When selling a car, the buyer will want to see that you’re actually the legal owner of it. You can’t just give them your word on it; you need to provide proof for this.
To do so, sign over your title and have them take ownership of it. It sounds simple, and it certainly is. However, it can get quite daunting if done wrong.
This article explains how easy it is to accomplish this task! So that you can rest easy, you did it all right.
Whenever you’re ready to learn more about how to sign over a car title, keep reading.
What Is A Car Title?
A car title is an important document that proves you are the legal owner of a car. This is why it’s essential to sign over your title when selling a vehicle. Otherwise, you’ll be committing fraud and breaking the law!
A fresh example: Passing on ownership from John Smith to Jane Johnson in one easy process.
John would need to provide his proof of ID for identification purposes– as well as any other legal documentation required by state laws (such as registering with specific authorities).
He will then complete an affidavit stating he is selling a car willingly.
It should also include how much he wants from this transaction too – which can be in either cash or another form such as credit towards another purchase.
Once filled out, signed, and dated, John would give the paperwork to Jane, who would take ownership of the car title.
How to Sign Over A Car Title?
Car title transfers occur by filling out an affidavit. This should include how much money you want from the sale, as well as what form of payment (cash or other).
The buyer will need to provide their proof of ID for identification purposes– as well as any other legal documentation required by state laws (registering with specific authorities).
They’ll complete a notarized affidavit stating they are buying the vehicle willingly. The affidavit should include how and where they intend to register this car.
The purchaser will then sign the document before giving it back to the seller, handing over the title and symbolizing ownership! Sometimes there may be closing costs too.
Keep in mind cars can be sold without a title too. Here is a website explaining it better: https://www.cashcarsbuyer.com/sell-junk-cars-corpus-christi-texas-without-title/.
Car Title Penalties
There are many different scenarios where this is applicable, but both parties should ethically handle signing over a car title. One ensures they are up-to-date on their legal obligations and aware of any potential consequences or penalties from breaking the law.
Here are some examples of car title penalties:
- A $500 fine for illegally selling a car title without providing any proof. (Depending on the state)
- Jail time up to one year if the seller is knowingly committing fraud and breaking the law by signing over their car title without giving ownership of it away
- If there’s an outstanding loan on the vehicle, then this will need to be paid off before you sign over your car title as well!
This can get complicated in some cases, so make sure you take care of all your obligations first — or find out what type of penalties may apply from state laws governing these situations (such as fines).
What to Check Before Signing Over the Title
Signing a title over is easy, but ensuring it’s done right is not. Here are some other things that should be checked before handing over your vehicle:
Make sure there aren’t outstanding loans on the vehicle. This is just one example. Depending on state laws, this may not always apply.
If there isn’t anything owed, then go ahead and hand over your car title right away!
Check that both parties have signed an affidavit. This will include details such as their identification information, any other legal documentation required by state laws (such as registering with specific authorities), and where or if you intend to register this vehicle in cash or credit towards another purchase.
There should be a date for when the transfer takes place too. So make sure it’s filled out properly before handing over your car title.
How to Ensure Car Title Authenticity?
Car title authenticity can be ensured by checking the signatures and date on both parties’ affidavits.
It should also include details such as their identification information, any other legal documentation required by state laws (such as registering with specific authorities), where or if you intend to register this vehicle in cash or credit towards another purchase.
The seller will give paperwork for selling the car to the buyer, who is completing an affidavit stating they are buying the vehicle willingly. This includes how much money they want from this transaction and what form of payment it’s going towards (cash/credit).
Once filled out, signed, and dated– John would hand over ownership of his car title, symbolizing that Jane now owns a used 2013 Toyota Camry. That makes her happy!
Car Titles Done Right
Now that you understand how to sign over a car title, you are well on your way to ensure you do it right. In any case, there’s really no rush, and it’s best you take things slow.
If you’re interested in learning more about the car industry, check out some of our related articles on this topic. They can be found down below the website or on the sidebar.