Odometer
Odometer
The Truth In Mileage Act
An odometer disclosure statement is required on any document used for transfer of ownership.
Odometer Requirements:
At the time of sale, record existing mileage (no tenths) as shown on the vehicle’s odometer.
One of the three following odometer indicators is required:
Actual mileage (A)
In excess of mechanical limits (E)
Not actual mileage - WARNING ODOMETER DISCREPANCY (N)
If the reading is in kilometers it must be converted to miles. Use the following formula: Kilometers (X) .621371 (=) miles.
When completing the odometer disclosure statement, the buyer and seller must hand print and sign their name acknowledging the mileage.
Odometer acknowledgement must be completed on a secure form.
Any document used for transfer of ownership of a motor vehicle must be printed by means of a secure process.
The law does not allow a dealer taking a vehicle in on trade to accept power of attorney from the seller for the purpose of completing transfer of ownership on the title. The only exceptions are:
If the title is physically held by a lienholder.
If the title has been lost and the is dealer applying for a duplicate title.
Note: In these two instances the secure power of attorney form must be used. Refer to this section for information concerning the use of a secure power of attorney form. (Power of Attorney)
Odometer Exemptions:
Vehicles that may, but are not required to complete the odometer disclosure are:
Vehicles that meet age requirements. Click Here for chart explaining age requirements.
When the surrendered document indicates the odometer reading and indicator (not zero or exempt) on the face of the title and both buyer and seller have properly acknowledged the odometer, the odometer must be entered into the system and printed on the title.
When the surrender document has the odometer and indicator on the face of the title and the buyer, the seller, or both have not properly acknowledged the odometer on the transfer; no acknowledgment is required, and a title will be issued with the odometer as exempt.
Vehicles with a gross vehicle weight rating over 16,000 lbs.
Vehicles sold by a court order
Disclose odometer on DR 2173 Motor Vehicle Bill of Sale by owner (buyer) to start the odometer tracking. Indicator will be Actual unless it is known that the mileage is Not Actual or In Excess.
Vehicles without odometer mechanisms
Motorcycles
A DR 2444 Statement of Fact must be included with the application for title indicating that the motorcycle has no odometer mechanism. A trip meter is not an odometer mechanism.
Trailers
Manufactured Homes
Note: Seller may not be available to sign the Motor Vehicle Bill of Sale.
For vehicles meeting age requirements, if disclosed and owner desires to make exempt, a DR 2444 Statement of Fact is required.
Secure Forms
The rules promulgated by the National Highway Transportation Safety Administration (NHTSA) published in the 10/01/89 edition of the Federal Register list the security features for both separate reassignment documents and power of attorney documents. A document must contain one of the following safety features to be considered a secure document.
Appendix A to Part 580 -- Secure Printing Processes and other secure Processes.
Methods to deter or detect counterfeiting and/or unauthorized reproduction.
Intaglio printing - a printing process utilized in the production of bank-notes and other security documents whereby an engraved plate meets the paper under extremely high pressure forcing the paper into the incisions below the surface of the plate.
Intaglio printing with latent images - a printing process used in the production of bank-notes and other security documents whereby an engraved plate meets the paper under extremely high pressure forcing the paper into the incisions below the surface of the plate. The three-dimensional nature of intaglio printing creates latent images that aid in verification of authenticity and deter counterfeiting.
High resolution printing - a printing process which achieves excellent art clarity and detail quality approaching that of the intaglio process.
Micro-line printing - a reduced line of type that appears to be a solid line to the naked eye but contain readable intelligence under strong magnification.
Pantograph void feature - wording incorporated into a pantograph by varying screen density in the pantograph. The wording will appear when attempts are made to photocopy on color copiers.
Hologram - a diffraction foil substrate produced from a negative which was made by splitting a laser beam into two separate beams to produce a three-dimensional effect.
Security paper - paper containing a security watermark and/or a security thread.
Methods to allow alterations to be visible to the naked eye.
Erasure sensitive background inks - a process whereby the text is printed in a dark color ink over a fine line erasure-sensitive prismatic ink tint.
Security lamination - retro-reflective security laminate is placed over vital information after it has been entered to allow for detection of attempts to alter this information.
Security paper - paper which has been chemically treated to detect chemical.
