A lien will be placed on a vehicle title to protect the interest of a creditor. In most cases, the lienholder will be the bank that provided the financing to purchase the vehicle. Liens also can be placed on vehicle titles by repair shops and storage yards for non-payment of invoiced services. In Maryland, the process of releasing loan-related liens is similar to the rest of the country, but the state has its own requirements for the removal of mechanic’s liens.

Releasing a Lender’s Lien with a Paper Title

Maryland’s rules state that when a loan has been confirmed as being paid in full, a lender holding a paper title as the lienholder must send a document that releases the lien, along with the signed certificate of title to the owner.