Do I actually need to re-register?

[kork13]

So I paid off my car loan about 3 weeks ago, and earlier in the week I received the title to my car in the mail. Included was a letter telling me to "take the title to your local DMV to remove [the bank] as the lien holder of record." My car is registered in Oregon and I'm currently in Florida, so lacking the ability to walk in, I gave them a call. As I understood the person I talked to, I need to fill out and mail in a new registration application (with the $55 registration fee) along with the original title, and they would send me a new title with the bank removed as a lien holder.

Normally I'm fine accepting red tape, but this one confused me.... My car is registered through June 2011. On my title, it does list the bank as the security interest holder of my car, but at the bottom, they signed it in the block labeled "Signature of security interest holder releasing all interest." Last, on the back of the title, it states "A separate aplication must be completed ... when there is a transfer of ownership (except for releasing a lien)." It just seems to me that what I've been told by the DMV and what I'm reading from my documents are telling me two different things.

I've never done this before, so I just wanted to check with some of you who are more experienced ... Do I really have to re-register my car? I don't mind doing it if that's really necessary, but if not, I'd rather not waste the time and money involved to get it done.

I guess part of the problem is just that I'm rather distrusting of government agencies that I can't deal with in person--I feel that it's too easy to misunderstand someone if dealing via phone/mail/etc., and I don't want the ownership and legal status (registration, etc.) of my car to suffer as a result of such a misunderstanding.

[Seeker]

Originally Posted by kork13

So I paid off my car loan about 3 weeks ago, and earlier in the week I received the title to my car in the mail. Included was a letter telling me to "take the title to your local DMV to remove [the bank] as the lien holder of record." My car is registered in Oregon and I'm currently in Florida, so lacking the ability to walk in, I gave them a call. As I understood the person I talked to, I need to fill out and mail in a new registration application (with the $55 registration fee) along with the original title, and they would send me a new title with the bank removed as a lien holder.

Normally I'm fine accepting red tape, but this one confused me.... My car is registered through June 2011. On my title, it does list the bank as the security interest holder of my car, but at the bottom, they signed it in the block labeled "Signature of security interest holder releasing all interest." Last, on the back of the title, it states "A separate aplication must be completed ... when there is a transfer of ownership (except for releasing a lien)." It just seems to me that what I've been told by the DMV and what I'm reading from my documents are telling me two different things.

I've never done this before, so I just wanted to check with some of you who are more experienced ... Do I really have to re-register my car? I don't mind doing it if that's really necessary, but if not, I'd rather not waste the time and money involved to get it done.

I guess part of the problem is just that I'm rather distrusting of government agencies that I can't deal with in person--I feel that it's too easy to misunderstand someone if dealing via phone/mail/etc., and I don't want the ownership and legal status (registration, etc.) of my car to suffer as a result of such a misunderstanding.

The words are in conflict as described here.

Kork13, given the above, I'd recommend paying the $55 and getting the title transferred to your name alone (bank removed)

Simply because, if it becomes necessary to replace that title (if it's lost or stolen when you want to sell forward), it'd be 100 times easier to replace that document if it's recorded in your name then the alternative of having to go back to the lienholder of record to have them re-notarize and re-issue confirmation of fulfillment (assuming they'd even be in business at that future time).

Here's Georgia's policy (cannot find either Oregon's nor Florida's):
MVD | Lien or Security Interest Release

[Seeker]

Found Oregon !

Oregon DMV Removing a Lien From Your Oregon Title

Under Frequently Asked Questions, there's this:

My security interest holder has sent me a release of interest, but has not provided the title. How do I apply for a clear title in my name?
In addition to following the procedure above, complete an Application for Replacement Title, and add the replacement title fee to your total fees.

How long will it take to get my title?
Once DMV receives the paperwork, submitted by mail or through a DMV office, it takes us approximately three to five weeks to process.

Looks like this is necessary. I don't recall doing this in California, but my last paid for car is 10 years old and I don't remember having to pay any fees... I think they submitted the clearing of the lien and I received the pink slip from the DMV without a recorded leinholder without having to do anything on my part (I could be mistaken though since it was so long ago that it's been paid off).

Since we will be paying our newer car off soonish.... we'll see if the same needs to happen here.

[kork13]

Thanks... I actually (finally...) found the same website late last night, and it does look like I've gotta do this... bites. Oh well... biggest annoyance is dealing with being out of state, because they always think I have to change my residency to my current home and can't claim OR anymore, or send stuff to my 'residence address' (the home my parents own, which is rented out right now)... yay for having to deal with gov't agencies....

[simpleyme]

if your name is on the tittle and the lienholder have signed off their interest I would not worry about it (I am in Oregon)

[brandini25]

Damn, that really sucks. Government agencies are never fun. Good Luck!