When someone has a lien on a car or trailer, they can sign that lien over to another person. The car owner's rights stay the same. The new lien holder can ask the state to update the car's title to show their name, by sending in the title paperwork and a fee. If the title is kept electronically by the state, the old lien holder can mail in a form and the state will update the records.
301.630. or , , procedure, effect of — of assignment, how, fee — form for notice of electronic . — 1. A may , absolutely or otherwise, his or her lien or encumbrance in the motor vehicle or trailer to a person other than the owner without affecting the interest of the owner or the or effect of the lien or encumbrance, but any person without notice of the assignment is protected in dealing with the lienholder as the of the lien or encumbrance and the lienholder remains for any obligations as lienholder until the is named as lienholder on the certificate.
2. The assignee may, but need not, to perfect the assignment, have the or issued with the assignee named as lienholder, upon ing to the the certificate and an assignment by the lienholder named in the certificate in the form the director of revenue prescribes the and the required fee.
3. If the certificate of ownership is being electronically retained by the director of revenue, the original lienholder may mail or deliver a notice of assignment of a lien to the in a form prescribed by the director. Upon receipt of notice of assignment the director shall update the to reflect the assignment of the lien and lienholder.
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Source & history notes
(L. 1965 p. 474 § 4, A.L. 1990 H.B. 1279, A.L. 1992 H.B. 884, A.L. 1999 H.B. 795, A.L. 2002 H.B. 2008 and A.L. 2002 S.B. 895, A.L. 2011 H.B. 315)
Related Missouri laws
Duties of parties upon creation of lien or encumbrance, violation, penalty
RSMo 301.620
Release of lienholders' rights upon satisfaction of lien or encumbrance, procedure
RSMo 301.640
Purchase of motor vehicles and trailers through claims adjustment process by insurers, procedure, requirements
RSMo 301.642
Electronic signature permitted, when
RSMo 301.644
Certificate of ownership, delivery to whom, when
RSMo 301.610
Scope of law
RSMo 301.650
Legal information, not legal advice. Always confirm with the official source at revisor.mo.gov.