Interesting item in the mail today from auto finance company

[goon]

So went to check the mail today and there was a letter from the company that had bought one of my vehicle loans. So I am sitting here thinking ... what do they want.... they shouldn't be contacting me.

So I open it up and it is the title to my truck.... What is interesting is that
A. My plan is not complete yet (about 2.5 years through a 5 year plan)
B. While the secured portion owed to them has been paid there is still an unsecured portion that is not paid in full yet.

So now I have the title with the lien release signed and notarized, I thought I wasn't supposed to get that till the plan was complete.

In any event that leads me to a question, since I have never paid off a vehicle before... do I need to go to mdv and get a new title printed without the lien on it? or just hold onto this one and it is as good as gold because it has the release signed? Obviously not planing on doing anything with the vehicle any time soon ( at least not till my plan is complete) but if there is any chance of problem I would rather go to the dmv and find out while still in the plan when it might be easier to get something done about it.

[Pjmax]

Congratulations! I think the title question may depend on your state. I paid off my car in Jan., pre-Bk. I took my title to the DMV (NJ) to change it over, and I was told I could if I wanted to spend the money, but it wasn't necessary. When I do sell/trade I can just sign it over and let the new owner get the new title. So, unless someone with first-hand AZ DMV experience chimes in here, I would just go and see what they say. I couldn't find anything on the NJ website. NJ's internet infrastructure needs a serious revamp. Can't speak for AZ, of course.

[TheBajan]

Just keep the title and the signed lien release. They will work together acting as a clean, transferable title. Congratulations!

[grndmom53]

Goon, Can I ask who your finance company is for your Truck ? We are also in Az & our vehicles show zero balance in our chapter 13. They were paid off with our Oct payment. Now all our payments are going to back taxes. We were able to cram down our truck balance so still have unsecured left on that. Just wondering if we will get our vehicle titles! We have about 18 months left in a 5 year plan.

We were financed with Capitol One & Wachovia.

[malf1204]

It might be a good idea to go to the MVA and get a "clean" title. I was in a similar situation with my last car and the dealership refused to accept the Title and lien release they wanted a "clean" title. Legally I was OK but still had to leave the dealership and wait in line at the MVA to get a new title. According to the Arizona Dept of Transportation website there is NO fee for a new title when removing a lien. From the Website FAQ:

18) Will there be a $4.00 title fee to remove the lien once the account is paid in full?

No. The lien-free title will be printed without paying additional fees.

[goon]

Goon, Can I ask who your finance company is for your Truck ? We are also in Az & our vehicles show zero balance in our chapter 13. They were paid off with our Oct payment. Now all our payments are going to back taxes. We were able to cram down our truck balance so still have unsecured left on that. Just wondering if we will get our vehicle titles! We have about 18 months left in a 5 year plan.

We were financed with Capitol One & Wachovia.

Mine was TD Auto Finance (originally the loan was through Chrysler). If nothing else you should get them once the plan is over (which I think is typical in AZ, I think my situation was an exception for some reason).

[goon]

It might be a good idea to go to the MVA and get a "clean" title. I was in a similar situation with my last car and the dealership refused to accept the Title and lien release they wanted a "clean" title. Legally I was OK but still had to leave the dealership and wait in line at the MVA to get a new title. According to the Arizona Dept of Transportation website there is NO fee for a new title when removing a lien. From the Website FAQ:

18) Will there be a $4.00 title fee to remove the lien once the account is paid in full?

No. The lien-free title will be printed without paying additional fees.

I am thinking that it wouldn't hurt as well. Of course I had literally been to the MDV the day before I received this for some other matters. I will have to go at some point when it is convenient, thou I will likely wait a while to see when I get the title for the other vehicle.