I thought I would post my progress so far on this. This will be particular to Texas.
I called this # 1 (888) 368-4689.
I spoke to a very friendly, and helpful woman.
She was able to check the pre-17 digit VIN. She determined that there were no liens, and that it had not been reported stolen.
Yea for that.
She sent me to this link:
https://www.txdmv.gov/motorists/buying-or-selling-a-vehicle/bought-a-vehicle-with-no-titleI will fill out the VTR-130-SOF and take it with my Bill of Sale to the DMV.
The DMV will review my documents, and determine the amount of surety bond that I will need to purchase and also complete a
VTR-130-ND.
I will forward those documents to my insurance company (USAA in this case).
I have spoken to USAA, and they do issue surety bonds. Technically called a Motor Vehicle Title Surety Bond.
Once I have the surety bond, I will add that to my growing pile of documents, and take them to my county tax assessor's office.
They will issue me a bonded title.
After 3 years with no issues being brought forward, Texas will issue me a clear Texas title.
All of this is theory at this point, as I do not have all of the documents in hand.
I will continue to update this if there are any issues, or there are further steps that I have not documented.