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011-06 Title Transactions Supported by Out-of-state Titles from States that have Implemented an Electronic Lien and Title (ELT) System

Registration and Title Bulletin - #011-06

Date: February 7, 2006

To: All County Tax Assessor-Collectors

Subject: Title Transactions Supported by Out-of-state Titles from States that have Implemented an Electronic Lien and Title (ELT) System

Attachment

These documents contain text of correspondence sent by TxDOT to the county tax assessor-collectors, statutory agents who provide vehicle registration and titling services for citizens in Texas. This information is provided to apprise the general public of issues affecting the state's vehicle titling and registration process.

PURPOSE

To advise of title transaction procedures involving clear title documents from states using an ELT program and to advise that the Form VTR-271-A, Power of Attorney for Transfer of Ownership to a Vehicle (secure POA), will be revised.

DETAILS

States with an ELT program allow for the electronic recording of liens. Accordingly, no title document is issued until a lien is satisfied. Once an electronic lien is satisfied, a clear certificate of title is issued. Attached is a list, which will be updated periodically, of current ELT states. The clear title may or may not exhibit the following indicators:

  • A prior lien notation
  • An "ELT designation"
  • A new title issuance date indicating when the lien was released
  • The dealer's name as either the addressee or the new lienholder

COUNTY ACTION

Please check for one of the indicators when processing transactions involving a title from an ELT state submitted with a secure POA. If one of the above indicators is noted on a title, use of the Form VTR-271-A is acceptable.

We are revising the Form VTR-271-A to require dealers to specify whether a title is physically held by a lienholder or is lost. However, the revised form will not be in distribution until April 2006. In the interim, the current Form VTR-271-A with a Statement of Fact is acceptable.

CONTACT

If you have any questions or need any additional information, please contact your local Vehicle Titles and Registration Division Regional Office.

In some cases the Registration and Title Bulletins (RTB) contain attachments. If you require a copy of the original signed RTB and the attachments, please e-mail us and include the RTB number. Repeat requests are subject to charges in accordance with Open Record policies. A subscription service is also available for an annual fee of $250. Subscribers will automatically

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