So many sellers go into “sell mode” without checking all the information needed to get their vehicle sold. From years of experience in the vehicle industry, we have advised owners to check with a lender within 2-3 months of purchasing a vehicle to be sure they actually received the title with their name and lender’s name listed on the title. With several states now using Electronic Titles, a paper title will not be issued until the loan is paid in full. However, your lender and your state or local DMV can provide you with title information, showing ownership and lien information. Before you list your vehicle, be sure your lender can provide you with a title when the loan is paid in full.
After being able to provide proof of title with proof of lien, have your loan account number and lender contact phone number and or contact person. With technology so advanced, many lenders will require verbal or written authorization for someone to obtain a payoff quote. Some lenders will require a three-way call with the lender, seller and person requesting the payoff information. This does help with cyber security, so it is best to be proactive and inform your lender you’re selling the vehicle and give the party requesting the payoff prior authorization to obtain payoff and title information. Having the loan account number, how your name is listed on the loan and the full VIN number is also a plus when getting ready to verify the payoff. Your full VIN number can be located on your vehicle registration form and many banks provide an APP with all the pertinent information, other than the title information.
Selling a financed vehicle can be a simple process if you’re well informed and organized. Be proactive and make sure your lender has received a title as soon as possible to alleviate issues for yourself down the road.
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