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What is Salvage title? US States Rebuilt Title Rules

Car Rebuilding and Salvage Title for Texas vehicles: Form 130 U Texas Rules and requirements

By Mike Richards Updated: 05/22/2019 Posted: 10/29/2015

Car Rebuilding and Salvage Title Rules for Vehicle in Texas

Vehicles that have a salvage title in Texas can be rebuilt so they can become operable and get back on the road. Do you know what is Texas DMV form 130-U? Read on!

Texas has very strict rules when it comes to salvage vehicles, though. They deem any vehicle, regardless of model year, to be salvage if the damaged or missing parts would cost the owner more to repair than the actual value of the vehicle, or if it is damaged and comes into the state with an out of state salvage title that states that it is inoperable, re-buildable, salvageable, or has accident damage.

Those who have possession of a vehicle that is deemed salvage will need to apply for a salvage title in the state, or a non-repairable title before they can sell or transfer the vehicle. The only time that they will not need these titles is if they are going to destroy, scrap, or dismantle the nonrepairable vehicle.

Rebuilding the Vehicle: Texas 130-U and others

After the vehicle has been rebuilt, it is possible to apply for a new title, which will be branded rebuilt salvage. The owner will need to file an Application of Texas Certificate of Title, Form 130-U (Texas) with the County Tax Assessor-Collector’s Office in their county of residence, or where the vehicle was purchased.

In addition to the regular title fee, the state (DMV) also charges an additional $65 Rebuilt Salvage Title Fee, unless you provide a DPS Certificate of Inspection (Form MVT-9). Also, you will need to include evidence of ownership, the Rebuilt Affidavit (Form VTR-61), major component part description, owner information, evidence of inspection, odometer disclosure statement, proof of financial responsibility, identification certificate (driver license), and a release of liens.

Evidence of ownership could include the Texas salvage certificate, salvage vehicle title or Texas Salvage Certificate issued before September 1, 2003. The Rebuilt Affidavit needs to include a description of the vehicle, including the VIN, body style, make, model, and year, as well as an explanation of the repairs done to the vehicle.

The major component part description requires detailing of all the major component parts used to repair the vehicle, along with the identification number of the parts.

Owner information is simply a statement that you are the legal owner of the vehicle, that the vehicle has been rebuilt, that the VIN on the form is the same as that on the vehicle, and a signature of the owner, or the owner’s authorized agent.

Inspection

Evidence of inspection for safety is required, and a Certificate of Inspection, mentioned earlier, can eliminate the added title fee. This form needs to be completed by specially trained officers in the Department of Public Safety for those prior to September 1, 2003. The form certifies that the parts used in the vehicle were inspected and that the vehicle is roadworthy and safe to drive.

When you have included all of the paperwork and information, you will be able to receive your new title, register and insure the vehicle. It will always bear the title of rebuilt or prior salvage, to ensure that any new buyers are aware of the vehicle’s history. Consider to find good insurer for you vehicle even if you become a seller of that car.

Find information on Rebuilt Title Laws for Other US States. Explore our Vehicle Auctions and Buying With Us.

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