; it's $10

That is complete nonsense. Absolutely no reason it should take that long.

Here you take the title to the clerk they cross out the lien on the title and emboss their stamp over it. Charged me nothing and I was out in under 10 minutes.

I don't disagree that 8 weeks is too long, but in the past, it's been even longer. I remember the days when it was about double that.

In Montana, the owner holds the title and the lien(s) are printed on the title. When the loan is paid off, the lienholder sends an original 'Release of Lien' to the State DMV and a copy to the owner. I have had no trouble attaching the release to the orignal title and transferring that to the buyer. If you take your title to either your bank or the County DMV they can verify the lien in is released.

On a leased vehicle, the lessor holds the title until the lease is terminated.