The latest statistics on auto debt in the U.S. are from 2019, when Americans had almost $1.2 trillion in debt— an increase of 6.5% since 2018. Many Americans finance their vehicles, so they can make an affordable monthly payment while they enjoy their wheels. According to LendingTree, auto loans debt went up 59% in the past 10 years. The average car loan is for $26,162.
Use eTags© to Quickly Complete Your DMV Service. Renewals, Title Transfers and More, All Online!
In 2018 alone, auto loan debt increased by $47.7 billion
Florida car dealers and private sellers
In Florida, if you financed a vehicle then you have a lien on that vehicle’s title certificate. The lien legally ensures that the financial institution or bank will get their payments in full. If they don’t get regular payments, they can take legal action, (thanks to that lien) and repossess the vehicle.
If you bought a Florida vehicle from a car dealership, then the financial arm or company that handles their car loans will put the lien on the vehicle. When you purchase from a private party, the bank or company that offer you a personal loan or private party auto loan will be your lien holder.
Car loans in the U.S. account for about 9% of all consumer debt
Lien holders and car insurance
A lien holder in Florida can also determine how much car insurance coverage you need, because the vehicle is still technically theirs. Until you satisfy your car loan debt and it’s paid in full, you have to carry the kind of insurance policy they determine for you. For the most part, it’s collision and comprehensive car insurance coverage.
Car lien removal in Florida
To remove a lien from your vehicle in Florida, you have to complete your payments. Then the lien holder, whether is an institution like Southeast Toyota Finance or a credit union, will notify electronically notify the Florida DMV that the lien on your vehicle has been released. For the past eight years, Florida and other states have been using the ELT program; the electronic lien and title program to add and remove liens on title certificates.
SEE ALSO: 4 STEPS TO SELL YOUR CAR OUT OF STATE
A car lien holder is the legal owner of the vehicle, and most likely has their name on title
If your vehicle has a paper title, then your lien holder will sign a lien satisfaction form. The HSMV 82260 form has space for all the details of the vehicle including title number, VIN and so on, along with the lien holder’s signature. Electronic liens have to be removed electronically. If your lien holder is no longer in business and lien is over five years old, you may have to get the help of a third-party lien removal service. If your title is held electronically, you can still ask for a paper copy while the title stays electronic.
If you lose your title after your lien removal, you can order a duplicate title in Florida. You can complete your request for title replacement online with jus a few clicks, no need for the DMV.
50 comments
I had a car loan and paid off that loan years ago. Recently I want to get my title but DMV told me the dealer did not clear the loan. I tried to contact that dealer but they said they were out of their business. In this case how can I clear the loan to get my title back? Thank you
The Florida DMV has a proceedure for this which you can find outlined starting on page 7 of this document. Further, you might find these past comments helpful:
Due to a bankruptcy, my mother was made a lienholder on my vehicle. My mother completed a lien satisfaction prior to her death in October 2021, but it does not appear it was ever received by the the Florida DMV. How can I go about removing the lien from the vehicle? My father is still alive; could he sign as PR along with a copy of my mother’s death certificate (there was no estate as everything was joint).
It is possible that your father can sign a new lien release letter since he would most likely have assumed all rights to her assets and affairs if they were legally married. However, we recommend you seek legal counsel to confirm this and have an attorney review the original bankruptcy paperwork. Best of luck.
I have a paper title because we are the lienholder. The debt has been paid, and I want to release the lien. On the Florida title, I see 2 places to Lien Release – one at the top right, under a bar code, and one on the bottom half, on the Certificate of Title. Do I complete both areas for Lien Release?
Yes it is recommended that you complete both. The top portion serves as your proof of release and the bottom portion is proof for the owner
My mother had a stroke last year. We want to sell her 2009 car. It was paid off years ago but there is a lien from Union Credit Bank per the dmv. I cannot find that institution anywhere. I cant get a duplicate title for transfer until that lien is lifted. Toyota says they dont keep records from so long ago.
Would you be able to help.
Unfortunately we don’t have enough information to definitively answer your questions but we can assist you. When you purchase a new vehicle, the dealership will ensure you are issued a new plate. Bs sure to advise the dealership of your missing plate number as it may save you on your total DMV fees.
