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You keep the title. It should show a leinholder listed below, under your name. The new lender doesn't actually need to have the title, as the new lender will release the lien after the payments are made in full. You will then be issued anothe title, showing you as being the sole owner of the vehicle. This is what they refer to as a "clear" title.

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โˆ™ 2011-09-12 22:12:27
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Q: If you refinance a vehicle and the finance company sends you the title not the new company what can they do if you don't send them the title?
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What do you do if your auto finance company sends you your title after a refinance with a release of lien signature?

Well it's obvious that you still owe them money and the "Lien" was released by mistake. The honest thing to do would be to call them and inform them so they can file for a new title.

What are car insurance auctions?

If you wreck your vehicle, the insurance company pays you off and you give them the title for the vehicle. The insurance company then turns around and sends the vehicle to an auction (usually for dealers and wholesalers only) and sell it. Most of the time a salvage company will buy the car for parts and the insurance company can recoup some of their money.

What do you mean by dicharge of contract?

Discharge of contract is a document saying you have met all your obligations under an agreement. This is common with a car title when the finance company sends you a discharge saying you have paid for it all.

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