Lower your car payment in Utah

What’s different about refinancing a car loan in Utah

Vehicle titles in Utah are issued by the Motor Vehicle Division (DMV), Utah State Tax Commission.

• Utah Code 41-1a-515 directs that the Motor Vehicle Division delivers the certificate of title to the owner only when no lien or encumbrance is recorded on it, and otherwise delivers that certificate to the person holding the first recorded lien, so during an outstanding car loan the lender ordinarily holds the Utah title.

  Source: Utah Code 41-1a-515, Delivery of certificate by division (Utah State Legislature)

• Once a Utah car loan is paid off, the lienholder shown on the certificate of title may release the lien or assign its interest to the owner without affecting the vehicle's registration, and the division then issues a new certificate of title without the previously recorded lien upon receiving the released title, a properly completed application, and the proper fee.

  Source: Utah Code 41-1a-608, Release by lienholder to owner (Utah State Legislature)

• Under the Utah Consumer Credit Code, a debtor may prepay the unpaid balance of a closed-end consumer credit debt at any time without penalty, which is the statutory footing that allows a borrower to pay off an existing vehicle loan early when replacing it with financing from a different lender.

  Source: Utah Code 70C-3-101, Prepayment of debt (Utah State Legislature)

• After default, a Utah secured party may take possession of the collateral either by judicial process or without judicial process, but repossession carried out without going to court is lawful only if the secured party proceeds without a breach of the peace, and the secured party may also require the debtor to assemble and make the collateral available.

  Source: Utah Code 70A-9a-609, Secured party's right to take possession after default (Utah State Legislature)

• Before a repossessed vehicle is sold in a consumer-goods transaction, Utah requires the disposition notice to describe any liability of the person notified for a deficiency, to give a telephone number from which the amount needed to redeem the collateral can be obtained, and to give a telephone number or mailing address for further information about the disposition and the secured obligation.

  Source: Utah Code 70A-9a-614, Contents and form of notification before disposition of collateral: consumer-goods transaction (Ut

• A Utah debtor, any secondary obligor, or another secured party or lienholder may redeem a repossessed vehicle by tendering fulfillment of all obligations secured by the collateral plus the reasonable expenses and attorney's fees the statute allows, but only before the secured party has collected the collateral, disposed of it, contracted for its disposition, or accepted it in satisfaction of the debt.

  Source: Utah Code 70A-9a-623, Right to redeem collateral (Utah State Legislature)

• After disposing of a repossessed vehicle in a consumer-goods transaction, the Utah secured party must send the debtor a written explanation that states the amount of any surplus or deficiency and shows how it was calculated, itemizing the aggregate secured obligations, the proceeds of the disposition, the expenses of retaking and attorney's fees, and any applicable credits.

  Source: Utah Code 70A-9a-616, Explanation of calculation of surplus or deficiency (Utah State Legislature)

These are general procedural facts about Utah, 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.