neither. when a car is brand new and has no "owners" yet. it has a document called a MSO-manufacturer statement of origin. a beautiful blue document (i have had several) that when the typical person buys a car, gets sent to the state, (you are now driving THEIR car) and the state sends you a "certificate" of title, not THE title. you have "equity" ownership, not true ownership. if you were to drive the car around with the MSO, you would have had to pay for it in full (cash), if someone gave you a difficult time about getting the document, you may have to use real money (21 pieces of silver minted coins from the USA) and "corporate notes of undertmined value) (ie; dollar bills) to pay for it. you also may need a back bone to demand your property, no offense meant.
SO, the state owns all the cars, legal and lawful are also two different things. with your title you have equity ownership which means you can buy and sell the car for profit or loss, your choice. you get a license to drive their cars. we used to be able to travel from point A to point B as a right, not anymore.
when you finance the car, the state still owns it in title/deed-the principle is the financier, and the equity position holder, and you are subject to all the rules you have just contracted with, hope this helps. Dr. Mike