MoneyWisdom Blog

The Road to Selling Your Car Starts Here

Posted by Hanscom Federal Credit Union on Mar 2, 2016 1:18:13 PM

Woman in carSelling your car can be fun. Yes, you read that right. You can actually enjoy the process of preparing, marketing and closing the deal on your automobile. To help you on this journey, we’ve created this roadmap. Here are the directions. 

Start by creating a “Car Sale” folder with information for potential buyers.

  • Include your owner’s manual. If you don’t have the manual, search for an online version.
  • Create a list of the extra amenities for your vehicle.
  • Get a vehicle history report. Add the vehicle maintenance history.
  • Compile a list of any active warranties.

Prepare your car for sale.

  • Clean and declutter the car inside and out.
  • Have routine maintenance performed, like an oil change and a pressure check.
  • Have a reputable mechanic inspect the car and issue a report on its condition.
  • Make needed repairs to the car.

Advertise your vehicle.

  • Take attractive photos of your vehicle to lure in buyers.
  • Research AutoTrader.com, www.KBB.com, www.Edmunds.com, and www.Cars.com to find prices for similar vehicles in your area. Then, set an asking price for your car and also know your low price.
  • Advertise online at one of the above-mentioned car-selling sites, or via Craigslist or eBay. Also, get the word out in print, on social media and by word-of-mouth.
  • Respond quickly and politely to inquiries.
  • For safety purposes, meet potential buyers in a public place and always try to have someone with you.
  • Before allowing a test drive, make sure the potential buyer has a valid license and insurance.
  • Be open to allowing a potential buyer to have his/her own mechanic inspect the vehicle. 

Understand the paperwork involved in transferring ownership.

  • Download the bill of sale, release of liability and transfer of ownership forms from the DMV’s website, or visit your local DMV branch to get paper copies.
  • Make plans to pay off any balance due on the car, either on your own before the sale or by completing the transaction at your financial institution so that the title can be transferred to the new owner.
  • Make sure the bill of sale states that the car is sold as-is.
  • Make a copy of all the forms involved in the transaction.
  • Do not accept personal checks.
  • Mail copies to the DMV via certified mail any forms that must be registered with them.
  • Sign the title over to the new owner (a new title will be issued and sent to the new owner). Follow the procedure for transfer of the title outlined on your state’s DMV website.
  • Once the transaction is complete, record the odometer mileage on the release of liability form.

Turn over ownership of the car.

  • Remove the license plates from the vehicle if this is required in your state.
  • Hand over the keys, title, maintenance records, and any active warranties.
  • Cancel your insurance for the vehicle.

For a roadmap on purchasing a new vehicle, download our Car Buying e-Guide.

No Driving Required

 ©BALANCE

Related articles:

How to Get the Best Vehicle Financing Deal

How Much is That Used Car in the Window

4 Factors for Saving Green with Your Car Color

Sample Purchase Agreement

 

Topics: Cars

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