Prior owners of your property may not have been meticulous bookkeepers — or bill payers. The title company has no duty to you. What about when I sell my house? If not, the title insurance notifies the buyer and seller, who will then have to negotiate to clear the liens and ensure all lien … However, if you don’t ask for these exceptions to be modified, the title company will probably leave them in your policy. My guess is that the title company knows about the lien, disclosed it, and the buyer said, "so what." You definitely don’t want to use the wrong waiver at the wrong time — your ability to get paid the money you earned is at stake. The Auto Insurance Company will decide what is a salvage title … They gave the buyer the key and let them move in. If so I would probably call Capital One and ask them what they want to do as it is legally their property even if they have written off the debt and it is passed the time for credit reporting. The title company closed on my home short of the payoff. The same thing is true when a property is being sold. The official home of the latest WWE news, results and events. And even though the former debt is not your own, banks or other financing companies can place liens on your property for unpaid debts even after you have closed on the sale. Florida title doesn’t look much different without the branded text. Thereafter, the lien holder threatened to foreclose…..a lawsuit followed and ultimately was paid by the insurance company. The text is difficult to catch if your not looking for it. If you did not purchase title insurance, unpaid property taxes or a roofer who has yet to be paid for work on the house with a lien that wasn't found before closing becomes your responsibility. I asked them if they had the title at hand--since they will be the lien-holders, and they said that they didn't. If your lien is not great enough for the expense of foreclosure, then seek some other … While your tax lien will not directly damage your spouse’s credit rating, it can make it difficult for you to apply for credit together, as you might want to do if you were buying a home together, or the lien against your business might attach to property you and your spouse own together. Salvage title means this vehicle is totaled because of an accident, theft, fire or flood. One example is the mechanic’s lien exception. Your title insurance company, whose first job is to research the property’s title and discover all possible defects, as Grubb notes, will first see if the lien can be cleared easily at closing. You need to have a heart to heart with you lawyer about this. If they want something in return for giving you a clear title then you can make the call or give them the vehicle back. The title company will have the experience to guide you as to the proper number to call at the Georgia Department of Revenue and know what documentation it will need to issue a clear lender’s title insurance policy to your lender. Also the car had no lien, or any abnormal flags. Perhaps the buyer did not care, seeing that the lien has been sitting there for years and years, with no action taken by the lienholder, aka "you." The title company calls to let you know the title is not clear because there is an unreleased lien from 1997. This is a function of the title company that was hired to make sure there all liens are paid and you are provided with a clear lien with the exception of the mortgage company you obtain to finance your house. The lien is recorded to let everyone know the financial institution has a legal interest in the home. Thank you for taking the time to post this on Facebook. Unknown liens. If you did not receive a title … Your solution is to foreclose the lien. In 2008 I obtained a reverse mortgage on my home in California. They ask you for proof of payoff and release. Title insurance protects the lender and/or owner against lawsuits or claims against the property that result from disputes over the title.