Are you thinking about buying a car without getting a title? Well, here’s some things to consider before you do that.
Check the TitleFirst of all, ask the seller why they don’t have a title. If they are the legal owner of that car, they’re supposed to have a title document in their hands with their name on it that they can sign over to you on the spot. Don’t ask for it later. Don’t let them delay because if they don’t have it in their hands, there’s a reason for it.
Verify the StoryWhatever the story is they tell you about not having a title, verify the story. If it’s because they lost it, well, have them get a duplicate. If it’s because the bank is sending it to them, make sure the bank actually has the loan paid off. Is it because it’s in somebody else’s name? Well, then they’re selling somebody else’s car and you want to deal with that person.
Hold Back MoneyIf for some reason you have some very urgent necessity to buy a car that doesn’t have a title, hold back some or all of the money until you get the title in hand. I can’t tell you how many times we get calls; it’s every single day from somebody who bought a car on Craigslist, eBay, from a friend, in the parking lot, that the person said, “I’ll send you the title,” like out of the home, “I forgot to bring it with me, I’ll mail it to you,” and then they never hear from them again. Their pager number goes blank, they can’t text them, they disappear. That’s because they never had the title to begin with. So if they don’t have it on them, you’re probably never gonna get it, and it may cost you hundreds or thousands of dollars to get the title if you can get it at all.
Get IdentificationMake sure you get a good ID from that seller. Look at their license, write down their name, make sure that the name matches up with that title. If you don’t get a good ID, you’re not gonna know who you’re dealing with, and until you have that car in your name, you’re gonna be at risk.
Check for Jump TitleAlso, look to see if it’s a jump title. Make sure it’s not sold from one person to another to another because that might cause problems getting the title in your name if each one of those transactions has not been logged with the DMV. A lot of times, cars without titles are a case of passing the buck. Somebody got a car, they didn’t get a title, they couldn’t get one, they sell it to somebody else. That person’s run into the same problem, now they sell it to you. You don’t want to be the game of musical chairs with no chair.
Title Pawn or LienThese titles are not easy to get if you don’t have it in your hand. The most common reason for not having a title is title pawn or lien. Somebody has a car, they have the title, they need some extra cash, they go to TitleMax or one of the title pawn companies. They hand over their title to get a loan on it and then they sell the car. Well, you’re not gonna get that title until the loan’s paid off. Title pawn, TitleMax, any of the companies that lend money, they hold the title for a reason—to get their money. So they’re not going to give it up just because somebody else has the car. Now, the oldest trick in the book, they’re not gonna fall for it.
Unwind the DealIf you have a car that doesn’t have a title, try to go back to that seller and have them unwind that deal. You can do any kind of search you want; you can search Carfax, you can search online. Those aren’t going to catch things like liens or things like jump title. Your only protection is actually to have a title that has the name of the seller on it, that you watch them sign, and put in your hands today.
Real-Life ExampleWe just had a customer that was sold a car and given some paperwork by a body shop saying that they’re doing a mechanic’s lien to get a title. They just gave them all the unfinished mechanic’s lien paperwork and said, “All you got to do is bring it to DMV.” Well, the reality is they didn’t do the mechanic’s lien process correctly, so this buyer is never going to get a title.
ConclusionThe only way you can be assured is to get the title handed to you. If you don’t get it, you’re going to be at risk of never getting a title or facing great expense to get one before you can legally own that vehicle and put it into your name.
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Vermont Title Acquisition: A DIY SecretA trick of the trade that’s used by all of the online title companies is very simply: get a Vermont title now. This is a free do-it-yourself process. You just pay a small fee to the state of Vermont.
No Need for Expensive ServicesYou don’t have to pay hundreds of dollars to get a registration title with only a bill of sale. If you have a bill of sale transferring that car to you, and it doesn’t matter who it’s from—it doesn’t have to be from the last legal title owner; it could be from anybody—and you don’t have to be in Vermont, they will issue you a registration title.