In order to comply with the requirements of the law, Colorado has designated the three forms below to be printed on secure paper.
DR 2174 Power of Attorney for a Motor Vehicle
This secure power of attorney form is required when the attorney in fact will be signing the title document for BOTH buyer and seller.
Dealers may use the form only when the title is held by a lienholder or the original title has been lost or destroyed.
This is a five-part form.
The original copy stays with the title document it supports.
The second copy is sent to the Department with a photocopy of the title it supports if sold out-of-state.
The third copy is kept in the dealer’s file for five years.
The fourth copy may be used to send either to lienholder as proof of the sale or to the county clerk to apply for a duplicate title.
The fifth copy may be given to the seller for their records.
Note: The DR 2174 is most commonly used by dealers. However, it may be used by individuals or other entities.
DR 2407 Dealers Bill of Sale
This secure form is used for transfer of ownership with unrestricted titles and disclosure of the odometer by BOTH the buyer and the seller.
This is a three-part form.
The original copy stays with the title document it supports.
The second copy of the form must be retained in the dealers file for five years.
The third copy may be given to the buyer.
DR 2173 Motor Vehicle Bill of Sale
This form is used by tow companies and law enforcement agencies, and to disclose the odometer reading.
This is a three-part form.
The original copy stays with the title document it supports.
The second copy of the form must be retained in the tow company or law enforcement agency’s file for three years.
The third copy may be given to the buyer.
This form may also be used to begin the odometer tracking on bond, court order, or government bill of sale applications.
Odometer Disclosure Requirements in Various Situations
MSO (Manufacturer’s Statement of Origin)
Dealer to dealer assignments on the MSO does not require a separate odometer disclosure, but must include the odometer reading in the assignment area. The odometer disclosure is required when transferring from a dealer to a private owner.
If the MSO is not available for the buyer’s signature, a DR 2407 Dealers Bill of Sale will be acceptable.
If the odometer reading is over 1500 demonstration miles, the vehicle is a used vehicle and must be titled by the Colorado dealer, C.R.S 42-6-102(11).
When the odometer reading exceeds 1500 miles due to in-transit miles (from point of purchase to point of delivery), and a Colorado dealer claims in-transit miles, the claim must be supported with a DR 2444 Statement of Fact with the following information:
Vehicle description (year, make and VIN).
Name and address of selling dealer.
Name and address of buying dealer.
Number of in-transit miles claimed.
Perjury statement or notarization.
Signature and date.
Note: Dealer taking title must disclose the odometer reading and indicator as buyer on the MSO.
Conforming Colorado Certificate of Title
Individual-to-individual transaction:
The Odometer Disclosure Statement is incorporated on the back of the title; no additional documents are required for titling.
The buyer’s signature acknowledges receipt of the odometer disclosure information. Only one buyer’s signature and hand printed name is required.
Individual to dealer transaction:
The Odometer Disclosure Statement is incorporated on the back of the title; no additional documents are required for titling.
Subsequent transfer(s) by dealer(s):
Each transfer will require the odometer reading to be disclosed, on the title or on a separate secure form.
Non-Conforming Colorado Certificate of Title Purged Bill of Sale, and/or Out-of-State Title
Individual-to-individual transaction:
When a vehicles does not meet age requirements for exemption, the odometer reading must be disclosed on a secure form.
If the title is in more than one name, only one seller’s signature and hand printed name is required to acknowledge the odometer disclosure. All seller’s signatures are required to release their interest in the vehicle when sold.
The buyer’s signature acknowledges receipt of the odometer disclosure information. Only one buyer’s signature and hand printed name is required.
Vehicle is 10 years old or older:
No odometer requirements apply.
Vehicle with a gross vehicle weight rating over 16,000 lbs. (GVWR):
No odometer requirements apply.
Vehicle does not have an odometer and did not have odometer originally installed:
No odometer requirements apply.
Statement of Fact from seller is required.
Odometer has been removed/broken:
The odometer reading must be disclosed on a secure form. When the odometer is broken, the seller fills in the present odometer reading in the space provided and marks the box indicating “Not Actual”.
Individual to Dealer
When a vehicles does not meet age requirements for exemption, the odometer reading must be disclosed on a secure form:
If the title is in more than one name only one seller’s signature and hand printed name is required to acknowledge the odometer disclosure. All seller’s signatures are required to release their interest in the vehicle when sold.
