How do you satisfy a lien on a car?

Answer 1

The specific process may vary from State to State and you may inquire at your motor vehicle registrar to se exactly what format is correct for yours.

However, I think it is best to explain that, unless the court orders it to be done as part of a way to secure a judgment (after you have gotten the judgment), placing a lien against a motor vehicle (becoming a lienholder), would be something the titleholder has to agree to allow. When purchasing he puts the bank in that position, if the car is collateral, he basicallys retitle it with a named lienholder.

You cannot simply grant yourself a secured creditor status by placing a lien against someones car because you believe, even very rightfully, that you are owed money.

Answer

Because it is not fixed property the only way to do that is to show you have some type of ownership in it and get it repoed and sue the person for the monies. You cant put a lien on the car if you don't have a vested interest in it. Like a bank or a car dealer. If you have a written agreement with this person to pay you for the car or your name is attached to the car and you are paying for it but this other person has it, the above remedy is your answer.

don't see whyI don't believe that the property is Chattel (personal property, moveable) rather than real property is important at all here.

The recording of a lien perfects your interest in the property. Giving someone a loan for a car, but NOT establishing the car as security for the loan by being named as lienholder as a condition of the loan and having it recorded, does not mean you have any specific interest in the car. You don't. You are only a general creditor.

I also don't see where the issue of possession of the property, regardless of the unsecured or perfected agreements for the re-payment of a loan, makes a difference to the establishing a lien. And as mentioned, if your name is actually already "attached to the car", as titleholder you have a more substantial interest than lienholder. Trying to get a lien on your own property, essentially against yourself and for yourself at the same time, has no benefit and makes no sense.

Note: The above was a response when the Q was worded differently. The first response is a good answer to how it is now worded.

answer is simply, no. A private person can not place a first lien on on any vehicle. Normally this is done by the lender.Secondly, if the question is regarding a mechanic's lien, again the answer is no. Only a legitimate auto repair or storage facility can place this type of lien on a vehicle.I do the above type liens in all 50 states and have a license to do so in California.

Answer 2

If this is a personal loan you must write up a statement saying that you will lend x amount of dollars to this person using the car as collateral and how long it will be before they pay you back and at what rate, like a $100.00/week/month. It should also have the date on it, both your names, the vin number on the car, make model, color. YOu make two copies and each one signs both and both retain a copy.

I would add that it is wise to have both signature notarized by a notary . It tends to be seen as "more legally" binding in a court of law.

Answer 3

when selling a vehicle to someone on time, when signing off on the title make sure you put your name and address in the box marked "First Secured Party" then take it to the DMV yourself to make sure that you did it right. Then when that person try to sell it later or even junk it, the state will not transfer the ownership until you have signed off of the First Secured Party section of the new title.

Answer 4

how do I turn my title over to my sister, who is loaning me money. The car would stand as a lien until the time I could pay her back. How do I do this & what's the cost? I will continue to drive the car, so do I keep my tag & insurance still in my name?

Answer 5

A Mechanic's Lien is a lien filed by a contractor, subcontractor, supplier or laborer for labor performed and or materials supplied in furtherance of a construction project.

What you are likely seeking is most commonly referred to as an "Artisan's Lien." These are usually liens with do not need to be recorded, but are "possessory" meaning that as long as you have possession of the improved vehicle, you you have the lien. If you return the vehicle to the owner, your lien is released. If the owner enters your lot and removes the vehicle without permission, that is likely theft, call the police. These rules will vary from state to state, but that is the answer in Ohio.

Answer 6

If there is money owed to you for the vehicle, start with your State Dept. of Motor Vehicles. They have a lien application form you fill out and submit with a fee to register your lien.

Answer 7

Depends on who has placed the lien. I would contact the entity that has placed the lien and ask them what conditions you need to satisfy to have the lien removed.

Answer 8

I am buying a car and taking out a loan from a friend for down payment and the bank is financing the rest can my friend also put a lien on the car until paid back?

Answer 9

Pay off the loan and then request a lien release from the lender who held the lien on the car.