Transfer Car Title With No Signature Of Seller On Title

So, when are there allowances to not have a requirement for a signature on a previous title in order to get a new title? Most of the time, when you go to the DMV to get a new title for a vehicle, you will be required to have the signatures on that title from the prior owners. We’re going to look at a couple of exceptions where there are loopholes that you can use to get a new title without having the signature of the prior owner. In this instance, we’re going to look at the state of California.

Basic Title Transfer Requirements
Basic title transfer requirements and what the loopholes are where you don’t have to have the signatures on the title. For example, California title properly endorsed for transfer must have the following: if it’s co-owners with “and” the signature of each owner, meaning both; if the co-owners have the word “or” or “and/or” next to it, you can have either one sign it; if it’s joint tenants, that’s each; also, business entity have the business entity and the authorized signature on it; DBA, same thing; sole owners, trustees. So, this talks about who has to sign it and they have to sign the transfer form and the title.

Exception: Form 262
But if you notice, there’s an exception: a vehicle/vessel transfer and reassignment is acceptable in lieu of a signature line on the title. So, if you don’t have the signature or can’t get the signature on the title, this reassignment form, REG 262, is acceptable in lieu of a signature on the title. So, what does that mean? Well, here is form 262. It’s a vehicle/vessel transfer and reassignment form. Now, it has to be original, original signatures; you can’t do a photocopy. It tells you this form is not the ownership certificate, is not a title. It must accompany the titling document or application. So, if you have this in an application, then you can get a new title.

Using Form 262
So, how do you do this? VIN number, year, make, model, if it has a license plate, bill of sales included, who’s selling it to, odometer statement. Now, buyer and seller must handprint his or her name, date, and sign. What does that mean? You can’t do it electronically; handprint means exactly what it sounds like: hand with a pen. Okay, I acknowledge your dominant reading and the facts of the transfer. I certify under penalty of perjury this is correct. So, even though it’s a loophole and it’s an allowance, they’re telling you you don’t have to have it on a title. They’re taking it pretty seriously. This is a very important form. Seller section: I declare that the foregoing is true and correct, seller’s name, signature, date, and an ID number, driver’s license ID number, or for your dealer, you put the dealer number, and you print the name, put the address. It’s a one-page form, right? So, there is an allowance for not having the signature on a title.

Power of Attorney
Let’s take a look at some other possible exceptions. Here’s another method: using a power of attorney. So, it says the undersigned, and you put the name of the owner, county, year, make, model, hereby make and appoint another person to be the true attorney in fact to sign the name in any documents, title application, and transfer ownership. So, if you have authority from the owner under this power of attorney and specific to a vehicle, the reason why this is important is if you are contacting or approaching a third party to have them give you a power of attorney, you want to make sure that they’re understanding it doesn’t give you the right to sign over their house or open a bank account. It’s specifically for a motor vehicle and it has the year, make, model, and VIN number of that vehicle. That way, it also limits you from transferring other vehicles the person may own, which probably is not what they want. And you have to have your full legal name, driver’s license number, physical address, mailing address, and it has to have a notary because they want to make sure that the person is actually doing this voluntarily and it’s not a forged signature, it’s not some type of scam or a fraud. So, that’s another method of not having to have a signature on the title.

Duplicate Title Application with Ownership Transfer
And here’s a third method, which is available in most states, more states than you might imagine. It’s a duplicate title application with ownership transfer. So, let’s suppose that the owner of the vehicle is not going to sign that prior title because they don’t have the title or they can’t find the title or the title is not available for them to sign. Maybe the title is in another location. What the owner can do is simultaneously get a duplicate with ownership transfer. The net effect of this form is to get a new title issued with your name on it as the buyer, as a new owner, without having the old title present. So, it’s not really even a duplicate title; it’s just a new title with your name on it. In reality, behind the scenes, it’s a duplicate title, but then right away getting a new title with your name. But the net effect is it’s just “get me a new title with my name on it.” Now, it’s pretty complicated, pretty important. In fact, the most important thing on it is a warning to the buyer. They’re warning the buyer that you have to do these things. Signature has to be notarized. You can’t have any liens on it, so you can’t use this to try to sneak a title out from a lien holder. It’s only for free and clear legit vehicles.

Filling Out the Form
So, what do you do to fill out this form? Well, first you put in the VIN number. We see hundreds and hundreds of DMV forms every day that we work on. We love forms like this where the VIN number is right at the top because in reality, the most important detail of a vehicle is the VIN number. Everything else is secondary. When we see the VIN number first, we know that that titling agency, titling authority is really paying attention and efficient about what’s important on a vehicle. Then, year, make, model, VIN number, most important. Okay, so now next is the owner of record, the seller. So, this is who’s on the title right now, whose name is on the title record in the DMV database; that goes here. Then, the purchaser. So, that would be you, Joe Schmoe, 12 Main Street, address, whatever it is. Now, the purchaser has to sign this too. You might think, well, the seller has to sign it; who cares if the purchaser signs it? They want to make sure they’re identifying the person who is the new owner properly because they don’t want somebody to put a vehicle in somebody else’s name arbitrarily when it’s not really what’s supposed to happen. So, that’s section number two. If there’s a lien holder, they would sign here to take off the lien. If you’re putting a new lien, that would go here. Dealers would put information on this section.

