I’m not sure if it’s relative to your situation, but lenders in AZ perfect a collateral interest on your boat by filing a UCC-1 at the Secretary of State level.

The purpose of the UCC filing is to give public notice that a security interest (loan/lien) exists against the boat.

As opposed to Cali, where the lender holds actual title until after the loan has been paid.

Normally when a loan is paid in full in AZ, the lender records a Termination. So in a few months you migh check to be sure a Termination was recorded.