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  • Writer's pictureAuto Tags of Oakland Park

Gifting Someone a Car

Big things come in small packages, but better things come in big packages; like say, a car! If you are the generous soul considering gifting someone with a set of wheels, there are a few things you need to know. 

It’s official!

You can give away your car for free but you still need to make the process official. The first step in that is ensuring that the car is properly transferred to the lucky recipient. This process may vary a bit from state to state, but there are a few general steps. 

Can we talk?

Schedule a sit-down with the future owner and discuss the terms of the transfer. Just because you may be giving the car away, with no personal financial gain, does not mean some discussion isn’t necessary. For example, if mechanical, or damage otherwise, arises, who is responsible for the repair? Be sure both parties are clear on maintenance costs and fuel fees. 

What’s mine is now yours

Discuss who is responsible for insurance and be sure the vehicle is covered to at least the minimum requirements of your state. If you are handing overall responsibility for the vehicle immediately, be sure that the insurance carrier is aware, and policy changes are made before you relinquish the car. Another driver, driving a car that is covered by a policy with your name on it, leaves all accident responsibility to you. 

Sold! Given! Whatever. 

There is a cost to transfer the title.  Even if no money is being exchanged for the car, provide the new owner with a bill of sale to keep things clear. This bill of sale should include the vehicle identification number (VIN), a description of the vehicle, including make, model, year, and the date of the transfer. Having the bill of sale notarized adds another layer of security to the transaction. Be sure to keep a copy of the document for your own records.  

The transfer

Go with the new owner to the tax collector’s office in your county to help ensure the transfer was successful. Whether you go or not, provide the DMV with a Notice of Sale, or Bill of Sale. (In the state of Florida, this is form HSMV 82050.) This document alerts the DMV that the vehicle is no longer in your name. While the state title transfer is being processed, this notice will protect you in case the new owner has a Florida law violation. 

Whatever your reason for gifting someone a car, it is usually an act of great generosity. Enjoy the amazing feeling of giving, while knowing you sealed the wheel-deal properly. And when it comes to transferring the titles, tags, or registration, Auto Tags of Broward can help you out. We are your one-stop-shop for all things tags and titles. We are the go-to tag agency of Broward. Come see us today, or visit for more information.  

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