The buyer’s signature acknowledges receipt of the odometer disclosure information. Only one buyer signature and hand printed name is required.
Vehicle requires federal odometer disclosure and title is held by lienholder:
Seller must sign DR 2174 Secure Power of Attorney for a Motor Vehicle.
Dealer transfers odometer information from Power of Attorney to the assignment section on Certificate of Title.
Vehicle with a gross vehicle weight rating over 16,000 lbs. (GVWR):
No odometer requirements apply.
Vehicle does not have an odometer and did not have odometer originally installed:
No odometer requirements apply.
Statement from seller.
Odometer has been removed/broken:
The odometer reading must be disclosed on a secure form. When the odometer is broken, the seller fills in the present odometer reading in the space provided and marks the box indicating “Not Actual”.
Subsequent transfer(s) by Dealer(s) with a non-restricted title:
Each transfer will require a DR 2407 Dealer’s Bill of Sale.
Public/Private Tow Bill Sale
DR 2173 Motor Vehicle Bill of Sale with odometer section completed.
Note: This statement will begin the odometer trail.
Leased Vehicles (When Odometer Disclosure Is Not Completed On MSO/Title)
DR 2407 Dealer’s Bill of Sale with MSO; or Secure odometer disclosure statement from another state.
Note: Lessee can act as agent for lessor when signing odometer disclosure statement.
Repossession
Odometer disclosure must be completed on the title; or a secure odometer disclosure form.
Floor Plan
Odometer disclosure must be completed on the title; or a secure odometer disclosure form.
Direct Court Orders/Bonds/Storage Liens/Colorado Assigned Identification Number
The person taking title (buyer) will complete the odometer reading and indicator on the secure odometer disclosure form DR 2173 Motor Vehicle Bill of Sale. Odometer reading will be disclosed as “Actual,” unless it is known to be “Not Actual” or “In Excess” or search results indicate “Not Actual” or “In Excess”. This will begin the odometer tracking.
Salvage Title
Odometer disclosure must be completed on the title; or
A secure odometer disclosure form DR 2173 Motor Vehicle Bill of Sale completed.
U. S. Bill of Sale (Standard Form 97)
Odometer Disclosure must be completed on the Standard Form 97. If seller is not available to sign, the DR 2173 Motor Vehicle Bill of Sale signed by the buyer is needed to start tracking the odometer reading.
Note: Vehicles sold by the federal (United States) government are specifically exempted from these requirements.
Odometer Reading Not Required
Odometer reading is not required for the following:
Vehicles meeting age requirements for exemption,
Motorcycles (without odometer mechanism).
Trailers and mobile/manufactured homes.
Motor vehicles with a gross vehicle weight rating (GVWR) more than 16,000 lbs.
When the title will remain in the owner’s name and a lien is being filed.
When a name has been legally changed (See Assignments, Legal Name Change).
Broken Odometer
Individual to Individual/Dealer or Dealer to Individual/Dealer
When the odometer is broken, the seller fills in the present odometer reading in the space provided on the secure odometer disclosure form, marks the box indicating “Not Actual”.
Odometer Correction
(See Assignments)
Odometer Disclosure Guidelines
Odometer Disclosure Guidelines
Note: Odometer Disclosure must include odometer reading, odometer indicator, a signature, hand printed name of seller and buyer (odometer indicator must be selected when applicable), date of sale and be on secure paper.
Private Party to Private Party Transaction
Title Available
Conforming Title
Odometer must be disclosed on title.
Non-Conforming Title
Odometer must be disclosed on DR 2173 Motor Vehicle Bill of Sale. Odometer should be copied to the title.
No Title Available
If title is not available a DR 2175 Power of Attorney for a Motor Vehicle from seller to buyer will be required. See limitations on P.O.A.
Title with a Lien
Title Available
Seller must disclose mileage reading on title, sign and handprint name on title.
Private Party to Private Party (Out-of-state Title)
Conforming Title
Odometer disclosure must be on title.
Non-Conforming Title
Individual must use secure odometer form from that state; or Obtain a DR 2173 Motor Vehicle Bill of Sale and disclose mileage. Transfer odometer reading to title; or Title the vehicle in that state.
