Truth in Mileage Act of 1986

(Measure passed House, amended, in lieu of H.R. 780)

Truth in Mileage Act of 1986 - Amends the Motor Vehicle Information and Cost Savings Act to prohibit the licensing of motor vehicles when the ownership is leased or transferred unless: (1) the application for a new certificate of title is accompanied by the prior owner's title; and (2) the new certificate of title is printed in a specified manner indicating the odometer mileage.

Authorizes States to submit alternative mileage disclosure requirements for the approval of the Secretary of Transportation.

Provides that auction companies selling motor vehicles must maintain records showing: (1) the name of the most recent owner; (2) the vehicle identification number; and (3) the odometer reading on the date the auction company took possession of the vehicle.

Requires such mileage information to be disclosed by the lessee to the lessor of a leased motor vehicle when the lessor transfers ownership of the vehicle.

Increases the civil penalty for violations of the odometer requirements from $1,000 to $2,000, and increases the criminal penalty for such violations from one to three years maximum imprisonment.