Clean Car Title Information
A clean car title identifies a vehicle as never having been subjected to frame damage, fire damage or flood damage. A car with a clean title is worth more than a car with a salvaged or bonded title, and has a higher resale value.
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Facts
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Just because a car has a clean title does not mean that it has not sustained damage in the past. An owner can take legal steps to prevent a salvage title from being assigned to a damaged vehicle.
Considerations
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When purchasing a car, you can request a Carfax report. This report will tell you if the title on your new car is clean and if the car has ever been in an accident. These reports are guaranteed to be accurate.
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Misconceptions
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Although the phrases "clean title" and "clear title" are often used synonymously, they do not describe the same thing. A clean title is a title stating the car has no major recorded damage. A clear title is a title that is free of liens.
Lost Titles
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If your title has been lost, you can apply for a bonded title. Even if your car title was clean when it went missing, you must wait out the time period set by your state before the title is considered clean again. This prevents individuals from successfully obtaining titles on vehicles they do not own.
Warning
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Some used car dealers will "clean" a title by registering the vehicle in several different states simultaneously in the hopes that the information on the title will not transfer. The new clean title is then re-registered in the state where the dealer does business. This practice is becoming less common as more consumers request vehicle history reports.
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References
- Photo Credit mzacha/sxc.hu
