(a) Applicability of section.--Except as otherwise provided in 13 Pa.C. S. §§ 9311(d) (relating to perfection of security interests in property subject to certain statutes, regulations and treaties), 9315(c) and (d) (relating to secured party's rights on disposition of collateral and in proceeds) and 9316(d) and (e) (relating to effect of change in governing law), this section provides the exclusive method of perfecting a security interest in a snowmobile or ATV for which a certificate of title is required under this subchapter.

(b) Snowmobiles or ATV's without Pennsylvania certificate of title.--If an owner creates a security interest in a snowmobile or ATV for which a certificate of title has not been issued by the department, the owner shall, at the request of the secured party, promptly execute an application for a certificate of title on a form prescribed by the department showing the name and address of the secured party. The owner shall tender the application, the existing certificate of title, if any, and the required fee to the department. A security interest in a snowmobile or ATV is perfected at the time that such application, existing certificate of title, if any, and required fee are received by the department.

(c) Snowmobiles or ATV's with Pennsylvania certificate of title.--If an owner creates a security interest in a snowmobile or ATV for which a certificate of title has been issued by the department, the owner shall, at the request of the secured party, promptly execute an application on a form prescribed by the department showing the name and address of the secured party. The owner shall tender the certificate of title, together with the application and the required fee, to the department. A security interest in a snowmobile or ATV is perfected at the time such application, certificate of title and required fee are received by the department.

(d) Certificate of title in possession of secured party.--Upon request of the owner or a subordinate secured party, a secured party in possession of the certificate of title shall mail or deliver the certificate to the department or, upon receipt from the subordinate secured party of the application of the owner and the required fee, shall mail or deliver them to the department with the certificate of title. The delivery of the certificate to the department does not affect the rights of the first secured party under his security agreement.

(e) Indorsement and delivery of certificate of title.--Upon receipt of the application, existing certificate of title, if any, and required fee, the department shall indorse on the existing certificate of title or the new certificate that it issues the names and addresses of all secured parties and shall mail the certificate of title to the first secured party named in the certificate.