Private Party to Dealer
Title Available
Conforming Title
Odometer must be disclosed on title.
Non-conforming Title
Individual must use secure odometer form from that state. or Private Party must obtain a DR 2173 Motor Vehicle Bill of Sale to acknowledge odometer disclosure. Transfer odometer reading to title.
No Title Available
Requires a DR 2174 Power of Attorney for a Motor Vehicle (secure) with the odometer disclosed for dealer to obtain a duplicate title or if the title is held by the lienholder. Odometer reading must be transferred to title
ODOMETER DISCLOSURE GUIDELINES
Note: Odometer Disclosure must include odometer reading, odometer indicator, a signature, hand printed name of seller and buyer (odometer indicator must be selected when applicable), the date of sale and be on secure paper.
Colorado Dealer to Colorado Dealer
Conforming Title
Odometer must be disclosed on title.
Non-Conforming Title
Disclose odometer on DR 2407 Dealer Bill of Sale Dealer to apply for title or reassign if permitted.
Conforming Title
Odometer must be disclosed on title.
Colorado Dealer to Private Party
MSO Available
Odometer must be disclosed on MSO or DR 2407 Dealer Bill of Sale. Agent for a business must sign and handprint name when signing for business.
MSO not Available
Odometer disclosed on DR 2407 Dealer’s Bill of Sale. Agent for a business must sign and handprint name when signing for business.
Out-of-state Dealer Assigning to Colorado Dealer
MSO Available
Odometer must be disclosed on MSO.
MSO not Available
Acknowledge odometer on a secure form from that state.
MSO (Colorado dealer on face of MSO) to Leasing Company
MSO Available
Odometer must be disclosed on MSO or DR 2407 Dealer Bill of Sale. Lessee may act as agent for Lessor to acknowledge the odometer.
MSO not Available
DR 2407 Dealer Bill of Sale required to disclose odometer. Lessee may act as agent for Lessor to acknowledge the odometer.
MSO (Out-of-state dealer on face of MSO) to Leasing Company
MSO Available
Odometer must be disclosed on MSO or other secured document from that state. Lessee may act as agent for Lessor to acknowledge the odometer.
MSO not Available
Must be acknowledged on out-of-state secure odometer disclosure document form. Lessee may act as agent for Lessor to acknowledge the odometer.
Lease Buyout
Title Available
Lessor provides odometer reading obtained from lessee. Lessor signs and handprints as seller. Buyer acknowledges odometer disclosure by signing and hand printing name.
Title not Available
Lessor applies for duplicate title. Lessor provides odometer reading from lessee. Buyer acknowledges odometer reading on duplicate title.
ODOMETER DISCLOSURE GUIDELINES
Note: Odometer Disclosure must include odometer reading, odometer indicator, a signature, hand printed name of seller and buyer (odometer indicator must be selected when applicable), date of sale and be on secure paper.
Broken Odometer
Title Available Private Party
Disclose odometer reading on title indicating “Not Actual”.
Special Title Applications
Repossession
Conforming Title
Odometer must be disclosed on title.
Non-Conforming Title
Disclose odometer on DR 2173 Motor Vehicle Bill of Sale.
Floor Plans
Lending Institution is a Licensed Colorado Dealer
Lending Institution can transfer ownership & disclose mileage on title/MSO. Must include (DR 2393) Floor Plan Declaration with application. Odometer disclosure will be Actual unless known odometer discrepancy.
Lending Institution is NOT a Licensed Colorado Dealer
Lending Institution must take title. Must include (DR 2393) Floor Plan Declaration with application. Odometer disclosure will be Actual unless known odometer discrepancy.
US Govt Form 97
Disclose odometer on US Govt Form 97 or disclose odometer on DR 2173 Motor Vehicle Bill of Sale by owner (buyer) to start the odometer tracking. The indicator will be Actual unless it is known that the mileage is Not Actual or In Excess.
Note: Seller may not be available to sign the DR 2173 Motor Vehicle Bill of Sale.
Court Orders, Assigned IDs
Disclose odometer on DR 2173 Motor Vehicle Bill of Sale by owner to start the odometer tracking. Indicator will be “Actual”.
Note: Seller may not be available to sign the DR 2173 Motor Vehicle Bill of Sale.
