What happens when a GMAC lien is released?

Lien Release Notification Ally Financial, Inc., the new name for GMAC Finance, normally does a couple of things once a vehicle has been paid in full. It sends notification to the Department of Motor Vehicles in the state holding the title to let them know they no longer have a financial interest in the car.

What happens when a GMAC car is paid off?

Ally Financial, Inc., the new name for GMAC Finance, normally does a couple of things once a vehicle has been paid in full. It sends notification to the Department of Motor Vehicles in the state holding the title to let them know they no longer have a financial interest in the car.

How to clear a GMAC auto loan in Louisiana?

The form must be submitted to the DMV office along with a copy of the letter from Ally Financial proving the loan has been paid, a copy of the car registration and applicable fees that vary from district to district. The DMV in Louisiana will verify the documentation and send you a clear title.

What happens if a lien holder refuses to Repo a car?

First, the bankruptcy law allows the debtor to retain a vehicle where they pay off the lienholder the actual value of the vehicle in one lump sum. This is called redemption as briefly mentioned above. In a case where the lender is refusing to take back the vehicle they are essentially admitting that the vehicle is worthless.

What happens when you clear a GMAC car loan?

Paying off that GMAC car loan can be an exhilarating experience, but to complete the process, a clear title is often issued as proof of ownership. A clear title allows you to freely sell or transfer the ownership of the car to another person when you want to trade it in later for a new vehicle or sell it.

What to do if lien holder won’t Repo your car?

Collateral Bankruptcy Services, LLC is a company created to specifically address this problem and make it so that you or your client do not have to face and make illogical, tough, costly decisions like the debtor and his attorney were forced to make below.

When does a company have the right to repossess a car?

Lien Holder Rights in Repossession of a Vehicle. A lien on a car is a common occurrence. Typically, when a person finances a car purchase, the financing company has a lien on the car. The company reserves the right to repossess the car in the event of nonpayment by the purchaser. However, repossession rights are strictly regulated.