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025-13 Bonded Titles

Registration and Title Bulletin - #025-13

Date: August 26, 2013

To: All County Tax Assessor-Collectors

Subject: Bonded Titles

PURPOSE

To implement Section 54 of House Bill 2741.

DETAILS

Section 54 amends Texas Transportation Code, Section 501.053.

Effective September 1, 2013, new restrictions will apply to applications for bonded titles. A person may file an application for bonded title if the vehicle is in the possession of the applicant, and either there is no security interest on the vehicle or any lien on the vehicle is at least 10 years old. If the lien is not at least 10 years old, the person must provide a release of all liens to obtain the title. If there is no Texas record in RTS, then the vehicle is presumed to be an out of state vehicle.

COUNTY ACTION

Do not process bonded title applications dated September 1, 2013, or later that do not meet the criteria noted above. For out of state vehicles, the applicant must provide vehicle ownership evidence or a printout from the other state’s DMV records. Evidence of ownership could be a copy of the title, a bill of sale if the corresponding state can be verified. If there is no verification, the applicant’s options are a Court Order or Tax Assessor-Collector hearing.

 

We are currently working on updating the bonded title procedures and Title Manual.

 

CONTACT

If you have any questions, please contact your local TxDMV Regional Service Center.

 

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