Can You Renew Your Vermont Loophole Plate?

Background: The Vermont Registration Dilemma

For those unfamiliar, the Vermont registration loophole allowed individuals to register their vehicles in Vermont, even if they didn’t reside there. This practice, while not always strictly legal, became common as a means to circumvent certain regulations and fees in other states.

The Turning Point

As we’ve discussed on our channel and website over the years, the inevitable has happened. Vermont’s Department of Motor Vehicles (DMV) is no longer renewing registrations for out-of-state residents. The key shift is their heightened evaluation of out-of-state transactions, aligning with your home state’s laws.

What Does This Mean for You?

If you’re currently holding a Vermont registration, especially if it’s about to expire, you’ll likely face rejection when attempting to renew. So, what are your options?

  1. Transfer to Your Home State: If your Vermont registration is still valid, consider transferring it to your home state. The catch here is that your state may reevaluate the vehicle’s value based on Vermont’s registration, potentially leading to additional taxes.
  2. Bonded Title: For a smoother process, you can opt for a bonded title in your home state. Contrary to common misconceptions, the cost of the surety bond is usually reasonable and does not necessarily equate to 1.5 times the vehicle’s value.
  3. Court Order Title or Magistrate Title: This involves presenting your case to a magistrate clerk or judge, detailing your vehicle’s acquisition and asserting your ownership. While it might sound daunting, it’s often a straightforward process, and our website provides step-by-step instructions.

Navigating Potential Tax Implications

If your Vermont registration has been in use for more than a year, be cautious of potential tax implications. Using the Vermont registration as proof of ownership may lead your state to assess taxes based on Vermont’s assigned value. Alternatively, you can opt for a bonded title or court order title to potentially sidestep these tax issues.

How We Can Assist

We understand the bureaucratic challenges of obtaining titles, and that’s why we offer assistance. Whether you prefer a do-it-yourself approach with our free instructions or seek a more streamlined process with our services, we’ve got you covered.

Visit our website,, for detailed instructions, videos, and additional resources. If you have specific questions or require assistance, our help desk is reachable at

It’s Not the End; It’s a Transition

While the Vermont registration loophole era may be over, hope is not lost. This transition offers you a chance to regularize your vehicle’s status in a way that aligns with your state’s laws and regulations.

Feel free to share your experiences, questions, or comments below. We’re here to help you navigate this change and ensure a smooth transition.

Stay informed, stay empowered.

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