Selling My First Car: Dummy Questions?

OK, so I%26#039;ve put my car up for sale on a website and it looks like I might have a buyer.

I%26#039;m not quite sure of all of the details I need to be aware of, but here is some background info.

I purchased the car (used, Certified Pre-Owned from a dealership) for, let%26#039;s say, $20,000.

I financed it, and let%26#039;s say that there is about $15,000 left on the vehicle.

Let%26#039;s assume I sell it for $18,000. Here is where I am a bit confused...

I am assuming that I receive the $18K from the buyer, payoff the outstanding loan. And then give the car to the buyer.

Here are the specific questions:

1) What about the car%26#039;s title? When do I transfer it, at the time I give the buyer the car?

2) What about the car%26#039;s license plates, do I keep them myself or do they transfer with the vehicle?

3) What about the DMV, do I need to notify them separately?

I live in CA.

Anything else I am missing?

Thanks!

Selling My First Car: Dummy Questions?

You need to obtain a Bill of Sales first, it will state what type of car you have and what is the vin number and how much you are selling it for. It needs to get notatized. So both of you have protection for it.

When you get the money, then you pay off your loan. Then the company (whoever owns the title) will release the title to your name. Then you will sign the title away to the buyer.

Then the buyer will take the title to DMV to registar to his name or the company who issue the loan for him.

As for tags, you can sell the car will license plates, but each state is so different. You better call DMV about it. Because you do get some tickets if you don%26#039;t be careful. The best way is you offer to drive the car to DMV for him, return your tags, and he can get his own (temporary) tags with him.

If you return your tag, then you can get the tax prorate returned to you. Or you are getting another car, then you can change the tag to your new car.

Selling My First Car: Dummy Questions?

You have to pay the lender before you get the title. Call them first and they will tell you all you need to know.

NEVER give your tags. You%26#039;ll get ezpass (or whatever they call it) bills for life.

Selling My First Car: Dummy Questions?

Well, the biggest thing you are missing is, if it%26#039;s financed, it%26#039;s not yours to sell, it belongs to the finance company. This means they have a lien on it, and won%26#039;t give you a release until it has been paid off. Only then can you get a current clear title to sell the vehicle. That can take up to 30 days. Do you really think your buyer will say %26quot;OK, here%26#039;s a bunch of cash, I%26#039;ll come back in 30 days to get the car and title.%26quot;?

As to the rest of the questions about plates, it depends on the laws in the state you are in. If I remember right, they go with the car in CA.

Selling My First Car: Dummy Questions?

License plates would transfer to the new owner. Besure to file a release of liability with the DMV once you sell it. The DMV has alot of information online...

Selling My First Car: Dummy Questions?

Sign over the title to the new owner

You can keep the plates for your next car How much time is left on them before they expire? If not much time the new owner will not want them.

To protect yourself tell the DMV, when you transfer the title

You also must pay off the car loan so the title will be clean(NO lien holders)