Things to Keep in Mind Before Gifting a Vehicle
There are many reasons why you might be considering a vehicle as a gift to your loved one. But before you take the plunge, consider these points to ensure you’re making the right decision.
To start with, it is important to verify ownership of the vehicle so you can be sure you’re buying the vehicle from its legal owner. This isn’t a difficult step, but skipping it could create major problems. Additionally, you’ll need to ensure that all liens on the vehicle are satisfied.
If the case is related to inheritance, involving probate court is not a bad option.
You will need to complete the transfer section on the back of the title, and for this, you’ll need certain details like the receiver’s signature, odometer information, and driver’s license information. Be careful with the step, because the writing must be legible and clear. Next, you need to be sure that you check for additional gift requirements with your state’s registry of motor vehicles. In most cases, gifts between family members are allowed freely, and no sales tax will be applicable at the time of the transfer. At this point, verifying insurance policy print is also advisable.
Before gifting a vehicle, get it checked by visiting a panel beater to make sure that you won’t be held liable for any unnecessary expenses later on. Once the verification on your end is completed, you can get the documents delivered to RMV and register the car by the state’s usual procedures. Lastly, you’ll have to wait for the new title to be delivered to the recipient. The recipient should notify the registry of motor vehicles if there are any mistakes. However, you’ll be in the loop while the process is being completed. If you can assist them, it will help make sure the transaction is completed sooner.
Gifting a vehicle to someone isn’t a difficult process, but it’s important to make sure you know all the steps before taking the plunge.
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