I’ve lived in a few different states. In Texas, as I understand it, registration goes with the vehicle and not the owner, so a car can be passed around umpteen times without anyone going to the DMV and ownership is determined by the last name written on the title. In Nebraska, a signature on the back of the title was a blanket release, anyone presenting said title to the DMV could take ownership of the car and get a new title in their name.
Not Ohio, though. In Ohio I need to have my signature notarized to sell a car, and if the notary is following the rules they won’t stamp it unless the BUYER’S NAME is also filled in. This means I can’t sign my title until I know exactly who’s buying it. If I list something on CL and Joe and his buddy show up at 9pm after driving for an hour to look at the car, guess what, come back tomorrow to complete the transaction after I go to my bank. And if Joe backs out of the deal at that point, I have to go pay for a new title.
My current situation is that I want to donate a minivan to someone who needs a van. It’s a good van, I can bypass the whole process of donating it to a charity that may or may not sell it and use the proceeds for something else. I’d like to just sign the title and hand the keys to a social worker friend and say, “Hey, when you find someone who needs good transportation for their kids, give them the keys.” But I can’t, because I need to know who that person is, write their name on the title, and then get it notarized. Why? WHY?
Hey, there’s big money to be had in falsifying the buyer of a car. Like…um…well certainly it’s big trouble just waiting to happen. And the good people of Ohio will be safe from owning things that aren’t in their possession.
There’s no way to win. States that don’t require a notary permit an environment that fosters forgery, states that do require a notary are overly intrusive. I think it’s a good idea to require the seller’s signature to be notarized, though. After all, the owner is the one who has property to lose. The buyer can be ID’d at the DMV.
That’s my thought. I have no problem getting my own signature notarized to protect me as the owner. The buyer doesn’t even sign the title though… why do I need to know their name in advance?
It’s always been my understanding that all a notary does is prove that you singed your name. I always thought you could actually leave an entire document blank, but still get your signature notarized at the bottom and fill out the rest later.
Now, I suppose the notary, seeing spots for multiple signatures, may not want to notarize something and have to worry that you could forge the other signature. But, I’d think, the title could simple have language that states that each signature must be individually notarize. You sign it, get it notarized and hand it to them, then they can do the same on their own time.
In Wisconsin, a few years back, they started requiring all private car sales to be reported to the DMV. The reason they gave was that it was to protect the seller in the case that the buyer didn’t register it in their own name and got into some kind of trouble with it*. Many people decided that the real reason is to give the state the ability to tax you on the sale.
*While that makes sense, it seems there’s also a way it can be abused. I can report to the DMV that I sold my car and then use it as part of a crime.
20 years ago that’s how they used to do it, but the state instructed them not to notarize titles without a buyers name and address filled in (again, name, not signature). Sometimes you can still find a notary who will stamp it without that stuff filled in but my bank won’t anymore.
In Florida, the buyer must update the title with the DMV, otherwise the seller is on the hook for the title renewal, or will at least get hassled by the state. Naturally, the buyer does not have an incentive to do so unless they’re planning on immediately driving or reselling the car. This isn’t a problem with dealerships, as they are pretty on the ball, but two of the three cars I’ve sold to private individuals, I’ve had to go back and hassle them to remind them to transfer the title.
In Pennsylvania AIUI the notary part is mostly to assure that the state gets sales tax. If I tell the notary that I’m paying $100 for a one year old luxury car, they will point out that the paperwork won’t go through.
That’s why you remove the license plates before you let the buyer drive off. They become cop-bait the instant they depart, so it’s in their best interest to head to the DMV as soon as they can. They’ve got the title and (if you’re smart) a bill of sale to prove to the Blue Men they just bought it if they get pulled over.
In Ohio you also have to have the selling price filled in, don’t you? It’s been awhile since I sold a car. If you are the buyer and want a bit of sales tax reduction by claiming a lower purchase price you have to finagle it with the seller.
Title laws in Georgia are weird, too. If a car is older than 1985, titles are optional. If the car has been registered to a new owner without transferring the title, that car can never be titled again. This is fine as long as the the car stays in Georgia, but said car can probably never be registered in another state, since they require a title to transfer the car into their state’s system!
Most states allow for “title bonding” when someone comes to the DMV with a car and no title. It’s not especially easy or cheap, but it is a mechanism by which an uncontested vehicle can be titled & then registered.
Find out if your State accepts a notarized Bill of Sale. There might be a clause somewhere in the Motor Vehicle Bible that says, “oh, yeah, a Bill of Sale works, too!”
If you DO a Bill of Sale, make sure you flesh it out that once the Buyer takes possession of the vehicle (as-is, of course), you are ever after completely absolved of ALL liability, as well as your heirs and assigns.