Bank mailed me the title to my car before the loan was paid off.

From the facts you've provided above, my experience with identical situations indicates that your best chance for a good resolution to this issue will come from your open and ongoing communication with the bank about working something out. I've seen this before, and in each of the cases, there was a lot of room for negotiation with the bank.

Why? It's because the bank is in error, has given you the appearance of ownership of your car before satisfying your debt payment obligation before it was paid off, and the bank knows they need to work with you to resolve the situation.

I would advise a full and careful review of the documents you've signed before you contact the bank. I would be surprised if just because the bank erred you've been relieved of the requirement of full payment of the debt, even though the bank's actions indicated otherwise, and you got possession of the title early. But, I'd be equally surprised if you can't form a new agreement with the bank that will be beneficial for both of you.

In short, you probably don't have to sign the title back over to the bank, but you probably have to pay the debt in full. Otherwise, you could end up in a legal battle in which you end up paying all the legal costs of the costs of collection.

Good luck. Mark Arend