MADA Spring 2009 Dealer Seminar Questions
1. When there are two people on the title application, do they both have to sign the odometer statement? Or can just one sign?
The signature of either owner is acceptable on the separate “Odometer Disclosure Statement”. All other documents require the signature of all owners.
2. What if an extra person signs the odometer statement? Sometimes there are two people (for finance purposes only) on the bill of sale, contract, etc., but only one on the title application. The co-signer does not want to be on the title or registration. Had work rejected because the co-signer (of the loan, who was on the bill of sale) had also signed the odometer statement (in error), but was not on the title application. Had to have the owner come back in to sign a new odometer statement by herself (so it had only one signature). Was this really necessary? This sort of thing happens all the time, especially with the odometer statements for the trade-ins. The F&I department assumes that because the new car has two owners, the same two people need to sign the odometer statement for the trade which was only titled in one of the names. Does that render those statements useless? Can’t the extra signature just be overlooked? Better too many signatures than not enough?
Only the persons who are to be shown as owners are to sign the odometer disclosure statement and any other titling documents including the bill of sale. The bill of sale must match the assigned title or certificate of origin.
Yes it was necessary to address the matter of ownership up front. Any indication of inconsistency in owner information is a valid reason for rejection. All titling documents submitted to the MVA need to show consistency in ownership. If a person only wants to be a “co-signer”, their name should not appear on documents submitted with the application for title. Even though in most cases, dealers are using the excise tax certification, the bill of sale must reflect the names of only the vehicle owners.
Odometer statements are only to be signed by persons who are the buyers and sellers. It is the primary responsibility when reviewing title records, to ensure that all documents reflect the same owners consistently. However, when a leased vehicle is returned at the end of a lease or traded-in, the lessee is required to make the disclosure of the mileage to the lessor.
3. Please go over how the electronic registrations are dated for lateness. A deal was dated March 14, 2008. We transmitted on Thursday, April 10th, it was physically delivered to MVA on Friday, April 11th. But we were fined because on April 14th when it was “finalized”, it was one day late. Seems like we should be credited with the work the next business day (April 11th) after transmission. That’s when the work gets to the MVA. Just because the electronic funds transfer takes a day or two later shouldn’t matter. After all, if the work is hand-carried we aren’t penalized for the time it takes our checks to actually clear the bank.
An ERT dealer must allow 2 to 5 days to ensure that both funds and data are “received” by the MVA within 30 days from the date of delivery. Paperwork must be received by MVA within 3 business days of transmission. This means straight calendar days, with non-banking days, weekends, and holidays included in the count.
4. A customer is transferring (repurchasing) to her new car, personalized tags that were registered to a vehicle in only her mother’s name. We thought she would have to pay for two years registration ($128 + $50 vanity fee + = $198.00 so I harassed the customer for that amount. Then we were issued a refund because we were only charged $10 transfer plus $64.00 reg plus $25.00 vanity fee plus $5.00 bay tag fee = $104.00. This was apparently charged for a standard transfer which I thought was only allowed from parent to child if the same vehicle was going from one name to another, not when the tag was going to a new vehicle. I used to tell customers they could transfer tags from parent to child or spouse when a new vehicle was purchased, but then I was told (I believe at a seminar) that was not so. What’s the story? By the way, I believe tags should be transferable from one to another when a new vehicle is purchased, I just think things need to be consistent.
The way the MVA processed the transaction was correct. Tags can only be transferred to a vehicle in the same owners name, or a spouse, parent or child of the owner.
In the instance you state, as long as the mother had sold, junked traded or otherwise disposed of the vehicle and the tag was the same class as the vehicle being purchased by her daughter, she would be able to relinquish the personalized tag and allow it to be transferred to her daughter by paying the $10.00 transfer fee. As with any other transfer, the registration card needs to be presented. If as you stated, the tag was good for less than 1 year, the daughter would also have to pay the one-year registration fee, plus the $25.00 personalized plate fee, and the $5.00 bay plate fee.
However, if the mother had not sold junked, traded or otherwise disposed of her vehicle, the personalized tag could not have been transferred. In that case, the mother could have relinquished the tag and her daughter could have repurchased it on her new vehicle by paying the full two year registration fee including surcharge and $50.00 to cover two years personalized plate fee.
5. Regarding duplicate title application (VR-018) (not dealer dup). The bottom section that says, “Important: This section can only be used if the lien(s) are over seven (7) years old and have been satisfied.” This is obviously to help the owner so that he does not have to shake down a bank for an ancient lien release. If the lien was released over 7 years ago, and he was the original owner, the car is probably at least 10-12 years old, so the lien is no doubt released. I believe that this section means, if at some point in the future, a lien is determined to still be in effect, that the owner will then be responsible for it. Therefore, am I correct in assuming the object is that the MVA will issue a clear title for that owner? (without the owner providing a lien release). Well, not on your life. I purchased a car from my cousin and she had lost the title and the lien release. She had to get a duplicate title. We tried to implement that section because Bank of America would and/or could not go through their records and issue a letter for a lien that was released almost 9 years earlier. MVA told me that was not what the bottom section meant at all. I was told that I still needed a lien release, even if that section was signed. Then why bother to have that section there at all? I went round and round, and was finally told that the form was printed wrong and they were changing it. Well, that was over 3 years ago and it still says the same thing. What’s up with that?
Once the lien is 7 years old, if a lien release cannot be obtained from the lien holders, the vehicle owner(s) may use the certification at the bottom of the duplicate title application to certify that the lien is released. If the lien holder is still in business, they must be contacted to obtain the proper lien release.
