Types Of Vehicle Titles Explained

Listed below you'll find the different types of vehicle titles and a brief explanation of what each title is.

Clear Title

The vehicle has no financial lien preventing the vehicle from being sold. The vehicle is 100% owned by the seller and isn't tied to any creditors. 

Clean Title

The vehicle has either never been reported in an accident or has never received significant enough damage to deem the vehicle a total loss.

Salvage Title

The vehicle was involved in a major accident and is damaged anywhere from 75% to 90% of the vehicles total value. The vehicle could be expensive to repair, expensive to insure, or could even be uninsurable. 

Bonded Title

Vehicles that have serious discrepancies in their original ownership documentation. When bonded titles are issued, a security bond that matches the vehicle’s value is purchased as security. If a valid claim to the vehicle comes forward, the security bond is used to remove any lien or ownership claims. The title is typically kept for three to five years. Obtaining a bonded title usually costs more than other title recovery options, it’s typically chosen as a last resort.

Rebuilt/Reconstructed Title

The vehicle was repaired after being classified as a salvage. The vehicle had sustained significant damage but was fixed, inspected by the state, and deemed as fixed. These vehicles may need more repairs or may not be reliable. 

Lemon Title

The vehicle has several dysfunctional components that makes the car unsafe to drive. 

Junk/Dismantled Title

Major components within the vehicle have received severe damage. The vehicle can never be deemed roadworthy even if it receives repairs. Vehicles with this title are typically sold to junk yards then used for spare parts or scrap metal. It is extremely rare for this title to be removed from the vehicle. 

Odometer Rollback Title

The vehicles odometer has been illegally tampered with. 

Flood/Water Damage Title

The vehicle has sustained flood or water damage. Mechanical and or electrical components could be severely damaged.