What is a lien release?

A lien release is a document or electronic record showing that your lender has been paid in full and no longer has a claim on your vehicle. You need it, or a clean title without a lien listed, to sell the car privately or transfer ownership. After you pay off a loan, the lender should send it or update the state's electronic title system, which can take anywhere from days to several weeks. If it doesn't arrive, contact the lender and your state DMV.