6. Can we issue temporary tags?
Title Services signed up with one of the ERT Networks may issue 30-Day Temporary Tags. They may be issued for all non-dealer transactions for inspection purposes. They may also be issued for trucks 1 ton and larger, tractors and freight trailers that are sold un-inspected by licensed dealers. For this process all normal titling documents are required along with the form VR-129 completed by the vehicle owner. Regular Maryland metal plates are issued, but the sticker and registration is only valid for 1 month. The actual date of expiration of the tag is shown on the registration card. The title fee, excise tax, lien filing fee (if any), and a $20.00 temporary tag fee is required. The customer must also have valid insurance. Once the customer has the vehicle safety inspected, they then must submit the Maryland safety inspection certificate and a form VR-8 to obtain their new sticker. The full registration fee (multiyear and surcharge, if required) must be paid. The $20.00 paid for the temporary tag “is not” applied to the full registration fee paid at time the inspection is recorded.
60-Day Temporary Tags are only issued by licensed Maryland dealers; only one 60-Day Temporary Tag may be issued to the customer at the time of delivery for a vehicle sold by the dealer. The dealer purchases 60-Day Temporary Tags from the Maryland MVA. The cost per plate is $15.00 each. They are available for purchase at all full services branch offices of the MVA. For the purchase of 60 Day Temporary Tags, the MVA will only accept company check or company credit card (no cash), and applicants are required to:
- Show a licensed Tag & Title Service Agent ID (Title Services must also have a power of attorney from each dealer for whom they pick up temporary tags) or:
- A Maryland gratis salesman’s license (issued to an officer or owner of the company) in addition to a photo drivers license, or;
- A copy of the Wall License listing the licensee and a photo driver’s license, or:
- A Maryland photo vehicle salesman’s license
Under no circumstances will dealer temporary tags be issued without one of the referenced identifications, company check or credit card.
7. Any chance temporary tags will go to 90 days?
There are no plans in the future to go to a 90-day expiration for temporary tags.
8. List of Room numbers for mailing purposes: Title Corrections, Central Liens, ERT, Dealer Services. Phone numbers to these departments, not supervisors.
Motor Vehicle Administration (MVA) Contacts - Headquarters | ||
| Central Liens | ||
| Duplicate Titles | Room 104 | 410-762-5115 |
| Certified Copies | ||
| Change of Address | Room 202 | 410-768-7349 |
| Corrections | Room 202 | 410-424-3126 |
| Disability Permits | Room 204 | 410-787-2958 |
| Emergency Vehicles | Room 104 | 410-768-7171 |
| ERT | Room 104 | 410-787-7823 |
| IRP | Room 120 | 410-787-2974 |
| Organizational Tags | Room 104 | 410-778-7222 |
| Parking Flags/Stolen/Abandoned Vehicles | Room 126 | 410-768-7404 |
| Personalized Plates | Room 104 | 410-424-3044 |
| Registration Refunds | Room 202 | 410-768-7190 |
| Excise Tax Refunds | ||
| Tag Return | Room 202 | 410-424-3652 |
| Web/IVR Renewals | Room 104 | 410-768-7648 |
9. Where does the yellow copy of the secured power of attorney (along with the copy of the duplicate title) VR-279 get sent? Mine have been returned to me. Do we not need to send them in anymore?
They are to be sent to Vehicle Records room 202 to be scanned into DIWS. According to Federal Truth in Mileage act of 1986, the State of origin must maintain a copy of the VR-279. In the future if you have problems with these forms being returned to you, please contact your ERT representative for assistance.
10. In the state of our economy and dealers having to cut back and layoff employees, it has become a huge problem to drop any tag and title work at the MVA. We are now required to get a number along with the public and wait in line just to drop dealer work off. We do not have the amount of employees to send to the MVA to stand in line and wait, sometimes CVR is done, but there are things that must go to the MVA.
A response to this question will be coming from the division of Operations.
11. If clients waiting on application for facilities tags to come back signed, does the dealer get fined if over 30 days?
The form VR-059, Application for License Plates for Facilities, only require the signature of the Facility Representative (owner, officer of corporation, partner, member of LLC/and if the vehicle is leased, there should also be a signature from the leasing company).
I believe the concern here is the form VR-256, Application for Excise Tax Exemption, which needs to signed by the Department of Health and Mental Hygiene if the owner is claiming excise tax exemption under:
§13-8109a)(15) of the Maryland Vehicle Law which reads:
“A vehicle which is (1) used regularly for the transportation of individuals with disabilities and (2) owned by a nonprofit organization providing direct care services to individuals with disabilities which is (3) licensed by the Department of Health and Mental Hygiene and is (4) wholly or partially funded by the state."
If the customer “meets” all four (4) qualifications, the form VR-256 needs to be mailed or delivered to:
Maryland Department of Health and Mental Hygiene
Office of Health Care Quality
Spring Grove Center – Bland Bryant Building
55 Wade Avenue
Catonsville, Maryland 21228
In the event that the form has been sent to the Department of Health and Mental Hygiene, and the only thing holding up the transaction is the lack of that form, please contact either Steve Galuska or Rhonda Witt before the transaction is late. The Department of Health and Mental Hygiene has been contacted and they do not have a current backlog that would prevent the forms from being signed in a timely manner. Hopefully having an exact address will assist you in getting your forms signed before your transaction is late.
