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Cars for Sale and the Title Transfer

By Hanna Nilson



If youíve ever had cars for sale, privately or without the use of a dealership, than youíve most likely heard the question ďIs the Title clean?Ē As the seller of a used car, it is crucial that you keep track of the car Title transfer.

From start to finish; throughout the entire duration of your car selling operation, it is the car owner or sellerís responsibility to manage the car Title transfer. If this is your first time selling a car privately, you may want to consider the following guidelines in addition to some extra research on car Titles and car Title transfers. Remember, as it is with any large investment, keeping track of details, such as the car title transfer, is the best way to make sure that all bases are covered. This will ensure a smooth and secure selling transaction for both the seller and the buyer.

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Before you get started, itís important to be aware of the car title status. If you are selling a car with an unpaid loan, this means that your bank or financial company still owns the Title to your car. You cannot legally sell your car without a clear title. In order to clear the Title, you should clear your debt. Accordingly, the bank will only clear the title when the money owned it reimbursed.

As the buyer of a used car, it is required that you not only submit a Title Transfer application, but depending on your state's regulations, you might also have to provide an Odometer Reading, a Vehicle Identification Number (VIN), and a Bill of Sale. To find out more information about this process, contact your loan provider and they will guide you through this process as needed.

At any rate, if youíre the legal owner of the used car for sale and youíve paid off all debt on your car which means that the title is up-to-date and in your possession, then you are good to go! 

Car Title Transfer: The Car Title is a note of vehicle ownership. Hence, a car Transfer application form  us used when you are in the business of passing-on ownership of the used car. If youíre transferring the car Title for a vehicle that you still owe money for, you may want to conclude the sale at the bank where the title is held. Contact your bank or financial lending company ahead of time and have them prepare the car Title Transfer. Then, once the payment has been exchanged between the buyer and seller, the bank loan can be paid-off. Finally, the car title may be signed and transferred to the new buyer.

On the other hand, in some cases, an out-of-state bank might hold the title to your car. It is then recommended that you go with the buyer to your local DMV where you can request a Temporary Operating Permit based on the Bill of Sale. After you pay off the balance of your loan with the payment from the car sale, have the title mailed. Lastly, have the Title Transfer signed over to the new owner and the transaction is complete!


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