Title Transfers in Rhode Island

What is a Title Transfer?

A title certificate is a document that proves ownership of a vehicle. When the vehicle changes ownership, the new owner is responsible for transferring the title into his name. Rhode Island requires titles for vehicle models from 2001 or newer. Anything older than 2001 is not required to have a title. Typical reasons for title transfers include:

• New or used car purchase

• Car loan payoff

• Transfer from immediate family member

• Vehicle gift or donation

• Car inheritance

• Title name changes

For vehicles older than 1999, see the Registration Files section at the Pawtucket DMV for assistance.

Selling a Vehicle

One of the most important things to do when selling a car is to come up with a price that satisfies both you and the buyer. Determine the value of your car, taking into account past maintenance history. It's a good idea to order a vehicle history report (VHR) to back up your asking price and help the buyer feel he's getting a good deal. Find more information about these reports in our section on VHRs.

When you're ready to shake hands on the deal, follow the steps below to transfer the title to the new owner.

1. Sign and date the title, and record the mileage. You must have a free and clear title to sell the vehicle. If the title is lost or destroyed, you’ll need to apply for a duplicate. Find out more in our section on replacing a lost title.
2. Have the buyer sign and date the title.
3. Complete and sign a Bill of Sale with the buyer. Give a copy to the buyer.
4. Remove the license plates from the car.
5. Give the signed title to the buyer, who will complete the title transfer and registration at the Pawtucket DMV. The buyer is also responsible for emissions certification and insurance for the vehicle.

Buying a Vehicle

New Cars

When you purchase a new vehicle at a dealership, the dealer should handle the title transfer and other documentation for you within 30 days.

If you just haven't found that perfect model yet, check out the wide selection of new cars online. You can even compare features, pricing, and additional options.

Used Cars

Purchasing a used car from an individual can be more risky than buying from a dealer, but it doesn't have to be a negative experience. Arm yourself with research and pre-made decisions about issues like auto financing options and insurance policies.

Also, learn as much as you can about that car you're eyeing. Order a Vehicle History Report online and check out the car's past, so you can feel confident that you're getting a sweet deal and not a lemon.

When you've signed the dotted line and the car is officially yours, here's how to transfer the title into your name.

1. Have the owner sign and date the title, and record the mileage.
2. Sign and date the title.
3. Complete and sign a Bill of Sale with the seller. Make sure you get a copy of the document for your records.
4. Have the owner remove the license plates from the car.
5. Go to the sales tax desk at the Pawtucket DMV and complete a Use Tax Return form. Sales tax is 7% of the purchase price or NADA blue book value, whichever is higher.
6. After your sales tax form is validated, take that form―plus the signed title, Bill of Sale, and a notarized Application for Registration and Title Certificate―to the Title Office at the same location.
7. Pay a title fee of $51.50.

Because the title and registration applications are one and the same, you'll be registering your vehicle at the same time you transfer the title. Additional registration fees apply, as well as emissions and insurance requirements. Learn everything you need to know in our section on Car Registration.

Removing a Lien

If you financed your car, paying off the loan makes you the legal owner of the vehicle, and you should transfer the title to your name. The lienholder will typically sign off on the title and send it to you.

1. Take the following documents to the Pawtucket DMV:

• Existing title signed by lienholder

• A notarized Application for Registration and Title Certificate

• A title fee of $51.50

NOTE: If the title is lost or destroyed, you can complete an Application for Duplicate Title/Affidavit of Loss. If you use this form, it must be accompanied by a lien release signed by the lienholder. The DMV accepts original forms only―no photocopies. A loan document stamped “PAID” is not acceptable.

Transferring to Family

For the purposes of title transfers, Rhode Island considers family as:

• Spouse

• Child

• Parent

• Grandparent

• Grandchild

• Sibling

When transferring the title from one family member to another, follow the steps below.

1. Have the registered owner locate the existing title, enter the mileage, and sign and date the title.
2. Have the new owner sign and date the title.
3. The registered owner must write a letter explaining the gift. This will exempt the recipient from having to pay sales tax. The letter should include:
• Name and address of the person giving away the car
• Name and address of the person receiving the car
• The relationship between involved parties
• Vehicle information such as year, make, model, and VIN
• Permission for recipient to use existing license plates (if applicable)
4. The new owner should complete, sign, and notarize an Application for Registration and Title Certificate.
5. Have the registered owner remove the license plates from the car, unless granting permission for the recipient to use them.
6. The new owner will then take the signed title, gift letter, application, and title fee of $51.50 to the Pawtucket DMV. He should also have his Rhode Island driver's license and insurance information for the vehicle.

