The Expert Podcast

…So how does a bonded title work and how can it help you I get a title for a vehicle. Well most states. 42 to be I'm sorry 38 to be exact There are 12 states where you can't get a bond to title. We'll allow you to get a legal title for a vehicle that you have no paperwork on using a surety bond process. And the reason this can help you is you can see this picture here There's a barn find, right If you find an old car abandoned on the side of the road, You may be able to use the bonded title process, even though you see in this article the word abandoned do not use bandaged vehicle as an application for a title in almost every scenario what's going to happen is if you declare the vehicle to be abandoned what's going to happen is you're not going to get to keep it.

Because what happens if it's declared abandoned, the police will ask an authorized towing company to remove it, take it to storage, and then they will sell it at a public auction Abandoned vehicles are not finder's keepers However, if you file for a bonded title a surety bond title, it's basically you going to the licensing title authority and saying look, I legitimately am. Authorized to have this vehicle. I bought it It was less. in my property. I gave somebody money for it I traded for it, but…

I don't have the old title I don't have the, transfer of ownership. Obviously if you have the title it would be easy You know titles a certificate that looks like this It's got all the, the official government. printing on it. If you have that you have no problem. But if you have purchased a vehicle acquired a vehicle traded the vehicle or somebody left you a vehicle that has no legal title.

Now you have to do something different Now, one of the things that many people. Are misinformed about on a bond to titles you have to pay thousands of dollars to get a surety bond. That's actually not true. What you have to do is you have to purchase a surety bond in an amount that's equal to the value of the vehicle. But that surety bond is probably only going to cost you a hundred dollars for the actual surety bond.

And once you get that surety bond you have to sign some affidavit's. I fill out some forms, make sure everything is all I's dotted T's are crossed You submit it to the DMV. And as long as the vehicle is not stolen, doesn't have any,

large open liens on it. it's not reported as parts only. They'll give you a title and you can own that vehicle. Now remember if you say abandoned instead of title, article let's say this right here. If you find that abandoned vehicle in your barn that's not yours to keep you.

to call the police And the boys in blue will get that Relic from you. Right. So…

Don't say it's abandoned because if it truly is abandoned it's probably not yours to keep, unless you go through some other processes. One of the processes they talk about is you can put a lien on the car for a storage fee but that's actually. Not completely accurate And the reason why is in order to do that. You have to be a licensed automotive shop and you have to have signed repair order saying somebody brought this car in for service. In fact, there's so much attempted fraud with that process.

Is that the state of Oregon says you need a $20,000 bond before applying for mechanics lean body shops and other auto repairs will have to obtain a $20,000 bond. In order to be able to assert a lien on a vehicle for not payment. So most states are going to this model or already have for that matter, you have to be a licensed automotive facility. You have to have a signed repair order. And you have to post a $20,000 bond.

There's many easier ways to do it Even if you have a buddy of yours that has a repair shop that wants to put in a fake mechanics lien, don't do it because they're going to audit that lien. They're going to audit all of these mechanics liens processes. If you don't have all the documents from the owner. And when the ownership has changed, they're going to send a letter to that prior owner that says look. Somebody filed for a mechanics lien on your vehicle to change the ownership Did you bring your car in for service somewhere?

And if that person says no I sold it on Craigslist or I traded it in, or I left it in in some field. They're going to revoke. That mechanic's lien and they're going to probably seize the vehicle So don't put in a fake mechanics lane. What you want to do is do a bonded title. Another thing you can do is a court order title And this article goes on to talk about it There might be another way by getting a judgment of ownership.

they might ask the applicant to make some efforts to contact the owner. and you have to file it with the court. In the county where you reside. If you file. A claim of ownership with the core and an affidavit the court can give you a judgment.

You bring that to the DMV to get a title You can do that without getting a surety bond So get more information on both the surety bond and a court order title. Those are definitely good ways to go there much better than even the Vermont loophole that people do all the time because Vermont is going to charge you big time sales tax. And we'll talk about that in another video, but check out bonded title and…a court ordered title as options to solve your problem.