Notarization
Here’s the most important part: the owner has to be notarized. I hereby make an application for duplicate title and bold letters. I also transfer to the party listed in that section. And the reason they put it in bold is because there were a few instances where people were just saying, well, I just want you to get a duplicate. You’re not transferring it over. And they didn’t know that they’re actually getting rid of their vehicle. They’re waiving their ownership. This does both. This transfers all interest in the vehicle to a third party, and it has to be notarized. And it gives you the instructions. Mostly, most of it’s what we already talked about. Fax copy is not acceptable. It’s got to be the original ink signature with a notary. You can bring it in person. We recommend mailing it because when you mail it, it goes to the headquarters rather than a branch office, and they know how to handle it better. No big capital letters, bold. In all cases, failure to complete any of the sections will result in the application being rejected. So, you can’t leave anything blank that’s required. You have to have the whole thing filled out. Enter the complete vehicle information. Enter the owner information. We already went through this. Fax copy is not acceptable.

Costs and Fees
Well, how much does this cost? Not that much. The duplicate title fee in this state is $14. Most states are $5, $10, $15, $20. There’s a few states that are $40 or $50. There’s only two states that are much higher than that. The state of Florida is $79.50. The state of Illinois is $95. Those are the two most expensive. Pennsylvania is $53, which is in the middle of the high range. But most states are $5, $10, $15. Texas is $2 for a duplicate title. Now, if there’s a transfer of the vehicle, if there’s a transfer of the vehicle, then you may have to pay sales tax. Most states have sales tax on a purchase, just like if you buy something at Walmart, you pay sales tax. Many states have sales tax on a vehicle. Now, some states do not require sales tax on a private seller transaction, only on a dealer transaction. Some states have no sales tax at all. Washington State, Florida are examples of non-sales tax states. Actually, that’s not true. Those are non-income tax states. Oregon has no sales tax. Wyoming has no sales tax. Other states have sales tax. You may have to pay a title search fee of $7 if you don’t have all the title information. You may be exempt from taxes. Certain instances let you not pay tax depending on what that state allows for exemptions. But the most important thing is here’s another option of not having a signature on the title.

Notice of Transfer of Ownership
And here’s one other trick or loophole that sometimes will help transfer a title. This is a notice of transfer of ownership of a motor vehicle. So, this is mostly designed, and many states have this, to remove liability from the old owner to the new owner. Meaning that, let’s say if you sell a car to somebody in a Walmart parking lot and you give them the keys, you give them the car, give them a bill of sale, even if you give them a title, what happens if before they put it into their name, they go out and rob a bank or do a drive-by or get in an accident and they just run away from the car? Well, I guarantee you the cops are going to look up who that car is owned by and they’re going to come knocking on your door. And if the vehicle caused damage or racked up towing fees or parking tickets or went through toll booths and didn’t pay the fee, you might be liable for that. So, most states have a form that you as a seller can report a sale so that you’re not liable if the person doesn’t put it in their name fast enough. What a lot of people don’t know is, in many states, if you report that sale and the buyer never applies for a new title, in the system they’re going to put a memo of ownership for that person. Once that memo of ownership is recorded, the buyer can then go apply for a new title even if they don’t have the old title.

Alternative Method
It doesn’t always work, but here’s what you can try to do if you are a buyer of a vehicle and the seller didn’t give you a title for whatever reason and they lost it, they’re not willing to help you out. If you can ask them to sign a form like this notice of transfer, a lot of times a seller will be willing to sign this but not be willing to go through the hassle of getting a duplicate title. They’ll sign this one form but they’re not going to jump through hoops to get you your title. So, you get them to sign this form and you mail it in to the Department of Motor Vehicle Title Division, wait a couple of weeks for them to put it in their system with you as the buyer, then go down to that Department of Motor Vehicles with a new title application to apply for a title. Once the DMV looks up and sees that this seller put in a notice that you’re the new owner, they sometimes will accept your title application. It doesn’t always work, but sometimes if that memo name is already in their system, your name, they’ll let it slide. So, if all else fails, try that method of getting a title with your name on it without having the prior title signed by the last owner. It’s a little bit of a trick and it’s always much easier to get the last owner to sign something like this than to sign an actual title. If they don’t have it, they’re not going to wait in line at DMV, they’re not going to pay the fees for a duplicate title, but they might just sign this one form for you because it kind of looks like a bill of sale. And every state has a version of it. So, have them sign it, submit it to the DMV. Technically, it’s for making them not liable for damages after transfer, but in many cases, the DMV will enter your name as a memo owner or a subsequent owner or a contingent owner. Some states call it different things. And once that memo name is put into the system, you might be able to use that record to have your application for a new title be approved without having the prior title attached to it.

Conclusion
Those are four methods that very commonly will work without having to do a court order title or a bonded title or anything much more complicated to get a new legal vehicle title issued with your name on it in the absence of the prior title with the last owner’s signature.

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