There are many types of liens in todays world, each one with their different purposes. the most common of the liens are the mechanics liens. These liens are received from the people tat improve your house in any manner, things like landscaping, renovation, maintenance, and repairs are all included in this type of lien. The next would be the maritime lien, which deals with water vessels of all sorts. Tax liens, the list goes on.
The main reason you get a lien is usually because you don’t have the money to buy what you need right then, it goes hand and hand with loans in the personal finance area. When making a loan with the person or company they need to have some reassurance that they wont loose money in the deal that has been made. Say you want to borrow money from Day Title Loan and you ask for three thousand dollars. Now in order for you to receive that m0ney you need to have some of equal value that the loan company can benefit from if you fail to pay them back, things such as cars or personal items would be something you would have to give a lien on.
Though they can be fair, people can try to trick you when selling something of theirs that has a lien on it. If that happens then the lien is now entitled to you and you have to pay the amount that they borrowed because that car or whatever it is, has your name on it. The best way to stay away from this is get a lien check done of the item that you are thinking about buying.
Best way to do this is a title search. When you search the item that you are buying then the title search will tell you if there is holder on the title. best way to do this most carefully is talk to people that go through this everyday.