Buying a car from a Private owner...what do I do? (sale, insurance)

[dmarie123]

I would ask in the automotive section, but I want specific info for here. Some states don't even have DMVs. For example, Michigan doesn't...they have something different.

The car is not paid off. So my bank is going to pay his bank. But I'm buying the car for more than he owes, so I'm also giving him so cash.

I know I won't get the title. The bank will.

How do I register the car in my name? What do I need?

I keep hearing about 'bill of sale'

Can I just write a paragraph that I bought the car, we both sign it, and I take that to the DMV?

Or is there more to it than that?

[scuba steve]

Are you taking out a loan on the car, or are you paying cash?

A bill of sale is exactly as you described, btw. Anyway there should be instructions on the Texas DOT or DPS webpage. Would look it up if I weren't on the iPod.

[BenjaminNicholas]

And in addition to the financial end of things, I'd recommend having it lemon-checked somewhere reliable. I've had a few cars looked over at Belden: Easy process, as it takes about 2 hours and $90. It's peace of mind.



BN

[TexasRedneck]

Okay...it's actually pretty easy. One of the forms I *ALWAYS* complete can be found at this link:

http://www.dot.state.tx.us/txdotefor...vletConfig.xml

Another helpful info sheet:

http://www.dot.state.tx.us/txdotefor...vletConfig.xml


It's a Power of Attorney for a motor vehicle. With that document in hand, you can complete ANY overlooked paperwork, etc. that may be needed to complete the transaction. I've used it for years to buy and sell vehicles, and can't begin to tell you how much simpler it made my life. It also means that you're done with the seller/buyer - no sending documents back and forth! From there - yeah a simple sheet titled "Bill of Sale" whereby you name the seller, the buyer, the vehicle (include VIN, license plate, color, make, model - probably overkill, but....) with BOTH of you signing it, and you should be good to go. You'll find it easier if you already have an insurance card for it, but Texas law allows a "grace period" from date of purchase to obtain insurance as long as you have it for another vehicle.

To register the car in your name, there's lines on the back of the title to put his (and your) info in. There's also TWO places on the title for the seller to sign - make sure they're both signed!

[dmarie123]

Thanks everyone! I am definetly going to get a mechanic to check it first!

[dmarie123]

Ok. Bexar County tax office is telling me that the bank will request a title, send me a reciept and only then can I register the car in my name. Until then I drive around in a car registered to someone else, and with someone elses liscense plates....

I've always been told that a seller should keep their plates. WTF? I'm going to have a car with no plates for a week or more???

[TexasRedneck]

In Texas, the plates are registered to the vehicle, NOT the registered owner, unless they're personalized plates. So you'll keep the plates already on the car, and a copy of the Bill of Sale w/you until you get the paper finished.

[dmarie123]

Thanks Texas Redneck... Hope I can convince the seller of that!

[majormadmax]

But make sure the seller files the vehicle transfer notification. Otherwise, the vehicle may still remain in his name in the state's records.

I traded a car in to a dealership and almost a year later I get a notice of an unpaid parking ticket dated several months after I turned in the car. I wasn't told about the transfer notification requirement as this is the first vehicle I have "sold" since living here. It can be done online and takes only a minute or two.

Cheers! M2

[dmarie123]

OK- who keeps the car in the meantime?

My bank takes overnight to pay. If I start that payment and take the car, he is giving me the car before he gets paid and trusting I will pay him. I am trusting that he doesn't report the car stollen and say I forged the handmade bill of sale.

If I let him keep the car, there is the risk that payment will go through, and I'll never see him or the car again.

What is proper?