Arizona vehicle titles may vary in that they can be clean, salvage, restored salvage, nonrepairable, bonded, or contain another designation that may reveal details about the vehicle’s ownership or damage history. All of these may influence several things about the vehicle, from driving it to reselling it.
It is important to recognize several key categories when it comes to vehicle titles in Arizona. A title in its strict definition implies ownership of the automobile, while a brand can be regarded as important information about the vehicle’s condition or history. The fact that there is a title for the car does not mean that its history is clean.
Regular or Clean Title
A title that does not have a recorded brand on the Arizona title record, commonly called a clean title, identifies the vehicle, its owner, and any lienholder recorded on the title. However, just because a vehicle holds a clean title does not mean that the vehicle has never been damaged, repaired, or involved in an accident; it means that no applicable brand has been put on record on the title that is being checked.
Salvage Title
Arizona issues a Salvage Certificate of Title for a vehicle that is wrecked, destroyed, water-damaged, or otherwise damaged badly enough that an insurer considers it uneconomical to repair.
Simply obtaining a salvage title does not mean that a salvage vehicle can be used on public roads right away. Such a vehicle can be sold for purposes such as repair, rebuilding, or dismantling, but it has to go through the restoration and inspection process in Arizona before it can be titled and registered for use on public highways.
Restored Salvage Title
The term restored salvage certificate of title refers to a certificate issued to the vehicle owner after their salvaged automobile has been repaired or rebuilt. In order to obtain this certificate in Arizona, the vehicle owner must present an application for a title, surrender their salvage title, and have their vehicle undergo a Level III inspection. It may also be necessary to fulfill emissions requirements depending on the type of motor vehicle and where it is located.
An inspection makes it possible to verify the identification of both the vehicle and its important components, although the review does not imply a complete mechanical warranty. Restored-salvage status may reduce resale value and limit financing or insurance options. The vehicle’s salvage history must be disclosed during the sale.
Nonrepairable Vehicle Certificate
The concept of a nonrepairable vehicle certificate applies to a vehicle that meets Arizona’s definition of nonrepairable. Vehicles classified as nonrepairable cannot be repaired and returned to the road. In Arizona, the laws make clear distinctions between the two classifications, so when buying, make sure not to confuse them.
Bonded Title
A bonded title is used in a case when someone who claims to be the owner of the automobile has no legal papers to demonstrate the usual chain of title. In Arizona, the process includes a vehicle inspection, an ownership check, and a surety bond. The bond is usually equal to one and a half times the market value of the automobile, as it is designed to protect earlier owners, lienholders, and future buyers from competing claims.
The term “bonded title” does not imply that a car is involved in any physical damage. In other words, the term means that some relevant paperwork is missing from the ownership history.
Other Recorded Brands
A title or vehicle-history record may include flood or water damage, theft information, odometer errors, manufacturer buyback or other events affecting the title nationally. This information can affect the value of the vehicle and its insurability. Potential buyers should look at the title records, check the vehicle identification number (VIN), get an independent inspection performed and confirm that there are no liens against the vehicle through AZ MVD Now before buying the vehicle.