Vermont’s Simple Title ProcessIt’s their version of ownership for a 15-year-old vehicle or older. You can do it all yourself. There’s no inspection, you don’t have to bring the car to Vermont, you don’t have to do anything other than present the bill of sale, fill out a form, and they issue a registration title.
Nationwide RecognitionIt’s legally recognizable by every other state so that if you live in Idaho and you get this registration title from Vermont, you bring it to Idaho, and they give you an Idaho title because you have a legal title from another state.
An Easy and Affordable SolutionAgain, you don’t have to be in Vermont, the car doesn’t have to be in Vermont. It’s a trick of the trade that’s kind of a secret that’s used by companies to charge you hundreds of dollars when you can do it very simply all by yourself.
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Title Problem with Your CarLet me guess, you have a car that you own that you’re missing the title for.
You Deserve the TitleWell, if it’s your car, you deserve to have a title. You paid for the car, you have the keys, you have the car, you have verified the VIN number, it’s your car, you should get a title.
Seller’s ResponsibilityThe seller either owes you one when you bought it, or if you lost it, or for some reason they couldn’t come through with the title, there are ways for you to get that title from the DMV.
Avoid ScamsYou don’t have to pay anybody to do it. Don’t let anybody hold you hostage for hundreds or thousands of dollars to get you a title for your car that you deserve the title for.
Keep Your MoneyYou deserve to keep your money. Nobody else deserves your hard-earned money to get you a title for a vehicle that you already own.
Where Can You Buy a Car Title?A vehicle title is an official government document only issued by a state agency. In most states, it might be the DMV (Department of Motor Vehicles), the Department of Transportation, or sometimes the Secretary of State that does it.
Easiest Scenario: True DuplicateThe easiest scenario is a true duplicate, meaning you have the car in your name, it was titled in your name, and you just lost that document. A government agency will not issue a title to a person unless they’re qualified, the vehicle is qualified, and this scenario is qualified.
Next Easiest Scenario: Title Signed Over to YouThe next easiest scenario is when a title is signed over to you. You have a title that was signed by the owner on the back and put your name as a buyer. That’s the next easy scenario that car is qualified for you to get a title.
Lost Title with Contactable OwnerThe next scenario is the title is lost, and you can contact the owner. If you can contact the titled owner, they can request a duplicate and sign it over to you or simultaneously export a duplicate ownership to you.
Most Difficult Scenario: Missing Title and OwnerThe most difficult scenario is when the title is missing, and the owner is missing because now you have nothing to go on. Make sure that if you’re going to go down the process of finding a prior owner and finding the title document, that it is done with a licensed process, a licensed agent. There are a lot of legalities involved with getting ownership information on a vehicle. If it’s done the wrong way, there’s the risk of a DPPA (Driver’s Privacy Protection Act) violation or even getting the wrong information, which could invalidate the title.
So what is a Vermont registration title and how is it a process you can use to get the title for your vehicle?
Vermont’s Registration Ownership DocumentVermont does not issue a standard title on vehicles which are 15 years old or older; however, they do issue a registration ownership document which is their version of a title. Because it is that state’s legal ownership document, it has to be recognized by all 50 states as a title.
Obtaining a Title in Your StateSo if you get one of these documents, you can bring it to your state and get a legal title of ownership in your state. Be aware that the car does not have to go to Vermont, it doesn’t have to come from Vermont, and you don’t have to be in Vermont. There’s no presence required for this vehicle.
RestrictionsThere may be a couple of restrictions. For example, if the car is currently registered and it’s an active registration, it may not be able to be issued. Also, things like Salvage titles and certificate destruction might have some restrictions.
ProcessBut for most cases, if you have a bill of sale showing you own the car, you can get a Vermont registration title and then bring it to your state in exchange for a current title in your state.
DIY ProcessThis is a completely do-it-yourself process. You don’t need to pay anybody to do this; you simply pay the fees to Vermont for the DMV. In some cases, they may require sales tax, but in most cases, you can just send the paperwork in with your bill of sale, and they issue you a Vermont registration ownership document which you can exchange for a title in your state.
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