Is there a fee for releasing the auto loan lien?
2 Answers
After fully repaying the auto loan, customers do not need to pay any fees when completing the lien release procedures at the vehicle management office. The details are as follows: 1. Required documents for lien release: The lien release process itself is free of charge. Customers only need to prepare their personal ID card, vehicle license, driver's license, as well as the loan settlement certificate issued by the lending bank or auto finance company and the retrieved vehicle registration certificate. 2. Service fee for authorized agents: Customers who cannot personally handle the lien release may authorize an agent. Many 4S dealerships offer lien release agency services, and they may charge a certain service fee for this. 3. Report mandatory fees promptly: If a 4S dealership imposes mandatory fees, customers can call the local banking regulatory commission or industrial and commercial department to report the issue and protect their legal rights.
I did encounter a situation where I had to pay a fee during the process of releasing the lien after paying off my car loan. At that time, I had purchased a used car through a bank loan. After making the final payment, they sent a notice stating that I needed to pay approximately 100 yuan as a handling fee to complete the vehicle lien release procedure. This mainly covered service and document processing fees, similar to a small administrative charge. However, not all institutions charge for this—for example, my friend used a different financial institution and was able to complete the process entirely for free online. I think the key is to check what your loan contract specifies or to ask your lender about their specific policies. If you're unsure, it's a good idea to call in advance to avoid unexpected charges. Additionally, some DMVs may involve a small fee, but it's usually not high—typically just a few dozen yuan to get it done. The lien release is quite important, as failing to complete it properly can affect selling or transferring the vehicle, so I recommend handling it promptly and not delaying. In any case, the amount isn't significant, so there's no need to worry too much—just make sure you have all the required documents ready, and you'll be fine.
