marinetrader
Senior Member
- Joined
- Oct 6, 2007
- Messages
- 301
Buying a trawler usually involves documentation. But what is documentation and how does it work?
A word of note is that many coastal states (Florida in particular) monitor these federal documentations and compare the data with their state data. If you document a boat, are a resident of Florida and try to slip under the radar, you will be found out! They do it for tax purposes.* I'll post another piece on taxes and how to avoid them.
A title does not adequately protect you. The only way you can be fully protected is to have the boat federally documented and a First Preferred Ship's Mortgage recorded against the vessel.
A First Preferred Ship's Mortgage is a mortgage recorded against a vessel federally documented (registered) with the United States Coast Guard. The First Preferred Ship's Mortgage is provided for under the Ship's Mortgage Act of 1920, and takes precedence over all other liens.
Documentation is the federal registration of a boat with the United States Coast Guard. The vessel document is recognized internationally as a certificate of ownership and nationality. Therefore, documented vessels are protected as vessels of The United States.
To be federally documented, the owners of the vessel must be citizens of the United States.
Usually, any boat over 26 feet in length qualifies for documentation. A documented vessel is identified by an 'Official Number' which is bonded to the hull of the vessel. This permanent numbering system acts as a theft deterrent. If stolen, a documented vessel falls under federal jurisdiction for recovery and prosecution, rather than state or local.
A complete vessel file, including the chain of ownership and all recorded liens and mortgages, is maintained at the USCG National Vessel Documentation Center (NVDC). When you document your new trawler, the complete file is reviewed for any liens or problems with the vessel.* When complete, you are assured of a free and clear title search.*
Also, an advantage for documented vessels is not having to clear Customs when returning to or leaving the United States. Instead, a Report of Departure or Arrival via telephone is made to the Customs office, and a permit is signed by the master.
Some common Q&A
How much does it cost?
Around $700.00
How is my vessel identified?
Documented vessels are identified by a combination of name, hailing port and unique official number.
Can there be more than one boat with the same name?
Yes. Documented vessels are primarily identified by the Official Number which is awarded to a vessel upon initial documentation. Therefore, documented vessels may have identical or similar names.
Who determines the Hailing Port?
The hailing port is not restricted to where the owner lives or where the vessel is moored. Under regulations, the hailing port can be any recognized place listed in the U.S. Department of Commerce Publication 55DC. This includes all listed places in the United States or its territories.
If I wish to change the vessel name or hailing port, do I have to re-document?
Yes. The Certificate of Documentation would have to be re-issued to reflect the new name and hailing port.
Do I have to re-document if I move from one state to anther?
No. Simply notify the National Vessel Documentation Center (N.V.D.C.), identifying vessel by name and official number.
Does my Certificate of Documentation have to be renewed?
The Certificate of Documentation expires one year from the month of issuance. The Coast Guard Port of Documentation will send the owner a renewal form approximately 45 days prior to expiration. Simply note any changes, sign and return the form to the Coast Guard documentation office.
Can my boat's documentation be transferred to a new owner?
The boat's documentation number can be transferred. The number remains with the vessel forever. A new owner must complete the process in it's entirety.
Are their regulations on the marking of the vessel's name and hailng port?
Yes, on recreational vessels the name and hailing port must be affixed to some conspicuous place, usually the stern, with lettering at least 4 inches high
MT
-- Edited by marinetrader at 04:37, 2007-10-06
-- Edited by marinetrader at 04:40, 2007-10-06
A word of note is that many coastal states (Florida in particular) monitor these federal documentations and compare the data with their state data. If you document a boat, are a resident of Florida and try to slip under the radar, you will be found out! They do it for tax purposes.* I'll post another piece on taxes and how to avoid them.
A title does not adequately protect you. The only way you can be fully protected is to have the boat federally documented and a First Preferred Ship's Mortgage recorded against the vessel.
A First Preferred Ship's Mortgage is a mortgage recorded against a vessel federally documented (registered) with the United States Coast Guard. The First Preferred Ship's Mortgage is provided for under the Ship's Mortgage Act of 1920, and takes precedence over all other liens.
Documentation is the federal registration of a boat with the United States Coast Guard. The vessel document is recognized internationally as a certificate of ownership and nationality. Therefore, documented vessels are protected as vessels of The United States.
To be federally documented, the owners of the vessel must be citizens of the United States.
Usually, any boat over 26 feet in length qualifies for documentation. A documented vessel is identified by an 'Official Number' which is bonded to the hull of the vessel. This permanent numbering system acts as a theft deterrent. If stolen, a documented vessel falls under federal jurisdiction for recovery and prosecution, rather than state or local.
A complete vessel file, including the chain of ownership and all recorded liens and mortgages, is maintained at the USCG National Vessel Documentation Center (NVDC). When you document your new trawler, the complete file is reviewed for any liens or problems with the vessel.* When complete, you are assured of a free and clear title search.*
Also, an advantage for documented vessels is not having to clear Customs when returning to or leaving the United States. Instead, a Report of Departure or Arrival via telephone is made to the Customs office, and a permit is signed by the master.
Some common Q&A
How much does it cost?
Around $700.00
How is my vessel identified?
Documented vessels are identified by a combination of name, hailing port and unique official number.
Can there be more than one boat with the same name?
Yes. Documented vessels are primarily identified by the Official Number which is awarded to a vessel upon initial documentation. Therefore, documented vessels may have identical or similar names.
Who determines the Hailing Port?
The hailing port is not restricted to where the owner lives or where the vessel is moored. Under regulations, the hailing port can be any recognized place listed in the U.S. Department of Commerce Publication 55DC. This includes all listed places in the United States or its territories.
If I wish to change the vessel name or hailing port, do I have to re-document?
Yes. The Certificate of Documentation would have to be re-issued to reflect the new name and hailing port.
Do I have to re-document if I move from one state to anther?
No. Simply notify the National Vessel Documentation Center (N.V.D.C.), identifying vessel by name and official number.
Does my Certificate of Documentation have to be renewed?
The Certificate of Documentation expires one year from the month of issuance. The Coast Guard Port of Documentation will send the owner a renewal form approximately 45 days prior to expiration. Simply note any changes, sign and return the form to the Coast Guard documentation office.
Can my boat's documentation be transferred to a new owner?
The boat's documentation number can be transferred. The number remains with the vessel forever. A new owner must complete the process in it's entirety.
Are their regulations on the marking of the vessel's name and hailng port?
Yes, on recreational vessels the name and hailing port must be affixed to some conspicuous place, usually the stern, with lettering at least 4 inches high
MT
-- Edited by marinetrader at 04:37, 2007-10-06
-- Edited by marinetrader at 04:40, 2007-10-06