Logo HumbleCars

Legal, Regulatory, and Common Sense Advice for Used Car Buyers

Summary of the essential documents needed to purchase a used vehicle:

 

Required from Seller:

    • Vehicle title (properly signed over to you) Click Here for a Comprehensive Guide to Titles
    • Bill of sale with purchase price, date, and both parties' signatures
    • Current registration
    • Maintenance records (recommended but not always required)

Required from Buyer:

    • Valid driver's license or state ID
    • Proof of insurance (required before driving)
    • Payment method (cash, certified check, or financing paperwork)

For Registration/Title Transfer:

    • Completed title transfer application (varies by state)
    • Proof of purchase (bill of sale)
    • Odometer disclosure statement (if vehicle is under 10 years old)
    • Emissions/safety inspection certificate (if required in your area)
    • Registration fees and applicable taxes

Additional Considerations:

    • Vehicle history report (Carfax/AutoCheck) - recommended
    • Pre-purchase inspection report - recommended
    • Lien release documents (if seller had a loan)
    • Power of attorney (if someone else is handling the transaction)

Note: Requirements vary significantly by state, so check with your local DMV for specific documentation and fees required in your area. Some states have additional forms or waiting periods that may apply.

 

Federal Trade Commission on Used Cars - Advice for Consumers

If you’re buying a used car, the FTC recommends getting a vehicle history report before you buy. Vehicle history reports can tell you a lot about a used car. A report might include ownership history, whether the car was in any accidents, its repair records, and whether it ever was declared as salvage. Click Here for the FTC Site in Used Cars.

 

Get the Vehicle’s History

How can I learn a vehicle’s history?
Visit the National Motor Vehicle Title Information System (NMVTIS) website, vehiclehistory.gov, to get a vehicle history report with title, insurance loss, and salvage information. This site lists NMVTIS-approved providers of vehicle history reports. Choose one, enter the VIN (vehicle identification number, which is listed on the front of the Buyers Guide), and pay the provider’s fee to learn the car’s history.

NMVTIS-approved providers offer vehicle history reports to consumers, car dealerships, and financial institutions. But not all vehicle history reports are available through the NMVTIS website. Reports from other providers sometimes have additional information, like accident and repair history:

(Note: The FTC doesn’t endorse any specific services.)

Titles - Kelly Blue Book Car Title Guide Everything You Need to Know - Click Here for the KBB Guide

The title, looking every bit like a car’s birth certificate, will include the seal of the issuing state. Although the information displayed on a title varies by state, generally, every title includes certain facts like the following:

    1. Identifying information: Vehicle identification number (VIN), make, model, year, and color
    2. Owner’s name and address
    3. Title issue date: The date the vehicle was purchased
    4. Odometer: Reading and when it took place
    5. Outstanding liens: Usually, the financing lender
    6. Signatures: Buyer, seller, and representative of the state

A seller scamming the system isn’t unheard of. But, it’s up to you to ensure the title the seller presents is indeed a legal title. There are some things you can look for and do to avoid being duped.

    • Double-check the title’s issuing state. If it’s not the state you are in, it’s likely not a valid title.
    • Verify the vehicle identification number (VIN) by obtaining a vehicle history report from an online provider like AutoCheck. A one-time report costs $25, but it’s well worth it. Reports provide detailed information, including past car owners, accident history, and maintenance records.
    • Inspect the title’s issue date. If it’s relatively recent, it could be forged.
    • Check for a watermark. The absence of a watermark is a sign the title is a copy.
    • Look for fuzzy or unclear printing in the document. These are indications the document is a copy.

Verify the VIN - Vehicle Identification Numbers on Title and Vehicle

Vehicle Identification Number (VIN) is the unique 17-digit “name” assigned to every vehicle. Composed of both letters and digits, each VIN is specifically designated by the automaker to identify that particular car. Every character in this sequence holds specific information about the vehicle, including its year, country of origin, engine type, and more. This systematic coding ensures that each car can be individually tracked and identified. Click Here for details on How to Read A VIN on Car - the Ultimate Guide to Vehicle Identification Numbers

Check the VIN on title of the car you are interested in and compare it to the VIN on the car itself. MAke sure they are the same. A VIN is 17 characters long. They must match for the title to be valid for that specfic vehicle. 

Typically, you can locate the VIN on the driver-side dashboard, visible through the windshield, which makes it easy to access and read. Additionally, the VIN is often found on the driver-side doorjamb, where the door latches when closed. For further verification or in cases where those spots might be inaccessible, the VIN is also stamped on the engine’s firewall, integrating it into the very structure of the vehicle. These multiple placements help ensure that the VIN can always be found, regardless of external conditions or modifications to the car.If the VIN on the title and the VIN on the car don't match something is fishy.

A vehicle identification number, VIN for short, is a distinctive serial number used by automotive manufacturers to identify each motor vehicle. Manufacturers first used vehicle identification numbers on motor vehicles in 1954; each manufacturer used their VIN format until 1981, confusing the system.

The National Highway Traffic Safety Administration (NHTSA) of the United States standardized the format in 1981, now the current 17-digit VIN format.

The NHTSA requires any on-the-road motor vehicle to be sold must have the standard 17-digit vehicle identification number.

To avoid any confusion:

The standardized NHTSA VIN format does not include the letters O, Q, or I.

What Are Car Window Stickers?

Car window stickers, also known as Monroney stickers or window labels, are federally mandated labels that provide detailed information about new vehicles. Named after Senator Mike Monroney who sponsored the Automobile Information Disclosure Act of 1958, these stickers must be displayed on all new cars sold in the United States. Click Here for much more on window stickers.

version: 1.0.23