The Arizona Motor Vehicle Division does not have a simple list to group the regular cars under any category of “types of titles,” but maintains a history of their ownership. It assigns brands or certificates to such history based on the facts like the background or the state of the cars and the documents confirming the right to use this asset.
It should be understood that a title indicates ownership and registration makes it possible to use a car on public roads after meeting any required payment, insurance, and emissions requirements.
The classifications of vehicle titles with Arizona MVD includes standard, salvage, restored salvage, nonrepairable, stolen-vehicle or bonded depending upon the conditions and ownership history of the vehicle. Understanding the classifications makes it easy for potential buyers to know about the legal status of the car, and its insurability, resale value and registration eligibility.
Regular or Unbranded Title
Most vehicles possess what people call a clean or regular title, which means that there are no noticeable bad brands like salvage or nonrepairable. However, it does not imply that the vehicle did not have any damages, repairs, or was not used for business. It is also possible to have a damaged vehicle with no action taken by its owner.
Arizona title records can reveal both current and past brands of the vehicle in question. As such, it is important to note that simply bringing in a vehicle into Arizona does not eliminate its earlier title brand information.
Salvage Certificate of Title
The concept “salvage” pertains to the situation when a vehicle has been stolen or incredibly damaged after the accident, sustained enormous flood damage or otherwise has been damaged to an extent that it will be unreasonable for its owner, insurer, bank or leasing company to carry out repairs on it.
It is worth mentioning that the term “uneconomical” means “not economically feasible” and should not be understood as “physically impossible,” so it is possible for the salvage vehicle to be repaired.
The salvage title is issued to prove ownership of the damaged vehicle. One person should not confuse the transfer of ownership in general with the notion of salvage vehicle. Arizona necessitates disclosure of the fact that the vehicle has a salvage title before the transfer of ownership either in written or electronic form.
Restored Salvage Title
As soon as the vehicle receives a salvage title, it can be repaired for the purposes of obtaining the restored salvage title. Again, in order to receive this title the car must undergo a Level III inspection. MVD can check the required documents proving that the ownership of the main components of the vehicle has been obtained in a legitimate way.
Otherwise, the car can be seized including such parts of the vehicle that it is impossible to identify without the required paperwork. In Arizona, to have a repaired salvage vehicle, it will have to pass all necessary tests to be eligible for a restored salvage title. This brand makes a difference when it comes to the resale price, financing, warranty options, as well as insurance.
A seller has to share information concerning the restored salvage vehicle before concluding the deal.
Nonrepairable Title
The nonrepairable title is somehow different from the salvage title since it indicates that the vehicle is no longer in a condition to be restored but can be used only for parts.
In Arizona, the vehicles that can be referred to as nonrepairable are ones that have no resale value except as a source of parts or scrap metal, as well as the ones that have been completely stripped after being stolen or burned beyond repair.
If the MVD issues a nonrepairable certificate, then the vehicle’s registration will be canceled. The MVD will not perform any further title transfers or issue any further paper certificate of title for the vehicle.
Stolen-Vehicle & Recovered-Theft Treatment
In Arizona, it is possible to get a certificate for the stolen vehicle in case it has been acquired through a total loss claim. If the vehicle is recovered after the theft, then it may receive a regular title, provided that the vehicle is intact. Otherwise, it may receive another certificate type.
Bonded Title
A bonded title is not necessarily a title for a damaged vehicle, since it is needed to solve ownership questions when something is missing or undisclosed liens are present.
The applicant should undergo an inspection and provide affidavits and notify previous owners about the need to buy a surety bond worth 1.5 times the vehicle’s value.
What to Takeaway
A key takeaway with regard to purchase is to make sure you check the actual Arizona title, along with available records concerning the brands, history, liens, VIN, inspection, and insurability, rather than relying only on the seller’s words.
