Everything You Need to Know about Your Car Title

Your car may be one of the costliest assets you own. It is not only a prized commodity that helps you travel but can also help you arrange for instant cash by using it as security against a loan.

Your car title establishes your ownership of your car. It is a crucial factor, whether you intend buying or selling your car, or pledging it as security to get a loan. These are some important features of a car title:

1. It is a record of ownership. The Department of Motor Vehicles (DMV) issues you a car title certificate as a legal record of ownership when you buy your car. Apart from your name and address, it also contains important information pertaining to your car, such as the brand, model, and date on which you bought it.

2. It has a unique VIN. Your car title will contain a unique VIN, or vehicle identification number that is also embossed in steel and attached to the dashboard or engine compartment of your car. While buying a second hand car, you should always check whether the number listed in your title certificate matches the one on your car.

3. It contains detailed history of your car. Your car title history contains information regarding your car. For instance, it lists details regarding the accidents your car has been through and covers details of compensation claims recovered by you from insurance companies. This is important information if you are considering buying a second hand car.

4. It is crucial for any transactions involving your car. The car title certificate is an important document that is required for transactions involving a car. As a buyer, it is important that you do not consider buying a car that does not have a proper ownership certificate. As the owner, if you lose your car title certificate, you can always apply to the DMV for a duplicate copy.

Alisha Delphi holds a degree in Economics and Commerce from USC. She started out as a financial advisor with a bank and has moved on to become a loan consultant with more than ten years of experience. Her key areas are auto title loans, auto pawn and fast cash loans.