The Internet of Things has extended to so many things in our everyday lives. The idea behind the conversion is to increase convenience for quick, painless transactions. Within the last few years, states have begun using an electronic title instead of a paper title.
Not all states participate yet, while others require you to have an electronic title. Whether the ELT is mandatory or optional depends on your state’s guidelines. The new electronic title program is called ELT, or Electronic Lien and Title, or e-title programs.
The e-title is a digital record that replaces the paper copy of your title. The document serves the same purpose, to show ownership of the vehicle. The title contains personal information about the owner of the vehicle. The ELT system transmits information between lenders and the Department of Motor Vehicles (DMV.) The lien holders that are listed on titles are able to communicate digitally with the DMV. As a result of this system, paperless transactions can be used for the addition/deletion of lien holders on a title.
If you finance your vehicle when you purchase it, the lender will be listed on your title as a lien holder until the loan is paid off. The title will be held by the lien holder in digital format, if your state participates. Once you pay off the loan in full, the lien holder will submit a release of the lien to the DMV. Once this is complete, the lien holder is deleted from the title and an updated certificate is created. This makes the transaction faster.
Advantages of ELT:
Disadvantages of ELT:
Fortunately, you can make a trip to the DMV to order a copy of your title. However, there is a fee. The cost ranges depending on your state. In Colorado, for example, it’s $20 to receive a copy of your title. Does your state participate in ELT?
By: KayLynn P.
Do you have questions about your insurance? Find an insurance agent near you with our Agent Finder
Search for a local agent with our agent finder map.
Read more about KayLynn's background.
Are car accidents on private property handled differently than those on public roadways and what are your obligations? Learn the answers in our article.
There’s Much to Consider When Comparing Homeowners’ Insurance Rates with Your Neighbor
Halftime Shows from the NFL’s Championship Game You will Likely Remember
If your education, advice, and opinion negatively affects your clients you could be at risk of being sued. Errors and Omission coverage can help. Learn more about this valuable coverage today.
Life Insurance Doesn’t have to Be Complicated. Here are the Four Parties Involved.
The Differences Between Traditional and Classic Car Insurance Rates
Does Your Collection’s Value Exceed Your Homeowner’s Insurance Limits?
See How the Popularity of Boys and Girls Names Have Changed Over the Last 100 Years
There Are Situations When Business Insurance Protects You FROM Your Employees
Knowing the Basics Can Help You Better Understand Health Insurance