Before you get to the stage where you can formalize a vehicle sale with a custom bill of sale, you face the challenge of locating your car and ensuring you have proof of ownership (or a car title).

But what happens if you cannot find your title? Can you sell your vehicle without a title? This article is for you if you are currently unsure. Read on to learn about selling your car with a title and what to do if you don’t have one.

Are You Able to Sell Your Car Without a Title?

In several states, the Department of Motor Vehicles (DMV) will ask you for a title if you want to sell your car. Simply put, it is illegal to sell your car if you don’t have proof of ownership. However, it may be the case that you have lost your official documents and cannot prove your ownership. Continue reading to learn what to do if you’ve lost your title.

What Should You Do if You Want to Sell Your Car But Have Lost the Title?

If you want to sell your car but have lost the title, don’t panic – the best way to do this is to apply for a duplicate title for your vehicle. To apply for a replacement title, reach out to the Department of Motor Vehicles in your state; they will issue you a new title.

How Long Must You Wait to Receive a New Title After Applying to the Dmv?

Applying for and receiving a new title can take just a few days or as much as a few weeks, depending on your DMV’s application process. States with Electronic Lien and Title options (known as ELT) will process your application much faster as they complete it online. All you have to do is ask for a digital version of your replacement title and then print it out.

States with traditional application methods can take longer to process your application, so make sure you apply before you sell your car.

Can You Use the Old Title When You’ve Received the New One?

No, you cannot use your old vehicle title when you’ve received the new one. The new title is a replacement, meaning you cannot use your old one; you may consider disposing of the old version to avoid using it by mistake.

What Are Exemptions for Old Vehicles?

You can receive an exempt vehicle title in some states and locations, such as Vermont. An exempt vehicle title applies to cars that are over 15 years old, and you can receive one if you meet the following criteria:

  • You must pay the fee for an exempt vehicle title
  • You must be the vehicle’s owner
  • You must reside in Vermont (or the state that issues title exemptions, such as New Hampshire)
  • Your car doesn’t have any liens

Do You Need a Title to Sell a Car if You Sell It for Scraps?

Yes, you will need a title to take a vehicle to a salvage yard and sell it for scraps – most states will request a valid title. It’s also true that different states have different rules related to this process, but in most states, you must still provide legal documents to show that you own the vehicle before scrapping it.

What Is a Vehicle Bill of Sale, and How Should You Use It?

A Vehicle Bill of Sale is a kind of document you can use to close or formalize a vehicle sale officially. This legal document provides a record that you have sold the vehicle and includes information such as the price you sold it for and who will now claim ownership.

You can use a vehicle bill of sale to register the sale of the vehicle and transfer any vehicle violations to the new owner.

Which Party Must Retain the Bill of Sale When You Sell Your Vehicle?

The seller and the buyer should have a copy of the Bill of Sale when you sell your vehicle. The document permits the buyer to register the vehicle they purchase; they can head to the DMV to complete this step.

The Bill of Sale also helps sellers legally demonstrate that they don’t own the vehicle once they have sold it. Both parties can keep the Bill of Sale indefinitely to validate the transaction.

Selling Your Car: Essential Points to Remember

If you’re selling your car, remember that it’s essential to have a title to hand. If you have misplaced the title, you can always head to the DMV in your area and apply for a replacement.

As soon as you’ve completed the sale, prepare a Bill of Sale to officially document the transfer of ownership, and keep in mind that you’ll also need a title or official documents to sell a vehicle for scrap.