1. Contact your lender: As soon as you make your final loan payment, contact your lender to inform them that the loan has been paid off in full. They will need to update their records and release the lien on the title.
2. Request a satisfaction of lien: Once your lender confirms that the loan has been paid off, they should send you a satisfaction of lien. This document acknowledges that the loan has been satisfied and releases the lender's interest in the vehicle.
3. File the satisfaction of lien: Take the satisfaction of lien to the appropriate government office (usually the Department of Motor Vehicles or DMV) to have it filed. This step officially releases the lien from the title.
4. Update your vehicle registration: You may need to update your vehicle registration to reflect the fact that the loan has been paid off. This can usually be done at the same time that you file the satisfaction of lien.
5. Keep your records: Make sure to keep all of the documents related to your loan payoff, including the satisfaction of lien and any receipts for your final payment. These documents may be important if there are any questions about the loan or title in the future.
Once these steps have been completed, you will have full ownership of your vehicle and a clear title. Congratulations!
