Title Release Form FAQs
1) What is a title release form, and why is it needed?
A title release form, also known as a lien release, or lien satisfaction form, is a document confirming that any loans or liens against a vehicle have been fully paid off and that the lender no longer holds any financial interest in the vehicle. It ensures the seamless transition of a vehicle’s ownership, guaranteeing that the title is clear from any debt or financial obligation — helping both parties avoid any pesky disputes in the future.
2) Who needs to fill out a title release form?
The party responsible for filling out a title release form is usually the lender, financial institution, or lienholder that initially held the loan or lien against the vehicle. They must complete the form once the loan or lien is paid off, indicating that they have released their financial claim on the vehicle.
3) How do you get a title release form?
Your lender will usually send your title release form once you fully pay the loan. But if not, you can follow these steps to obtain it.
- Check your state’s requirements. Each state may have specific requirements or forms for releasing a lien on a vehicle. Visit your state’s Department of Motor Vehicles (DMV) or equivalent agency’s website to determine if a particular form is required and to obtain any necessary instructions.
- Pay off the loan or lien. Make sure you’ve paid off your loan or lien, as the lienholder will typically issue a title release form only after receiving the full payment.
- Contact the lienholder or lender. If the lender or lienholder fails to provide the title release form after you have paid off the loan or lien, you may need to contact them. In some cases, you may also need to visit your local DMV office to request assistance in obtaining a title release form or resolving any outstanding liens.
- If you are the lender and need a title release form. Use Jotform to speed up the process of creating your form and getting it signed by the purchaser. Our title release form template is prefilled with the most common fields and can be customized to fit your state’s requirements.
4) How does a title release form differ from a bill of sale?
While both forms play a crucial role in the sale or transfer of a vehicle, they have different purposes and contain different information. The title release form confirms the full payment of all loans or liens. On the other hand, a bill of sale is a record of the transaction between the buyer and the seller, documenting the transfer of ownership of the vehicle. The latter includes details such as the buyer’s and seller’s information, vehicle specifics, purchase price, and date of sale, with signatures from both parties involved.
5) Is a title release form the same as a title transfer form?
No, a title release form is different from a title transfer form. A title release form releases any liens or loans on the vehicle, while a title transfer form states the official change of ownership of the vehicle. In some cases, both documents may be required to complete a sale or transfer of ownership.
6) Can a title release form be used for any vehicle, or is it specific to certain types?
A title release form can generally be used for any type of vehicle, including cars, trucks, motorcycles, boats, RVs, and trailers. The specific requirements and format may vary depending on the jurisdiction and the type of vehicle. Still, the purpose of the document remains the same: to confirm that any loans or liens against the vehicle have been satisfied.
7) What information is typically required on a title release form?
The information typically required on a title release form includes
- Lienholder’s name and contact information
- Owner’s name and contact information
- Vehicle information, such as make, model, year, and vehicle identification number (VIN)
- Loan or lien details, including the loan or lien number and date of origination
- Date of loan or lien satisfaction
- Lienholder’s signature and date of signing
In some cases, the form may also require notarization to confirm the authenticity of the signatures and information provided.
