Lower your car payment in Maryland

What’s different about refinancing a car loan in Maryland

Vehicle titles in Maryland are issued by the Maryland Department of Transportation Motor Vehicle Administration (MDOT MVA).

• Under Maryland Transportation Article Section 13-205, when a security interest in a vehicle is satisfied the secured party must execute a release of that security interest on the form the Administration requires and immediately deliver copies to the vehicle owner and to the Administration, which then releases the secured party's interest shown on the certificate of title or issues a new certificate of title.

  Source: Maryland General Assembly, Transportation Article Section 13-205

• Effective July 1, 2024, the MDOT Motor Vehicle Administration stopped printing and mailing security interest filing documents and ceased operating as a two-part title state. The bulletin states that liens for Maryland registered vehicles must be added and removed electronically, meaning a refinance lender records and later releases its interest through an electronic lien service vendor or the MVA Business Portal rather than by exchanging paper.

  Source: MDOT MVA Industry Bulletin, Discontinuance of Security Interest Filing Document

• Effective December 4, 2024, the Motor Vehicle Administration no longer prints a clear duplicate title automatically after a lien is released electronically. A Maryland owner whose loan is paid off or refinanced must affirmatively request the duplicate clear title once the release is recorded, through the MVA website, a myMVA account, a kiosk, a dealer, or a title service agency.

  Source: MDOT MVA Industry Bulletin, Discontinuance of the Duplicate Title after Lien Release

• Maryland Commercial Law Section 12-1021 requires a credit grantor, within five days after repossessing the property, to deliver personally or send by registered or certified mail to the consumer borrower a written notice stating the borrower's resale rights, liability for any deficiency, where the property is stored, and where payment is to be made.

  Source: Maryland General Assembly, Commercial Law Article Section 12-1021

• The same Maryland repossession statute requires the credit grantor to retain the repossessed property for fifteen days after giving that notice, and during that period the consumer borrower may redeem and take possession of the property and resume performance of the agreement, without giving effect to any contract provision accelerating installments otherwise payable later.

  Source: Maryland General Assembly, Commercial Law Article Section 12-1021

• Maryland Commercial Law Section 12-1009 provides that a consumer borrower may prepay a closed end loan in full at any time, prohibits prepayment penalties for consumer borrowers, and requires that unearned precomputed interest be refunded or credited to the borrower calculated under the actuarial method when the loan is paid early.

  Source: Maryland General Assembly, Commercial Law Article Section 12-1009

These are general procedural facts about Maryland, not advice about your loan. Rules change, and your lender’s own process may add steps — a licensed specialist can tell you what applies to your situation.