C.R.S. Section 42-6-126
New certificate upon release of mortgage


(1)

Intentionally left blank —Ed.

(a)

Upon the satisfaction of the debt and release of a mortgage on a motor or off-highway vehicle filed for record as required by section 42-6-121:

(I)

The owner of the vehicle encumbered by the mortgage, the purchaser from or transferee of the owner as appears on the certificate of title, or the holder of a mortgage that was junior to the mortgage released, upon the receipt of the certificate of title, as provided in section 42-6-125, shall deliver the title to the authorized agent, who shall transmit the title to the director; or

(II)

The lienholder shall notify the authorized agent of the satisfaction of the debt and release of the mortgage, setting forth any facts concerning the right of the holder to release the mortgage as the director may require. The lienholder shall sign a satisfaction and release that is affirmed by a statement containing or accompanied by a written declaration that it is made under the penalties of perjury in the second degree, as defined in section 18-8-503, C.R.S. Upon receiving a valid satisfaction and release, the director or authorized agent shall note the release of the lien and shall issue a certificate of title for the motor vehicle, omitting all reference to the mortgage.

(b)

Upon the receipt by the director of a statement of mortgage release, the director shall:

(I)

Note on the records in the director’s office to show the release of the lien of the mortgage;

(II)

Issue a new certificate of title to the motor or off-highway vehicle, omitting all reference to the released mortgage; and

(III)

Dispose of the new certificate of title in the manner prescribed in other cases unless directed otherwise.

(2)

For certificates of title that are maintained in an electronic format, any release of lien, mortgage, or encumbrance shall be filed prior to the issuance of a new certificate of title. In the event the holder of the lien, mortgage, or other encumbrance has filed bankruptcy or is no longer in business, the person seeking issuance of a new certificate of title reflecting the release of the lien, mortgage, or other encumbrance, which has been maintained electronically, shall either post a bond with the director in a reasonable amount determined by the director or shall wait until the period of the lien, mortgage, or other encumbrance expires.

Source: Section 42-6-126 — New certificate upon release of mortgage, https://leg.­colorado.­gov/sites/default/files/images/olls/crs2023-title-42.­pdf (accessed Oct. 20, 2023).

42‑6‑101
Short title
42‑6‑102
Definitions
42‑6‑103
Application
42‑6‑104
Administration - rules
42‑6‑106
Certificates of registration - plates
42‑6‑107
Certificates of title - contents - rules
42‑6‑109
Sale or transfer of vehicle - program
42‑6‑110
Certificate of title - transfer - department records - rules - definition
42‑6‑110.5
Certificates of title - arrangements for transfer of title upon death - beneficiary designation forms - definitions
42‑6‑111
Sale to dealers - certificate need not issue
42‑6‑112
Initial registration of a vehicle - dealer responsibility to timely forward certificate of title to purchaser or holder of a chattel mortgage - penalty
42‑6‑113
New vehicles - bill of sale - certificate of title - rental businesses - rules
42‑6‑114
Transfers by bequest, descent, or law
42‑6‑115
Furnishing bond for certificates
42‑6‑116
Applications for filing of certificates of title - rules
42‑6‑117
Filing of certificate
42‑6‑118
Amended certificate
42‑6‑119
Certificates for vehicles registered in other states
42‑6‑120
Security interests upon vehicles
42‑6‑121
Filing of mortgage - rules
42‑6‑122
Disposition of mortgages by agent - rules
42‑6‑123
Disposition after mortgaging
42‑6‑124
Disposition of certificates of title
42‑6‑125
Release of mortgages - rules
42‑6‑126
New certificate upon release of mortgage
42‑6‑127
Duration of lien of mortgage - extensions - rules
42‑6‑128
Validity of mortgage between parties
42‑6‑129
Second or other junior mortgages
42‑6‑130
Priority of secured interests
42‑6‑131
Mechanic’s, warehouse, and other liens
42‑6‑133
Foreign mortgages and liens
42‑6‑134
Where application for certificates of title made
42‑6‑135
Lost certificates of title
42‑6‑136
Surrender and cancellation of certificate - penalty for violation
42‑6‑136.5
Salvage title
42‑6‑137
Fees
42‑6‑138
Disposition of fees
42‑6‑139
Registration and title application - where made
42‑6‑140
Registration upon becoming resident
42‑6‑141
Director’s records to be public
42‑6‑142
Penalties
42‑6‑143
Altering or using altered certificate
42‑6‑144
False oath
42‑6‑145
Use of vehicle identification numbers in applications - rules
42‑6‑146
Repossession of motor vehicle or off-highway vehicle - owner must notify law enforcement agency - definition - penalty
42‑6‑147
Central registry - rules
42‑6‑148
Off-highway vehicles - sales
42‑6‑201
Definitions
42‑6‑202
Prohibited acts - penalty
42‑6‑204
Private civil action
42‑6‑205
Consumer protection
42‑6‑206
Disclosure requirements upon transfer of ownership of a salvage vehicle - rules - definitions
Green check means up to date. Up to date

Current through Fall 2024

§ 42-6-126’s source at colorado​.gov