Gifting a Vehicle

If you receive a vehicle as a gift, transferring the title is very similar to the transaction between family members, as listed above. Transfer the title to your name by following the steps below.

1. Have the registered owner locate the existing title, enter the mileage, and sign and date the title.
2. Sign and date the title.
3. The registered owner must write a letter explaining the gift. This will exempt you from having to pay sales tax. The letter should include:
• Name and address of the person giving away the car
• Your name and address
• Your relationship with the registered owner
• Vehicle information such as year, make, model, and VIN
• Permission for you to use existing license plates (if applicable)
4. Complete, sign, and notarize an Application for Registration and Title Certificate.
5. Have the registered owner remove the license plates from the car, unless granting you permission to use them.
6. Take the signed title, gift letter, application, and title fee of $51.50 to the Pawtucket DMV. Also bring your Rhode Island driver's license and insurance information for the vehicle.

Even when you receive the vehicle as a gift, you'll have to register it in your name. Get all the details on the process in our section on Car Registration.

Donating a Vehicle

The donation of your vehicle to a charitable organization can benefit many needy people. Do your homework before donating to make sure you know how the car (or the funds from the sale of it) will be used. Learn more about the process in our section on donating a car.

Also, consider consulting a tax attorney before making any commitments. A vehicle donation is often tax-deductible, and an attorney can help you get the tax credits you deserve.

Inheriting a Vehicle

When a relative dies, dealing with estate issues can be a hardship added to your loss. Get a reputable probate attorney on your side as soon as possible to take most of that burden off of you.

If you inherit a vehicle from a loved one, you'll need to transfer the title into your name.

1. The legal heir(s) must sign the title over to you. If you are the legal heir, sign the title in the seller's section.
2. Sign and date the title in the buyer's section.
3. Complete, sign, and notarize an Application for Registration and Title Certificate.
4. If a will exists and names you the inheritor of the vehicle, make a copy of the will. If no will exists, have the legal heirs complete an Affidavit & Assignment of Title. The form must be notarized.
5. Remove the license plates from the car.
6. Take the plates, signed title, will (or affidavit), and application to the Pawtucket DMV.
7. Pay a $51.50 title fee.

You'll be registering the car at the same time of the transfer, so check out the additional fees and requirements in our section on Car Registration. Also, insure the vehicle before attempting to register it. You can compare quotes online at our Insurance Center.

Making Name Corrections

Changing a Name

1. Sign the existing title with your previous name in the seller's section. You don't need to record mileage for this transaction.
2. Sign the title with your new name in the buyer's section.
3. Take the signed title, a copy of the document showing your name change, and a title fee of $51.50 to the Pawtucket DMV.

In addition to changing your name on the title, you'll also need to update your other DMV documents, such as your driver's license and registration. If you don't already have a copy of the document that states your name change (e.g., divorce decree, marriage certificate), you can get an official copy online. Learn more in our section on changing your name.

Deleting a Name

1. Both you and the person whose name you're deleting must sign the title. Also, record the mileage.
2. Sign and date the document as buyer.
3. The person whose name you're deleting must have a document that releases his interest in the vehicle―for instance, a divorce decree naming you the sole owner. He can also write a letter to transfer full ownership over to you. The letter must include:
• Name and address of the person releasing interest in the car
• Your name and address
• Your relationship with the other owner
• Vehicle information such as year, make, model, and VIN
• Permission for you to use existing license plates (if applicable)
4. Complete, sign, and notarize an Application for Registration and Title Certificate.
5. Take the completed application, signed title, official document releasing interest, and a $51.50 title fee to the Pawtucket DMV.

Adding a Name

1. Sign and date the title as the seller, and record the mileage.
2. Both you and the person whose name you're adding must sign the title as buyers.
3. Write a letter stating that you're giving the named person half interest in the vehicle. The letter should include:
• Your name and address
• Name and address of the person you're adding
• Your relationship with the person you're adding
• Vehicle information such as year, make, model, and VIN
4. Complete, sign, and notarize an Application for Registration and Title Certificate.
5. Take the completed application, gift letter, signed title, and a $51.50 title fee to the Pawtucket DMV.

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