Detailed Answer
This article explains how an administrator in
1. Obtain the Certificate of Lien Satisfaction
Under South Carolina Code Ann. § 56-5-1329, a secured party (lender) must issue a certificate of lien satisfaction once a vehicle loan is paid in full. That certificate must include:
- Vehicle Identification Number (VIN)
- Borrower’s full legal name
- Date of full payment
- Signature of an authorized representative
Link to statute: SC Code § 56-5-1329
2. Submit or Review Title Records with SCDMV
After issuing the lien satisfaction certificate, the lender or borrower sends it to the South Carolina Department of Motor Vehicles (SCDMV). The SCDMV then removes the lien notation and issues a clear title. An administrator can:
- Request an official title record from SCDMV by VIN.
- Confirm the lien section is blank or marked “Satisfied”.
3. Check UCC Termination Filings
Under the South Carolina UCC (Article 9), a secured party must file a termination statement within 20 days of full payment. You can search UCC filings online to confirm that no active financing statements remain.
Link to statute: SC Code § 36-9-513
4. Reconcile Bank or Escrow Records
If payment went through a bank or escrow service, review the final payment voucher or bank statement for a zero balance confirmation. This cross-checks against lender records.
Helpful Hints
- Keep a certified copy of the lien satisfaction certificate for your files.
- Always verify the VIN and borrower’s name match the title record.
- Use the SCDMV online title inquiry tool to check real-time lien status.
- Search the South Carolina UCC portal for termination statements.
- If you spot discrepancies, contact the lender and SCDMV title support immediately.