Reminders from the Virginia Motor Vehicle Dealer Board

The most recent issue of the Virginia Motor Vehicle Dealer Board’s DealerTalk newsletter included some important reminders near the end. In case you missed it, here they are:

Dealer Title Helds

The DMV allows dealers to title a customer’s vehicle with missing documentation by placing a dealer title held on the vehicle. This stops the title from printing until the missing documentation is provided to DMV (e.g., the prior title is held up by the lienholder). Utilizing dealer title helds allows dealers to meet their 30 day titling requirement when they are still missing documentation normally required to title the vehicle. To place a title held onto a vehicle, the dealer must deliver to the Department an application for title, copy of the bill of sale, all required fees and a written statement of facts describing the dealer’s efforts to secure the certificate of title or certificate of origin to the vehicle. DMV only offers this to dealers. However, it is the dealer’s responsibility to submit the missing documentation. DMV has noticed an increase in dealers not submitting the remaining documentation to remove the dealer title held. Consequently this delays the customer’s ability to receive their title, which causes customer frustrations. It may also reflect poorly on the dealership and should be avoided by submitting the required documentation as soon as it is received. DMV will send letters to the dealership, lienholder and customers advising them of the need for additional documentation to release the dealer title held.

Print on Demand (PoD) Tags

The following reminders provide important information impacting dealer transactions. PoD tags on bond paper is not authorized for use at any time. All PoD temporary tags must be printed on the weather resistant paper supplied by the Department of Motor Vehicles, Dealer Services work center. The PoD tags are not authorized to be emailed to customers. All vehicles must be titled within 30 days of purchase to ensure that titling tax is paid to the Virginia Department of Motor Vehicles as required by law. It is important to note that use of bond paper may result in the loss of your privileges to participate in the PoD program. Also, law enforcement may ticket vehicle owners displaying the bond paper for illegal use of license plates. Orders for the PoD paper will be accepted through Dealer Services Work Center.

To place an order, send an email to: with the following information: dealer name, dealer number, shipping address, order quantity, tag size(s) (standard/ small), and printer make/ model number. Approved order requests will be shipped within five business days. Standard tags will be issued in packs of 100 and small tags (motorcycle/trailer) in packs of 25.

§ 46.2-1559 requires all dealers to maintain a permanent record of all temporary license plates (PoD) issued, and § 46.2 -1529 requires dealers to keep dealer records for 5 years. The Board recommends dealers retain in the vehicle folder, one of the registrations that are printed as part of the PoD tag.
§ 46.2-1561 states in part, no dealer shall lend temporary license plates to any person for use on any vehicle…and…It shall be unlawful for any person to issue any temporary license plates containing any misstatement of fact, or for any person issuing or using temporary license plates knowingly to insert any false information on their face.

VSA 59 Disclosure

Virginia Code §46.2-1602(A)(4) states that “It shall be unlawful for any person to sell a rebuilt vehicle without first having disclosed the fact that the vehicle is a rebuilt vehicle to the buyer.” Virginia Code §46.2-1600 defines a rebuilt vehicle as: (i) any salvage vehicle that has been repaired for use on the public highways, or (ii) any late model vehicle that has been repaired and the estimated cost of repair exceeded 75% of its actual cash value, excluding the cost to repair damage to the engine, transmission or drive axle assembly.

When a dealer sells a rebuilt or branded titled vehicle, the dealer must include the VSA 59 Disclosure form for you and your customer to sign. The dealer enters the rebuilt or branded vehicle information into the form. The notice on the VSA 59 states that the title issued by the DMV has been branded “rebuilt” or “branded”, and the brand on the title will carry forward. For more information on the VSA 59 and rebuilt or branded vehicle requirements, visit the Virginia Department of Motor Vehicles.

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