If the bank loses the title to your vehicle before you have completed payments, the easiest solution is to go to your state's Division of Motor Vehicles and apply for a replacement. If the bank is unwilling to do the work, it should pay your expenses and compensate you for time spent obtaining the title.
Don't waste time talking to the first person at the bank who answers the phone or greets you in person. Ask to speak to the branch manager or someone with the power to help you. Once you explain the problem, the manager should be able to initiate the necessary steps to obtain a replacement title through the DMV. You will need personal identification, your loan account information, and the make, model and vehicle identification number (VIN) on the car. The VIN can be found on an engraved metal plate bolted to the dashboard on the driver's side of the vehicle. It is best viewed outside the car, looking down through the windshield.
Don't leave the bank without all promises and commitments in writing. If the bank has lost the title to your vehicle, it is its responsibility to replace it and bear the cost of doing so. Get a signed statement on what is to be done and when you will have a replacement title.
Sometimes the fastest solution to a problem like a lost vehicle title is to resolve it yourself, but be sure to get the bank to pay for your expenses and time.
Almost every state allows you to apply for a replacement vehicle title in any of three ways: at a local DMV office, over the phone or online. Fees are involved and vary from state to state. You'll need the VIN, make and model of your car, loan information and an address for the bank, personal identification and a mailing address. If the bank still has a lien on the vehicle, the replacement title will be mailed to the bank. If you have paid for the vehicle but the bank lost the original title before it could be delivered, the replacement title will be mailed to you.
Either way, negotiate with someone in authority at your bank. At a minimum, the bank that lost your title should pay for all replacement title fees. You should also demand compensation for your time and effort. Consider asking the bank to compensate you for one month's loan payment as a starting point in your negotiations. A professionally managed financial institution does not want the embarrassment of a lost vehicle title becoming widely known in the community, so bank managers have an incentive to help you.
