Lien Enforcement, Inc.

Title Transfers

This is a general guide and not intended as legal advice.

What is a Title Transfer?

The California Certificate of Title is a document that determines ownership of vehicle.  To properly change ownership from the current registered owner or lien holder (also known as Legal Owner) the California Certificate of Title must be filled out.  This form must be received by the DMV within 10 business days from the date the Title is completed, so the DMV can update their records accordingly. Click here for more details on the DMV's website.

 

The following are a few reasons the transfer would be required:

  • Sold your Vehicle to another Party
  • Gave Vehicle to a Family Member
  • Donated Vehicle to a Charitable Organization
  • Inherited the Vehicle
  • Making Corrections to the Name on the Title

When Transfering To Interested Party

The following are steps that should have been taken to properly transfer ownership to an Interested Party:

  • You should have entered the odometer reading for mileage on the California Certificate of Title (also known as a Pink Slip) if the vehicle was less than 10 years old at the time.
  • You should have signed and dated the Title as the current Registered Owner of the vehicle at the time of transfer.
  • You should have required the buyer to complete, sign and date the title, acknowledging that the odometer reading was true and accurate at the time of transfer.
  • You should have obtained a smog certification, which could be no older than 90 days prior to completing the California Certificate of Title, unless your vehicle qualified as one of the following.
    • Diesel Powered
    • Model year of the vehicle is 1975 or older
    • Motorcycle, Trailer, or Vessel
    • Natural-gas Powered with a Gross Vehicle Weight (GVW) of 14,001 Pounds or More
    • Hybrid or Electric
  • You should have provided the completed Transfer of Title to the Interested Party.
  • As an additional layer of protection you could have requested a bill of sale be completed, signed, and dated to further protect you from potential future liabilities, although this is not required by the state of California currently.

When Transferring The Title To A Family Member
When transferring ownership via Family Transfer, California State recognizes the following as qualifying family members; Spouse, Child, Siblings, Parent, Grandparent, Grandchild, or Domestic Partner.

 

When transferring the California Certificate of Title of your vehicle to a family member in the state of California, the use tax is waived and as well as any smog test requirement between immediate family members (including grandparents and grandchildren, but siblings) provided that the registration renewal fees are not due.

 

The following are steps that should have been taken when transferring ownership to a Family Member:

  • As the Registered Owner you should have signed, and dated the back side of the Title, and include the current odometer reading if the vehicle was less than 10 years old.
  • As the Registered Owner you should have requested the new owner sign and date the Title, confirming the odometer reading was true and accurate.
  • When registration is not current,  as the Registered Owner you should have provided the interested party with a smog certification (which could be no older than 90 days prior to Title Transfer) or informed the interested party they would be responsible for the smog certificate themselves.
  • When registration is current, as the Registered Owner you should have informed the interested party that they should complete a Statement of Facts offered by the state of California, to take advantage of the smog and use tax exemption currently available.
  • It would then be the responsibility of the Interested Party to make an appointment at the DMV to register and complete the Title Transfer of the vehicle into their name.  When at the DMV the interested party should have presented the above mentioned paperwork and paid the $15 transfer fee to complete the transfer.

When Transferring The Title Of A Vehicle As A Gift

If you had given your vehicle as the gift to another individual, the state would need to reestablish its current value using the purchase price or current market value, to establish the new Vehicle License Fee.  It is the responsibility of the interested party to determine the current market value and enter the amount on the Statement of Facts.

 

The following are steps that should have been taken when transferring ownership via Gifting a Vehicle:

  • As the Registered Owner you should have completed the California Certificate of Title (pink slip) and entered the current mileage on the form, if the vehicle is less than 10 years old.
  • As the Registered Owner you should have informed the interested party that the vehicle is either currently registered or that a Notice of Planned Non-Operation (REG 102) is filed with the DMV.
  • As the Registered Owner you should have provided the Interested Party with a current smog certification (which could be no older than 90 days prior to Title Transfer) unless your vehicle qualified as one of the following:
    • Diesel Powered
    • Model year of the vehicle is 1975 or older
    • Motorcycle, Trailer, or Vessel
    • Natural-gas Powered with a Gross Vehicle Weight (GVW) of 14,001 Pounds or More
    • Hybrid or Electric
  • As the Registered Owner you should have informed the interested party they would be required to fill out a Statement of Facts (REG 256) to possibly qualify for a use-tax exemption.
  • As the Registered Owner you should have completed a Notice of Transfer and Release of Liability and kept a copy for your records to prevent possible future liabilities.  According to DMV rules and regulations this form must be submitted to the DMV within five days of transfer.
  • It would then be the responsibility of the Interested Party to make an appointment at the DMV to register and complete the Title Transfer of the vehicle into their name.  When at the DMV the interested party should have presented the above mentioned paperwork and paid the $15 transfer fee to complete the transfer.

When Transferring The Title Of A Vehicle As A Donation

Generally individuals donate their vehicles to charitable organizations to receive the tax credit for the donation.  Most charitable organizations provide assistance with completing the transfer process.  It is still your responsibility as the Registered Owner to verify that the transfer has been completed even though this service is provided.

 

The following are steps that should have been taken when transferring ownership via Donating a Vehicle to a charitable organization:

  • You should have entered the odometer reading for mileage on the California Certificate of Title (also known as a Pink Slip) if a vehicle was less than 10 years old.
  • You should have signed and dated the Title as the current Registered Owner of the vehicle at the time of transfer.
  • You should have required the buyer to complete, sign and date the title, acknowledging that the odometer reading was true and accurate at the time of transfer.
  • You should have obtained a smog certification (which could be no older than 90 days prior to Title Transfer) unless your vehicle qualified as one of the following:
    • Diesel Powered
    • Model year of the vehicle is 1975 or older
    • Motorcycle, Trailer, or Vessel
    • Natural-gas Powered with a Gross Vehicle Weight (GVW) of 14,001 Pounds or More
    • Hybrid or Electric
  • You should have provided the completed Transfer of Title to the new buyer.
  • As an additional layer of protection you could have requested a bill of sale be completed, signed, and dated to further protect you from potential future liabilities, although this is not required by the state of California currently.

When Making Name Corrections To The Title Of A Vehicle

Changing a Name

This situation generally occurs when individuals that are listed as Registered Owners of vehicles need to update their name due to court order, marriage, divorce, or misspelling.

 

The following are steps that should have been taken when making corrections of the name to the registered owner of your vehicle:

  • As the Registered Owner you should have written your corrected name under "New Registered Owner" on the Title of Transfer.
  • As the Registered Owner you should have completed and signed a Statement of Facts in the "Name Statement" segment specifying the reason for the change.
  • As the Registered Owner you should have scheduled an appointment with the DMV to process your paperwork.

Deleting a Name
This situation generally occurs when individuals that are listed as Registered Owners of vehicles need to update the names on the California Certificate of Title due to court order, divorce, or death in family.

  • As the Registered Owner you and the other registered owner should have signed the title when “and” is between the names to properly remove any of the names. 
  • As the Registered Owner you should have signed the title when “or,” is between the names to properly remove any of the names.
  • As the Registered Owner you should have written the corrected name under "New Registered Owner “ and submitted the revised title to the DMV by appointment.

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