Thinking of transferring ownership of a vehicle to a family member, but don’t know where to start? Or perhaps someone in your family needs to remove their name from your car's pink slip so you can get a title loan that requires a vehicle as collateral? No matter why you need to transfer vehicle ownership, we’re here to help you with just that!
For anyone looking to transfer their car’s ownership to a family member for any reason, the whole process can seem very confusing. You often must deal with your state's DMV and complete multiple documents. Especially if it’s your first time with something like this, you might get overwhelmed with a process that should take less than an hour. Thankfully, the car transfer procedure is quite simple in most states in the US.
In this article, we will discuss the easiest way to transfer your car’s ownership to a family member. We will simplify what may seem like a jumble of documentation and processes for you, so stay with us till the end. One thing to note, many of our clients at Highway Title Loans can not get approved for a title loan until they show proof of a vehicle that's titled and registered in their name only. Because of that, anyone with a cosigner on their car's title needs to transfer that ownership to whoever needs the title loan!
Step 1 – Is the Title Transferable?
It's important to determine whether the car you want to transfer ownership of is transferable. For this, you must have the actual pink slip for your car. Note here that only the person named on the title can transfer the car's ownership. So, if you have the car title in your name, you can simply proceed with the transfer process.
However, there can be cases where the title is under the name of a lender or a bank (usually when you have an auto title loan). In such a case, you must clear your loan balance, contact your lender, and get the car’s title under your name before proceeding with the transfer.
In other cases, the car title might be under two people, that is, joint ownership, for example, a husband and wife jointly owning a car. If such a car title is to be transferred, it is important that both individuals agree to the transfer. However, if the title reads “your name “or” someone else’s name on it,” any one individual's consent will be enough for the transfer to be legit.
Step 2 – Complete the Title Certificate To Transfer The Title Information
Once it is determined that the car title is transferable and the owner wants to transfer ownership, the next step is obtaining and completing a title certificate. A title certificate lets you transfer the car’s title into your name. The original owner must fill out and sign the certificate. Then, the recipient can take the certificate to their local DVM office and get the ownership transferred.
The steps the recipient must follow to complete the transfer can vary from state to state, but they are still relatively straightforward for anyone with a car registered in their name. It is important to note that after the title is transferred, the recipient must register the car under their name with the DMV.
While the process can seem strenuous, it protects you from fraud, as your car's pink slip is the only way to show its valid owner.
Documents Needed for an Ownership Transfer Of A Vehicle
The documentation you’ll need for a car ownership transfer can vary depending on the state you’re living in. Additionally, the process can take longer if you're applying for an online title loan and attempting to transfer vehicle ownership in a state such as Texas or Florida. But usually, the following documents will suffice:
- The original title for your vehicle
- The receiver’s car insurance.
- Transfer of ownership form.
- The recipient’s driver’s license.
- A Vehicle Identification Number (VIN)
- Evidence of the car’s current odometer reading.
Note that you might need a few other documents depending on the state in which you or your family member to whom you want to transfer the ownership is.
Fees Involved
The fees involved in the ownership transfer procedure can differ from state to state, but they are usually minimal. We suggest you contact your local DVM office for complete details of the fees.
How to Transfer a Car to a Family Member in Another State?
Transferring a car’s ownership to a family member living in the same state as you is very simple as discussed above. However, you might have to clear a few loopholes if they live in another state. This is because vehicle ownership transfer rules and regulations can differ from state to state. For example, you might have to verify your car’s VIN and mileage in many cases. This is why we suggest you visit your local DVM office and get the details by telling them in which state the person you want to transfer the ownership to lives.
Can I Sign Over A Vehicle To Someone Outside Of My Family?
You can transfer your ownership of your car or truck to someone outside your immediate family. The transfer process would be the same in that case as well, but there are different fees and taxes assessed on the vehicle when ownership of a car is transferred outside of your family. One thing to note with a title transfer to someone you may not know is that it's best to be careful and only transfer your car's title to someone you know and trust. There's not a lot stopping someone from getting a title loan in Arizona or any other state that allows online title transfers, and this can lead to you losing your vehicle quickly.
If you're ever a victim of a fraudulent title transfer, it's best to contact the authorities and then look up the most recent information regarding your vehicle history. The National Motor Vehicle Title Information System has an online database of service providers that will provide you with an up-to-date vehicle history report.
I've Completed The Title Transfer Process - What's Next
If you're looking for a car title loan, we've got good news! Highway Title Loans can get you approved for up to $15,000 based on the value of your vehicle, and you can get started on an application now that your car's title has been transferred to your name only! Call us at 877-433-5454 to learn more about you can borrow money with your lien free car title today!
Janet Patterson is VP of Marketing Communications for Highway Title Loans and the feature editor of its Lending Blog. Janet has worked in the financial service industry for over a decade, with 7 years of experience in the car title loan industry. She previously managed a customer service team that helped and advised consumers on all their lending related questions and concerns.