Once the new car is titled and registered with a new plate, You can order a personalized Stop Heart Disease license plate via eTags.com by selecting Florida and then the 3rd option in the Services dropdown menu, Get Specialty and/or Personalized Plate Only. Once you have placed the order, please contact Customer Service who will be able to assist in determining if the characters from your former specialty Stop Heart Disease plate are available or not. Keep in mind, personalized plates require 6-8 weeks to be manufactured and ship
hi, i had finace a vehicle trough a car company in florida that went bankrupt in may, then my vehicle was towed clamming that when i purchase the vehicle i never made a payment which in reality ive been paying for over 2 years. then they told me i had to start all my payment over from the bottom but i never signed a new loan or notified of anything changes.i reached out to the debt collector and they can tell me were my 2 years of payments went and demanding money.then i contacted the dmv and was notified that the lien on my vehicle was still lien to the old company that went brankrupt can they legal take my car in florida?can i get my lien to my vehicle if there not listed as the lien holder to my car and how?what should i do?
Hello, seems like there are a lot of parties and variables in this situation as its very unique/specific. Best to get legal advice.
Dealership went out of business in April. I’ve been paying on my car payment since July last year. There is a lean on my title. I need to have my lean lifted. How do I go about getting this done? If the company is out of business there’s no way for them to sign to have the lean lifted
Hi there! I would contact the bureau of dealer services. Here’s the phone number 786-804-4180
Once I have the Lien removed from my finance company – Lexus – can I contact you to get title in paper format. We are gifting the car to our daughter and I know that I need to have a paper copy.
Hi Alice! Yes, you can. Please place an order with eTags using this link, we’d be happy to help. We even offer a service to help you get the lien removed if you need it!
I have a title with the lein satisfaction form attached. Can I sell the car with that.
Yes , as long as the lien release letter is original and signed by a rep of the company.
How can dealership still have lien on my personal tags, even when I gave them back the vehicle?
It depends on the type and reason for the lien. Usually, a lien is associated with the title, not the registration. I would reach out to the dealership to inquire about this. Good luck
I borrowed money from a money lender, he put a lien on my truck, I paid the full amount and he can’t find the contract with our agreed amount. We disagree on the amount owed and he won’t release title. What is my next step.
Hi there. It sounds like you have a legal issue. You should contact law enforcement regarding the matter. Good luck!
I have a vehicle with a title in the name of a company that closed and filed bankruptcy and now I have no way of getting the title out of their name.. what steps would I never to take?
Check the VIN on your vehicle so you can see the address on file for the lien holder. Send a certified letter requesting the title for the vehicle with details, make, model year and VIN. When the letter is returned, DO NOT OPEN IT , take it to your local DMV office, they will then be able to lift the lien and print your title.
How long do you have to wait for the company to be out of business in order to do this? I was told prior 5 yrs, the business filed for bankruptcy and closed 8/26/2019. I bought my car from them 03/13/2019. I am moving out of state in April and would like to have this taken care of. T
This depends on whether the lien is satisfied (paid off) or not as well as wether the lien is held electronically. You can find more information in this document, starting on page 7. The document lists other conditions such as providing court documents or returned certified mail sent to the lien holder. Best of luck.
I have a Florida title that has a lien on it. The lien company signed off and stated in the pay off letter to go to DMV for a title with obly my name. Do i only have to bring the title and letter of pay off ro DMV?
Yes and a few id documents, proof of insurance too since you must register the vehicle to be able to drive it. You can order a title transfer and registration online via eTags, without ever having to visit any office.
I finished paying off my vehicle but now they’re saying I can’t get a title because there is a 2nd lien holder on the title on a lien they did not release before I purchased the vehicle. What can I do to get this 2nd lien off of the title if the 2nd lien is no longer in buisness.
You can do a vin check and send a certified letter to the establishment listed there even if they’re out of business. You’ll get the letter back if no one received it; do not open it. Take it to your local DMV explaining the situation and they’ll let you know how to proceed.
I had a lien on my car but I have a release letter stating the lien is off do I need to make appt to get the title transfer in my name?
Hi Dwayne,
No need to make an appointment at DMV to do this. You can do it completely online with eTags. Here’s the site. Choose the option to replace or print the electronic title. (In Florida, while your vehicle is held with a lien, your title usually remains electronic) We can print you a lien-free title!
I have the no lien title but when I try to sell my car look like I own money for that car can I sell it ?
Is it possible a lien was added later? Do you have the most recently issued title? Use this website and enter your VIN. Compare the date for the most recently issued title to the date you have on your lien-free title. This website will also provide lienholder information should there be any on file. I hope this helps!
I tried to renew my registration and was told I could not bc there is a lien with a towing company.. I had no idea what this was from so I called the Department of Motor Vehicles and they gave me the make model year and VIN# of the vehicle and it turns out it was a car that was stolen over 20 years ago… I have called the towing company 4 times and they seem very shady and I have not been able to speak to the lady that handles their liens however on the 4th day of calling the guy who answers the phone said it was most probably for a vehicle that was towed by them.. I will call them again on Monday but what are the laws with this? How can they do this if I had no idea that this vehicle was even recovered? Thank you.
