The South Dakota Department of Revenue, Division of Motor Vehicles is implementing an Electronic Lien and Title system (ELT) on October 1.

Under the ELT system, motor vehicle lien recordings and title applications processed on and after October 1 that denote a lien will not be issued a paper title document. The title document will be retained electronically in the state’s data base. A paper motor vehicle title certificate will be printed when the lien is released.

To assist with this transition, The Credit Union Association of the Dakotas and VINtek will be hosting a FREE webinar to discuss the new processes, the key dates, and how this these changes may impact your credit union. 

“The Division continues to look for effective, efficient ways to serve the citizens of South Dakota,” said Division of Motor Vehicles Director Deb Hillmer. “Implementing the ELT system will provide advantages to our industry partners as well as individuals in the notation and release of liens, such as a reduction in duplicate titles and quicker receipt of title upon lien payoff.” 

South Dakota will join a number of other states that have already implemented ELT.

According to Hillmer, lenders recording a motor vehicle lien have the option to utilize an approved third party provider that will provide the lender with electronic notices of title and lien when the motor vehicle record is processed in the state system. Participating lenders will also release a lien electronically through its provider. Upon receipt of the electronic lien release, the title will be printed and mailed to the motor vehicle owner, unless directed otherwise by the lender.

Lenders that do not participate through a third party provider can obtain access to search the state’s title system to verify title and lien records.  Lienholder information, title brands, and other motor vehicle information can be accessed through the SDcars system at www.sdcars.org by entering a valid motor vehicle VIN in the “VIN √” option.

Additional information on the electronic lien and title system and the list of approved third party providers is available online at http://www.state.sd.us/drr2/motorvehicle/ELT.htm . 

If you have questions regarding electronic lien and titles, contact the South Dakota Division of Motor Vehicles at 605.773.3541.