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Used car paperwork: how to handle title transfer, bill of sale, and registration
The exact documents you need when buying from a private seller, how to avoid title problems, and what to do at the DMV.
Verify the title before you pay
The seller's ID must match the name on the title. If the title shows a lienholder, ask for a lien release letter or pay off the loan directly with the lender at closing — never trust a promise to mail it later.
An open or jumped title, where the previous buyer never registered the car and is reselling it, is illegal in most states and can leave you unable to register the car. If the seller's name is not on the title, walk away.
Fill out the transfer correctly
Both parties complete the title assignment section: sale date, price, odometer reading, and signatures. Errors and cross-outs can void a title in some states, so write carefully in pen and make no corrections.
Write a simple bill of sale in duplicate with the VIN, year, make, model, mileage, price, date, and both names and signatures. It protects the seller from tickets after the sale and gives you proof of purchase for the DMV.
After the handshake
Most states give you a short window, often 10 to 30 days, to transfer the title and register the car. You will typically need the signed title, bill of sale, proof of insurance, and payment for sales tax and fees.
Arrange insurance before you drive the car home — most insurers can add a car by phone in minutes. Keep copies of everything until the new title arrives in your name.