Vessel documentation is the process of registering a boat with the U.S. Coast Guard National Vessel Documentation Center. Unlike state titling, USCG vessel documentation occurs at the federal level.
A USCG Certificate of Documentation establishes the ownership and nationality of a vessel. Recreational vessels over five net tons have the option to document their vessel with the U.S. Coast Guard and obtain a Certificate of Documentation.
There are three scenarios where you might want to document your recreational boat.
1. You plan to use your boat in international waters. A Certificate of Documentation is internationally recognized and makes it much easier for an American vessel to enter and leave foreign ports.
2. You don’t want to display state registration numbers for aesthetic reasons. A documented vessel does not display state registration numbers. Instead, they visibly display their name, hailing port, and are subject to Coast Guard lettering requirements.
3. You opted to finance your boat and the bank requires vessel documentation. Lenders will frequently require eligible vessels to have documentation because documented vessels qualify for preferred mortgages, and the Coast Guard cannot make changes in documentation (e.g., change of vessel ownership) without consent from the lender.
No. A documented vessel may not be titled by a state. However, some states may require documented vessels to maintain their state-level registration. Regardless of registration status, all vessel owners must comply with state laws and pay applicable state taxes.