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Private Car Selling Laws

The most important thing when selling a car is that you should not fabricate any information about the car you are selling. There are state laws against selling "lemon cars" and the person who is making the purchase could bring successful litigation against you if they feel they have been ripped off. One key thing that you can tell from time to time is the mileage changing on a car. You can simply tell how much the seller has used the car during the selling period, by just looking at the miles. The Odometer verification forms that are correctly filled out should eliminate this problem. You will also need your VIN or Vehicle Identification Number to complete the sale. In case you were wondering, lemon laws actually cover used cars in most states. The American Bar Association rates California's lemon laws as some of the strongest in the nation.

You also want to make sure the buyer knows the sales tax rate in your state so they don't feel like they are being overcharged for the vehicle. Once they know that you have figured the sales tax rate into the price, they should be comfortable with the sale. Of course there are some states like New Hampshire that has no sales tax to even worry about. A lot of people even migrate over to New Hampshire just to buy cars as a way of saving money.

There are also laws regarding the age of the tires of a car that is being sold. So if you are selling a car, make sure that the tires are up to date with the standards of the consumer advocacy groups if you can. Some new laws have come out in places like Washington D.C. however that limits the number of cars you can actually have on your property. Although this law may reduce the chance of theft, it may cut down on the amount of commerce there.

Make sure that the buyer also knows how many hours they can use the car if you allow them to take it for a test drive. This sort of statute can actually vary from state to state as well. Make sure you have properly transferred the title once the sale is complete, and keep all the proper documents. Mainly these laws are made so that the paperwork is always there in case there is confusion about the history of a car in the future. All states have different laws, so be sure to check before you sell or a buy a car.


Bond Mejeh produces automotive related articles for Quick Cash Auto, a cash for cars service. Quick Cash Auto not only buys pre-owned vehicles of any year, make or model, but they also provide numerous articles about vehicle repair and automotive news. Please visit QuickCashAuto.com for more information and be sure to check out our automotive blog.

Article Source: ArticlesBase.com


at what point in this private car selling process can i turn the keys over to the new owner?
i owe money on the car i am selling privately, so the bank has the title. the bank says the buyer would pay me for the car, i would pay the rest of the note to the bank, then they would hand over the title to me and then i would pass the title on to the new owner. this seems like a process that could take a couple of days. question i have is: once the new owner gives me cash can he take the car right away? or would i need to close out my loan and give him the title first? i just want to understand where in the process i can give him the car keys and i am not on the hook for anything. i.e. can he take the car home the day he pays for it and then receive the title in the mail 2 days later? just want to make sure if he wrecked it or hit someone drunk driving that they don't go and see the title is under my name and they think i did it.

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