Fact Sheet: Obtaining Title for Repossessed Vehicle

              Effective Jan. 1, 1999, P.A. 90-665 and 92 Ill. Adm. Code 160 revised the procedures prescribed by the Illinois
Vehicle Code (625 ILCS 5/3-114(f)) with respect to the repossession of vehicles by lienholders. The revised
requirements are as follows:
Voluntary Repossession of a Vehicle
1. Once owner assigns the vehicle over to the lienholder, the lienholder may reassign the vehicle to the new
purchaser on the back of the certificate of title. The lienholder has 20 days from the date of sale to the purchaser
to provide the purchaser with the reassigned certificate of title.
2. The lienholder must release their interest in the vehicle by executing the "Release of Lien" area on the face of
the certificate of title.
3. A statement on the lienholder's letterhead stating that the transaction is a voluntary repossession.
The purchaser must submit:
• An application for vehicle title and registration (if applicable) and the appropriate fee.
• The certificate of title properly assigned to the purchaser on the back of the certificate of title in the "First Re-
Assignment of Title" area.
• Appropriate tax payment and applicable tax form, i.e. RUT-25 or ST-556.
Involuntary Repossession of a Vehicle
For all involuntary repossessions, the lienholder shall mail or deliver to the owner a Notice of Redemption which
shall include:
a. The name of the owner, and a statement in bold type at or near the top of the notice that the vehicle was
repossessed on a specified date for failure to make payments on the loan (or other reason).
b. The year, make, model and vehicle identification number.
c. The right of the owner to redeem the vehicle, and the name, address, and telephone number of the lienholder
from whom information may be obtained concerning the amount due to redeem the vehicle, and from whom
the vehicle may be redeemed.
d. The lienholder's intent to sell or otherwise dispose of the vehicle after the expiration of 21 days from the date
of mailing or delivery of this notice.
Do not send the Notice of Redemption, or copies thereof, to the Office of the Secretary of State.
Involuntary Repossession of a Commercial Vehicle
Prior to the sale of the vehicle, forward to the owner(s) of the vehicle a Notice of Redemption by mail or delivery. Said
notice may accompany the notification of sale.
The lienholder shall transfer ownership of the vehicle to the purchaser on the back of the certificate of title.
The purchaser should submit:
• An application for title and registration (if applicable) and the appropriate fee.
• An Affidavit of Repossession completed by the lienholder on a form prescribed by the Secretary of State.
• The certificate of title, assigned to the purchaser by the lienholder. The lienholder must release their interest in
the vehicle on the front of the certificate of title.
• The appropriate tax payment and applicable tax form, i.e. RUT-25 or ST-556.
JESSE WHITE
Secretary of State
Vehicle Services Department
FACT SHEET
Obtaining Title for Repossessed Vehicle