Iowa Admin. Code r. 571-50.2 - Bond required before issuance of title or registration
(1)
Procedures. An applicant for certificate of title who cannot
provide the supporting documents required in 571-Chapters 46 and 47
(implementing Iowa Code chapters 321G and 321I) shall be required to complete
the following procedures as a condition to obtaining a title and registration.
The procedures described are in addition to the regular procedures for titling
and registering a regulated vehicle.
a. The
applicant shall submit a request form to the department on a form provided by
the department. The request form shall include a copy of the written proof of
ownership at the time the vehicle was acquired.
b. The applicant shall contact the department
and provide identifying information in regard to the regulated vehicle. The
required identifying information shall include the manufacturer identification
number; registration sticker (if affixed to the regulated vehicle); photographs
of the regulated vehicle that show the front, rear, and one side of the
regulated vehicle; and any additional information about the regulated vehicle
as may be requested by the department. If no manufacturer identification number
is currently affixed to the regulated vehicle, the applicant shall complete the
department's procedure for obtaining such number, and the assigned number shall
be affixed before the applicant may proceed with the registration application
process set forth in this chapter.
(2)
Investigation. The
department, upon receipt of sufficient identifying information from an
applicant, shall:
a. Search the department's
registration records to determine whether there is an owner of record for the
regulated vehicle and whether the regulated vehicle has been reported stolen or
embezzled;
b. If the department
finds a record of prior ownership in the department's registration records,
mail the release of ownership and rights to the regulated vehicle by
first-class mail to the owner of record at the owner's last-known address. The
notice shall state that the owner of record may assert the owner's right to
claim the regulated vehicle.
(3)
Letter of release. Upon
receipt of the letter of release by the last registered owner or legal
representative, the department may:
a. Provide
approval notification to the applicant and the county recorder that there is
sufficient evidence to indicate that the applicant is the rightful owner and
that there is no known unsatisfied security interest, so the regulated vehicle
may be registered and titled in Iowa.
b. Notify the appropriate authorities of the
owner's claim to the regulated vehicle. No further action will be completed by
the department.
(4)
Letter of release.
a. If the
department receives no response from the owner of record within 30 days after
the date of mailing or if the post office returns the notice to the department
as undeliverable, the department will continue processing the bond
request.
b. The department will
determine the current retail value for the same type of regulated vehicle for
which the registration is being sought with documentation from J.D. Power
(formerly the National Automobile Dealers Association, or NADA) or Kelley Blue
Book or through competitive pricing found on the Internet, or the applicant may
submit an appraisal of the regulated vehicle by a licensed regulated vehicle
dealer.
(1) If the current retail value of the
regulated vehicle is $1,000 or less as determined by the department and is over
15 years old, the department may allow the registration of the
vehicle.
(2) If the current retail
value of the regulated vehicle as determined by the department is more than
$1,000, the department will notify the applicant that the following
requirements are needed to proceed with the bonding process:
1. A completed registration application form
(as provided by the department).
2.
Inspection of the regulated vehicle by a representative of the department, with
a signature required on the registration application form.
3. A complete surety bond form (as provided
by the department).
(5)
Approval. If the
department determines that the applicant has complied with this rule, that
there is sufficient evidence to indicate that the applicant is the rightful
owner, and that there is no known unsatisfied security interest, the department
shall forward the original application to the county recorder and notify the
applicant that the regulated vehicle may be registered and titled in
Iowa.
(6)
Disapproval. If the department determines that the applicant
has not complied with this rule, that there is sufficient evidence to indicate
that the applicant may not be the rightful owner, that there is an unsatisfied
security interest, or that the owner of record asserts a claim for the
regulated vehicle, the department shall not authorize issuance of a certificate
of title or registration receipt and shall notify the applicant in writing of
the reason(s).
Notes
State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.
If the county recorder or the department is not satisfied as to the ownership of the
(1) Identification. The applicant shall contact the department and provide identifying information in regard to the regulated vehicle . The required identifying information shall include the identification number and such additional information about the regulated vehicle as may be requested by the department. If no identification number is currently affixed to the regulated vehicle , the applicant shall complete the department's procedure for obtaining such number, and the assigned number shall be affixed before the applicant may proceed with the application process set forth in this chapter.
(2) Records search Upon receipt of sufficient identifying information from an applicant, the department shall:
a. Search the department's registration records to determine if there is an owner of record for the regulated vehicle and if the regulated vehicle has been reported stolen; and
b. Notify the applicant, orally or in writing, in regard to whether a record of prior ownership has been located and, if so, provide the name and last-known address of the owner of record.
(3) Examination. At any time after being contacted by the applicant and before approval of an application, the department may examine the regulated vehicle .
(4) Notice to owner of record. If the department finds a record of prior ownership in the department's registration records, the department shall provide the applicant with a bonding packet containing instructions that describe how to complete the bonding process. The packet shall include a notice to the owner of record and a certified mail envelope, return receipt requested, with a return address of the department. The notice shall state that the owner of record may assert the owner's right to claim the regulated vehicle . If neither the applicant nor the department receives a response from the owner of record within ten days after receipt of notice or the post office returns the notice to the applicant or the department as undeliverable or unclaimed, the department will continue processing the bond application.
(5) Submission of application. To register the regulated vehicle , the applicant must submit the appropriate forms and fees described in 571-Chapter 46. In addition, the application shall include a statement obtained from an Iowa-registered dealer for the same type of regulated vehicle for which the value is being sought or documentation from the North American Dealers' Association indicating the current value of the regulated vehicle . In addition to the appropriate application form required under 571-Chapter 46, the following documents shall be submitted with the application form:
a. Photographs of the regulated vehicle which show the front, rear, and one side of the regulated vehicle .
b. The written ownership document received at the time that the regulated vehicle was acquired.
c. Satisfactory proof of the regulated vehicle identification number or DNR Form 542-8065. Examples of what constitutes satisfactory proof include, without limitation, corresponding photographs of the vehicle identification number and the vehicle or a readable pencil rubbing of the vehicle identification number.
d. The undeliverable or unclaimed certified letter and envelope addressed to the previous owner or the signed certified mail receipt, if available, if a record of prior ownership was located by the department.
e. A surety bond on DNR Form 542-8092 in an amount equal to one and one-half times the current value of the regulated vehicle , if required.
(6) Approval. If the department determines that the applicant has complied with this rule, that there is sufficient evidence to indicate that the applicant is the rightful owner, and that there is no known unsatisfied security interest, the department shall forward the original application to the county recorder and notify the applicant that the regulated vehicle may be registered and titled in Iowa.
(7) Disapproval. If the department determines that the applicant has not complied with this rule, that there is sufficient evidence to indicate that the applicant may not be the rightful owner, that there is an unsatisfied security interest, or that the owner of record asserts a claim for the regulated vehicle , the department shall not authorize issuance of a certificate of title or registration receipt and shall notify the applicant in writing of the reason(s).