State Regulations in New Jersey
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When buying or selling a vehicle, it's important to complete all required paperwork to transfer ownership legally. This protects both the buyer and seller and avoids problems with the Motor Vehicle Commission (MVC).
You'll also need to sign the back of the existing title and include the sale price and odometer reading. The signed-off title goes to the buyer.
As an added protection for you as the seller, you may want to also fill out a Bill of Sale. This will serve as your proof of sale, since the new owner will take the title with him or her.
Handling After-Sale Issues
After the sale, if you receive a parking ticket on plates that are no longer yours, you should:
- Get a photocopy of the original ticket (not the summons) from the municipality that issued it.
- Write a letter explaining that the plates are no longer yours, and include your new plate number and your driver license number.
- Send the letter, a copy of the ticket, and the summons to:
- Motor Vehicle Commission
- ISM Correspondence Center
- P.O. Box 403
- Trenton, NJ 08666-0403
A file search of the plate number will be made, and a letter will be sent to you concerning the results of the search. This information may help you resolve the problem with the court.
When you buy a vehicle from a private seller, he or she will give you a signed-off title, which you'll also need to sign. Make sure the information on the title is correct before you sign it.
Take the title to your local MVC agency to transfer the title and register the car in your name. You'll need to show proof of insurance, the signed-off title, and a sales tax form.
You'll be required to pay 7% sales tax, unless the vehicle is exempt. Your title transfer fee will be $60.
It isn't necessary have the vehicle registered if you want to buy or sell it. However, the MVC states that buyer of the vehicle holds responsibility for getting the car registered after purchase.
You cannot buy or sell a vehicle without a title. In this case, the current owner must obtain a duplicate title before selling the vehicle.
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