I paid my car off and the transaction for the final payment has cleared my credit report. However, the line still shows up on the DMV website. Car no longer functions, so I am waiting for the lien to be released to have a company come take ownership and buy a new car. My question is, once the lien is released on the electronic title, what are the next steps I need to take to sell the vehicle, if any? Do I need a paper copy of the title to do this?
Hi Michael!
Yes, you’ll need a paper title to sell the vehicle. Make sure you hold on to your lien release letter from the bank. Go ahead and place an order with eTags to print the title. Please let me know if you need any help or have any questions. I can be reached at sara@etags.com. Have a good one!
I purchased a Van April 17, 2018. I assumed this was paid in full. I request the title to sell the van and found out there is a lean on the title. I contacted the company I purchased the car from and they are permanently closed. What are my options as far as paying off the lien or obtaining copy of the title?
Hi Arlene,
Sorry, you’ve found yourself in this predicament! Your best bet is to take your purchase agreement, bill of sale, and any other pertinent paperwork to the DMV in person and inquire as to what the best next step is. As a rule, you should get a title anytime you purchase a vehicle from anywhere and pay in full, with no financing or leasing, make sure to get the title. It’s your proof of ownership!
If I have an electronic title in Florida and the Lien has been released. How long does it take the DMV to take the lien off? And can I pay for express shipping? I’m out of state Military.
Hello there! Thank you for reaching out! Sure, we can certainly help with this. Use this link to place an order for a duplicate title. Take advantage of our multiple shipping options. You’ll find an option for rush Shipping (overnight), priority shipping (2-3 days), and standard shipping (3-5 days). Take your pick and place an order! Make sure to choose the option to ship to an alternate address. Now, be advised, you’ll be asked for proof of residency for the address you’d like us to ship to however if you don’t get any mail at this address, you can simply provide a notarized letter granting us permission to ship it there! After you place your order, let me know so I can help make sure it goes off without a hitch! My email address is sara@etags.com. I hope this information is helpful!
What if a 3rd party from out of state pays off your loan via check by phone to your bank. My bank held the check for 2 weeks waiting for the funds to clear. The 2 weeks go by and the bank releases the lien on my car. I call the bank and ask direct questions, are you sure that I can take the car to the new owner? The bank says yes, you can go get a paper title and deliver the car. The payoff on the car was just above $49k. I deliver the car on Friday sign over the title to the third party, and by Wednesday the following week I get a call from my bank stating I owe them $49k because the check didn’t clear. My question here is who is responsible for the funds, how can the bank tell me I have to make payments on something that they told me I can deliver and sign over a title?
Hello,
Thank you for your question. It sounds like what the bank gave you was advice rather than permission. There’s always a chance that a check might not clear so it’s a good idea to wait until the deal is done before doing another. As far as who’s responsible for the funds, it’s best to seek out legal counsel regarding the matter. Even if you’re technically responsible for the $49k, there’s the issue of the bounced check. We wish you good luck!
What do you do if you have paid off your car and the lien holder won’t release the electronic lien? I received my paid in full letter but the DMV says they can’t use it.
If the lien is held electronically the Lien holder will have to release the lien electronically, unfortunately the letter will not suffice
I’m in the same predicament they refuse to take their name off my title so I can’t even get my title I don’t know what to do and I gave them $7,000 my email is autricejackson@gmail.com
How long does it take once the lien holder releases the lien to get the title?
The average time it takes for the lien release is 3 business days w/ most lienholders. After that it will take 1 more additional day for eTags to process the title and ship it. Standard shipping in FL is 2-5 business days.
I borrow money to a financial company and they put lien on n my truck the problem is that company doesn’t exist anymore how you can help me take off that lien I need to sale my truck
Typically they just stop operating and take on a successor bank or financial institution so they can transfer all liens and assets. FDIC records or secretary of state records should have the name of the bank that took over.
I purchased my vehicle full price cash sale and the dealership placed a lien is that legal ? And what can I do to solve this issue
Without a lot of information, it’s hard to say. However, if you paid full-price cash for a vehicle, technically, there’s nothing to “lien” therefore the dealership wouldn’t or shouldn’t place one. Check the paperwork from the sale and make sure the vehicle was paid in full. If you’re certain it was paid in full and nobody else had access to your title, seek legal counsel. I hope this helps!