How to Detect if a DMV Title Is Good or Bad
When you purchase a vehicle, the seller may not reveal whether it has been issued a salvage title from the state Department of Motor Vehicles because it was involved in a flood or fire or the mileage has been turned back to increase the vehicle's value. To protect your investment, it is up to you as the buyer to take appropriate measures to verify the vehicle's title by obtaining a vehicle history report.
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Things You'll Need
- Vehicle Identification Number (VIN)
- Make and model of vehicle and state where it is registered
- Vehicle history report (provided by vendor such as CarFax)
Instructions
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Verifying Vehicle Title
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1
Obtain the 17 character Vehicle Identification Number (VIN) of the vehicle you are purchasing. You can find the VIN near the base of the windshield on the driver's side, on the engine block or on the driver's side door post.
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2
Order a vehicle history report online from CarFax or a similar company or from the local DMV website. The report will indicate whether the vehicle has been issued a DMV salvage title because it has been in a flood, fire or has mileage problems; whether the vehicle has been returned to the dealer under the state's "lemon laws" for manufacturer defect problems; the history of previous owners; accident reports and vehicle frame damage; service and maintenance reports; excessive mileage evaluation; and any recall information.
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3
Review the vehicle history report carefully. Make sure the VIN matches the vehicle and that there are no title issues. Check to make sure the current owner's name matches the title transfer documents. Examine the mileage and odometer readings to make sure the mileage has not been turned back. You may also wish to consult a professional mechanic.
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Check the maintenance history section of the vehicle report, which may help to determine whether regularly scheduled maintenance has been performed on the vehicle. Verify that there has not been any structural damage to the vehicle or open manufacturer recalls. If everything appears to be in order according to the vehicle history report, then check with your state's DMV to find out how to transfer the title to your name and properly register it.
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Tips & Warnings
Order a comprehensive vehicle history report online from CarFax or a similar company. You can also obtain a free report from the National Insurance Crime Bureau, which will tell you if the vehicle has been stolen, has a salvage title or suffered flood or fire damage.
Beware if the used vehicle you are purchasing is registered in another state -- that may be a red flag that the title is fraudulent or problematic.
References
Resources
- Photo Credit car image by Brett Bouwer from Fotolia.com