Bonds
Buyer must complete the DR 2173 Motor Vehicle Bill of Sale to disclose the odometer reading. However, if record search results indicate mileage is “Not Actual” or “In Excess,” mileage disclosed must be the indicator from the record search.
Repair Shop Process
Disclose odometer on DR 2173 Motor Vehicle Bill of Sale for Vehicles abandoned at a Repair Shop.
Colorado Surplus
Buyer must complete the DR 2173 Motor Vehicle Bill of Sale to disclose the odometer reading.
Note: Seller may not be available to sign the DR 2173 Motor Vehicle Bill of Sale.
Carfax
Notifies State of different odometer reading
A title history would be required and if a clerical error was made then it could be changed. If the face of the title shows no mileage or not actual the indicator will always be no mileage or not actual. Carfax is only a tool.
Changing indicator
Title shows no mileage or “Not Actual”. Can it be changed to “Actual”?
A title history would be required and if a clerical error was made then it could be changed. If the face of the title shows no mileage or “Not Actual” the indicator will always be no mileage or “Not Actual”.
Unrecovered Theft
Owner will make a “best guess” estimate as to what the reading was when the vehicle was stolen. When the vehicle is recovered, and the reading is less than the “best guess” estimate, the indicator will be “Not Actual”.
Tow/Police Bill of Sale
Tow Bill of Sale DR 2008, DR 2008A or BOS POL Process (Aurora, Commerce City, Denver, Glendale, Colo. Springs)
Odometer disclosure is required for vehicles that do not meet age requirements for exemption. Indicator will be “Actual” unless it is known that the odometer reading is “Not Actual” or is “In Excess.” Buyer acknowledges odometer disclosure (signature and hand printed name).
Odometer Destroyed
Selling entity must indicate “Destroyed” on DR 2173 Motor Vehicle Bill of Sale (Signature & hand printed name of agent) and include a DR 2444 Statement of Fact describing the odometer mechanism. When entering odometer at the time of application, write one “N” Not Actual.
Odometer error
Dealer reassignment area
Void out the incorrect assignment and complete the next dealer assignment area correctly; or If all assignments are completed, the dealer prior to the error must take title; or A duplicate title is required, and all assignments must be completed again.
Insurance Company
Vehicle damaged by collision or fire or odometer mechanism destroyed or owner signs title over to insurance company
Owner will give “best guess” estimate of what the mileage was at time of accident or odometer destruction.
Military, Foreign
Owner retaining title
Transfer of Ownership
Disclose the odometer reading from the ownership document. If odometer reading is not available owner must disclose the odometer on the DR 2173 Motor Vehicle Bill of Sale. Disclose the odometer on the DR 2173 Motor Vehicle Bill of Sale.
Sale of vehicle took place out of country
Disclose odometer on DR 2173 Motor Vehicle Bill of Sale by owner to start the odometer tracking. Indicator will be Actual unless it is known that the mileage is Not Actual or In Excess. Seller may not be available to sign the DR 2173 Motor Vehicle Bill of Sale.
MSO
Dealer taking title
Titling dealer must disclose odometer on DR 2407 Dealer Bill of Sale, or on MSO in area for odometer disclosure.
Odometer disclosure indicates tenths of miles or is altered
DR 2444 statement of Fact from the buyer indicating the mileage was recorded to include “tenths” of miles, no fraud intended.
Release from Suspense (no transfer of ownership)
Enter reading and indicator from title surrendered.
Seller no longer available
Odometer not acknowledged on title
Odometer reading incorrectly acknowledged
Buyer must send a certified letter to seller’s last known address, if returned undeliverable, buyer must disclose on the DR 2444 Statement of Fact indicating seller is not available. Buyer must disclose the correct reading and indicator on title. Certified letter must be submitted with the Statement of Fact and titling documentation. Buyer must complete a DR 2444 Statement of Fact and the DR 2173 Motor Vehicle Bill of Sale The indicator will be “Not Actual”.
Collector Vehicle
No odometer reading on title surrendered
A title history is required. If the odometer and indicator trail can be found on each transfer; the title can be issued or reissued to include the odometer reading and the indicator.
Tribal Titles
The odometer must be disclosed on the DR 2173 Motor Vehicle Bill of Sale when the vehicle is transferred and no longer remains on the reservation.