Is there a fee for releasing a mortgaged vehicle?
3 Answers
Releasing the mortgage on a mortgaged vehicle does not incur any fees; you can directly go to the vehicle management office to complete the process. Vehicle mortgage release: Releasing the mortgage on a mortgaged vehicle refers to the process of deregistering the mortgage for a vehicle purchased with a mortgage loan, i.e., removing the mortgage at the vehicle management office when the mortgage right is extinguished. After the auto loan is fully repaid, bank staff will notify the individual to proceed with the mortgage release. You only need to bring your personal ID card and go to the vehicle management office with the bank staff to complete the vehicle mortgage release. Mortgaged vehicle: A mortgaged vehicle is the collateral provided by the vehicle owner to a financial institution when they urgently need money. If the owner fails to fulfill the debt obligations, the financial institution has the right, in accordance with relevant laws, to discount, auction, or sell the vehicle, with the proceeds from the sale given priority for repayment.
I previously dealt with the release of a mortgaged car, and yes, there were fees involved, but nothing astronomical. The main costs were the registration fee charged by the DMV and the bank's service fee. In total, I paid around 600 yuan, which included document processing and other charges. These fees are officially required to update the vehicle's status records. Don't expect it to be free—otherwise, you might run into disputes when selling the car. I recommend calling the DMV and your loan provider in advance to ask about the fee breakdown. Generally, it costs between 200 to 1,000 yuan to complete the process. Bring your ID and the original vehicle certificate to save time in line. Overall, paying these fees is normal, but make sure you're not overcharged. Timely release is important to keep your vehicle hassle-free.
Recently helped a family member release a car from mortgage, and experience told me to be prepared to pay. The costs include a registration fee of about 150 yuan at the vehicle management office, plus a service fee of 50-100 yuan charged by the bank. The whole process is simple, but these necessary expenses must be paid. The reason? It's the cost of updating documents at the vehicle management office. Personally, I think it's quite reasonable, and spending less than 400 yuan isn't a big burden. My advice is not to delay, to avoid penalties like overdue interest. Just bring cash or a card to handle it. An extra reminder: some areas might have lower fees, so it's good to inquire first to reduce expenses.
