How to Transfer a Car Title
Work with the dealer., Pay the fees and taxes., Verify the accuracy of the names on the title., Collect the title (or not).
Step-by-Step Guide
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Step 1: Work with the dealer.
In most cases, when you are buying a car from a professional dealer, the dealer will take care of all the paperwork.
Follow the dealer’s instructions.
In some states, you may need to get some additional paperwork from your insurance company, for example, before the dealer can complete its work., In addition to the purchase price for the car, you will be responsible for sales tax, registration fees, and a title fee.
These costs will be different from one state to the next. , The title certificate is the document that identifies the owner or owners of the car.
It is important to get it right.
Make sure that you proofread the names on it.
If this is a car for a teenager, for example, consider whether you want the parent to own the car, or the child, or both.
If it is for a married couple, consider how you want the names to appear.
In some states, if a married couple’s names appear on the title as “John Smith and Mary Smith,” for example, it has a different legal meaning than “John Smith or Mary Smith.” Using “and” means that any future transfer would require both people’s signatures.
Using “or” is a looser partnership, and means that each person owns half of the car and could transfer his or her half of the car.Talk with the dealer about the difference at the time of the purchase. , If you are paying the full price for the car, you should receive the title from the dealer or the Registry of Motor Vehicles within about 30 days.
However, if you are buying the car with a loan, then the lender’s name will appear on the title as a “lienholder.” This means that the lender has certain rights to control what happens to the car, at least until you pay off the loan.
In many states, if a lienholder appears on the title, then the title will either go to the lienholder or will be held by the Registry until the loan is paid off.
When the loan is paid in full, then the lienholder will be removed and you will receive the actual title certificate. -
Step 2: Pay the fees and taxes.
-
Step 3: Verify the accuracy of the names on the title.
-
Step 4: Collect the title (or not).
Detailed Guide
In most cases, when you are buying a car from a professional dealer, the dealer will take care of all the paperwork.
Follow the dealer’s instructions.
In some states, you may need to get some additional paperwork from your insurance company, for example, before the dealer can complete its work., In addition to the purchase price for the car, you will be responsible for sales tax, registration fees, and a title fee.
These costs will be different from one state to the next. , The title certificate is the document that identifies the owner or owners of the car.
It is important to get it right.
Make sure that you proofread the names on it.
If this is a car for a teenager, for example, consider whether you want the parent to own the car, or the child, or both.
If it is for a married couple, consider how you want the names to appear.
In some states, if a married couple’s names appear on the title as “John Smith and Mary Smith,” for example, it has a different legal meaning than “John Smith or Mary Smith.” Using “and” means that any future transfer would require both people’s signatures.
Using “or” is a looser partnership, and means that each person owns half of the car and could transfer his or her half of the car.Talk with the dealer about the difference at the time of the purchase. , If you are paying the full price for the car, you should receive the title from the dealer or the Registry of Motor Vehicles within about 30 days.
However, if you are buying the car with a loan, then the lender’s name will appear on the title as a “lienholder.” This means that the lender has certain rights to control what happens to the car, at least until you pay off the loan.
In many states, if a lienholder appears on the title, then the title will either go to the lienholder or will be held by the Registry until the loan is paid off.
When the loan is paid in full, then the lienholder will be removed and you will receive the actual title certificate.
About the Author
Stephanie Stokes
A passionate writer with expertise in pet care topics. Loves sharing practical knowledge.
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