What Is a Mechanic’s Lien and How Do You Get Rid of It?

A car lien is a legally binding agreement involving a lienholder and the man or woman who funds the obtain of a new or applied auto. All financed autos have a lien on them, and the lender or fiscal establishment that offers the mortgage is regarded as the lienholder.

Until the borrower pays back again the loan in complete, the lienholder retains possession legal rights to the financed car. If the borrower fails to make well timed payments, the lienholder can repossess the car or truck.