How Do I Prove That I Sold My Car?
You felt accomplished from recently selling your car, and you have done all the paperwork and procedures in selling it to a private buyer. But what if the new owner did not register the vehicle in the same state? Or what if the buyer did not transfer the title at all, and got involved in illegal ventures? How will the Division of Motor Vehicles (DMV) or the Secretary of State (SOS) know that you no longer own the vehicle? Different scenarios might happen involving your old car, and authorities may still associate it to you, so it is best to be ready and show proof that you no longer own the vehicle and that you already had it sold. So your question might be, “How to prove I sold my car?” Proof by definition is, helping to validate a fact or the truth of a statement. Proof is what you need when telling someone that the vehicle is no longer under your custody. A good evidence will be the documents you had when you sold your car, and this would be a strong basis to support your claim. Speaking of which, we hope you learned something or two from the article "What Paperwork Do I Need To Sell My Car in Illinois?" about what documents you need to keep after selling your car. So what will you do if the car title is signed but never transferred? Here are the files you need to have in case an authority questions your involvement in the vehicle.
Bill of Sale.
A Bill of Sale is not required when selling cars in some states, but it won’t hurt to make one. It can protect you and the buyer from unexpected disagreements that may arise. Creating a Bill of Sale is easier than you thought. There are many templates online that you can copy or use as a reference. You can start with the title, “Bill Of Sale.” Include all your car details like the make, year and model, odometer reading, the selling price, and the Vehicle Identification Number (VIN). Then create a subheading “Seller” and input your name and address. Another subheading for the “Buyer” and have them fill out their name and address. Both parties must sign, DO NOT FORGET TO MAKE COPIES, then you can submit it to DMV along with the other forms required. Some states like Louisiana, Nebraska, Maryland, New Hampshire, West Virginia, and Montana require the Bill of Sale to be notarized and be witnessed by the Notary Public. A Bill of Sale will help prove that the car’s ownership has been transferred.
Certificate of Title.
Investopedia defines a Certificate of Title as a state or municipal-issued document that identifies the owner or owners of personal property. It provides documentary evidence of the right of ownership of a vehicle. As the seller, you must have the certificate of title, and if not, you can get a copy from your local DMV office, which is what you usually do before selling the car. You must sign the back of the title, including the date, the sale price, and the exact odometer reading. Please know that the odometer reading must be accurate and do not round it up as it may cause future problems in case something happens to the vehicle. Again, do not forget to make a copy of the title, and of course, both parties should sign it. The title then must be given to the buyer, or you can mail it to your state DMV.
Notice of Sale.
Notice of Sale Form or also known as Seller’s Report of Sale in some states can also be classified as proof. We highly recommend obtaining this form (please check with your state DMV) and have it submitted to a DMV office near you. Submitting the said form can notify DMV that your vehicle was sold. They will have it documented and make it official that you are no longer liable for the said vehicle.
Cancelled Registration and License Plates.
Do not forget to cancel your license plates and registration as this can also be a useful proof that the vehicle is no longer in your hands. You can learn more about this on our previous blog, “What Do I Do With My Plates After I Sell My Car?” Most states will require you to keep it and return it to your state Division of Motor Vehicles if you will no longer use it. You may also transfer them to your newly acquired vehicle. On the contrary, other states require the license plates to stay with the vehicle and the new owner. You may just need to cancel its registration to remove your liability from the vehicle. You may do this online, or you may need to go to your local DMV office. Please go over your state DMV's website about the rules on canceling registration.
Car Insurance.
Remember to let the insurance company know that you have sold the vehicle so they can cancel the policy on it. Return the plates if required and cancel your registration before canceling your insurance to avoid penalties. Never cancel the insurance when your registration on the old vehicle is still active. Doing so may charge you a fine for not having an insurance coverage. Once you cancel it, the insurance company will notify your state DMV. This is another solid proof, and the local authorities can just inquire and call your car insurance company or local DMV to verify that the vehicle in question is not in your custody.
Sell Your Car With Ease!
If you are worried about the documents you need to prepare when selling a car or gathering them as proof that you have sold your car, worry not as Enrique, the car buyer expert can do the paperwork for you. You do not need to fret if a problem arises with regards to your old vehicle, as Enrique of "Sell My Car In Chicago with Enrique for Cash" will surely take care of your documents. All you need to do is to return your plates to cancel registration or transfer them to a newly acquired vehicle (Illinois residents.) Enrique, the car buyer expert, is one of the high paying car buyers in Chicago. You can sell your car with ease as we do all the legwork by going to your location and buy your car. You can sell a car online or call us at (224) 236-7010 and let us know your car details. We will then reach out to you with an offer. If you agree, we will set an appointment so we can inspect your car. After we verify your car, we will let you sign some paperwork, and you will get paid by CASH! It's a selling process made easy! Call Us Now to get a free quote or click below to reach us online.
