How to Secure a Lien Release in Arizona Easily
When you finance a car, there's usually a lien on the car that allows the lender to repossess it if you fall behind on your payments. A car should be fairly simple to do, but it requires your lender to update your paperwork promptly. This means that any delays can cause a major problem for you, especially if you're trying to sell your car. If you need to get a lien released in Arizona or anywhere else, DoNotPay can help make it simple. Here's what Arizona drivers should know about releasing a lien from your car.
What Is a Lien on a Car in Arizona?
If there's a on your car, this simply means that the lienholder has the right to repossess the vehicle if you don't pay the loan. The lienholder is the lender for your car loan. Since many people get financing for their vehicles, this isn't an uncommon situation. However, it can make selling your car before the loan is paid off more complicated.
Lenders, and therefore lienholders, can be several different types of institutions including:
- A bank
- A private lender
- The car dealership
- The car manufacturer's financing department
In some cases, a lien can also affect the type of car insurance you're required to carry. Arizona requires drivers to carry liability coverage, which pays for damage to the other car and injuries to other people if you're in an accident. Some lienholders will require you to have comprehensive coverage, which is more expensive but also covers your medical bills and the damage to your vehicle.
How to Remove a Lien From Your Car in Arizona
First, you'll need to make sure you know whether you have a lien. If you're not sure if there's a lien or who your lienholder is, there are two ways to check.
- Look at your vehicle's title. Your lienholder will be listed there.
- Log in to your AZ MVD Now online account, or create an account here. You'll be able to see your title electronically or request a new paper copy.
The only way to remove a lien from your car title is to pay off the loan. Once you've made your final payment, the lienholder will submit that information electronically. Your title will be updated automatically. In Arizona, this usually happens the next business day.
Problems You Might Encounter Removing Your Lien in Arizona
If everything goes smoothly, you won't need to do anything to get rid of a lien on your car. However, if your lienholder doesn't update your information promptly, you might run into these issues.
1. Lienholder has Title
If the lienholder has the vehicle's title and you're trying to sell the vehicle, you can use the Title Transfer Bill of Sale form #38-1306 to sign it over to the buyer.
2. Lien Isn't Released
If the lienholder doesn't release your lien 15 business days after you've paid off your loan completely, you can request an MVD Administrative Hearing. You can do this:
| By phone: | 602-712-7737 |
| By email: | hearingoffice@azdot.gov |
| Through the online portal: | Visit AZ DMV online |
Hopefully, the process of removing a lien from your car will be pretty straightforward. However, if you're having trouble getting your lienholder to update your title, or if you fall behind on your car loan, a lien can become a serious problem.
Easily Remove Your Lien in Arizona With DoNotPay
If your lienholder gives you any trouble, or you're having trouble with your loan payments, removing a lien can become difficult. Liens give lenders the power to repossess your property, and this can make your life stressful. If you want to sell your car, a lien makes doing so more complicated. While you can get a lien released on your own, doing so can be stressful and time-consuming. Fortunately, DoNotPay has a fast, easy, and successful solution. Just give us some basic information about your situation, and we'll write a letter to your creditor for you.
Here's how to get started:
- Search for remove my lien on DoNotPay.
- Start our Remove My Lien product.
- Answer some questions about your specific lien and let us help you craft a letter to your creditor to resolve the issue.
DoNotPay Works Across All States and Companies
DoNotPay can help you deal with any kind of lien in any state. For example, DoNotPay lets you easily:
- Find out if there's a lien on your house
- Complete a lien release form
- Sell your car with a lien
- Remove a lien from a property
- Deal with a tax lien on your credit report
- Remove a tax lien from the public record
- Find out if there's a lien against you
What Else Can DoNotPay Do for You?
DoNotPay can help with many different problems. With DoNotPay, you can easily:
- Talk to customer service quickly
- Sue in small claims court
- Reduce monthly bills
- Fix your credit report
- Close old bank accounts
To easily , join DoNotPay now.