The Ontario vehicle transfer procedure
In Ontario, having a car is as essential to daily life as checking social media and having a cup of coffee first thing in the morning. It's more challenging to think of people you know who don't use a car regularly than it is to name someone who does. With [[8]]7 million vehicles registered in 2017, Ontario led the country in the number of cars on the road.
But what does it really mean to be a car owner? And how do we go about changing the title when we give it away or sell it in Ontario? What does it mean to be a car owner, how do we transfer ownership to a family member, and how do we get the permit transferred when we sell the car to someone else?
The Meaning of Car Ownership in Ontario
Whether you're buying a car from a dealer or a private seller, once the paperwork is finalized, you'll be handed a green document to prove that you are the legal owner of the vehicle. The vehicle title or permit is a legal document that proves ownership of a vehicle. This license is required as evidence of ownership. Details such as the car's VIN (vehicle identification number), model, year, owner's name and address, license plate number, and expiration date will all be listed. You must keep this permit on your person at all times while driving. Most motorists keep their license in a readily accessible location in the car, such as the glove compartment or center console, in case of an accident or a police stop.
What paperwork is required to change the permit's holder?
The following documents should be in order before you sell or give away your vehicle to a family member:
- a copy of your Ontario car insurance policy
- license to drive in Ontario
- If you are not transferring the vehicle to your spouse, you must have a Safety Standards Certificate in order to sell the vehicle.
- Declaration of Marital Interest (if you are not selling the property but instead transferring it to your spouse).
- Certificate of Vehicle Registration, including the signed back section
- License plate transfers are only allowed between spouses, parents, and children, so be sure to fill out a Plate Transfer Declaration if you plan on making that move.
- in the province of Ontario, a completed Sworn Statement for a Gift of a Used Motor Vehicle to Family or Close Friends
- Tests for Emissions
Donating a car to a loved one
Transferring ownership to a family member is much simpler than selling a car to a stranger, but there are still a few things you need to do. If you live in Ontario, you can give your car away to a relative once every 12 months without having to pay retail sales tax (RST).
Which members of your family are eligible for this discount? From Ontario, Canada, here is a list of qualifiers:
- partner, whether legally married or living together.
- mother, father, or stepparent
- parent or step-parent of a grandchild
- child or stepchild
- biological or adoptive daughter
- descendant, whether grand or step
- female relative of the grandparent's generation
- son-in-law
- daughter-in-law
- father-in-law
- mother-in-law
- sibling
- Siblings who share a parent are called "half."
- Siblings who share a parent through adoption are called "adopted siblings."
Can a car be registered in Ontario under two different names?
The answer is yes, you can own a car with someone else. The relationships between the two parties do not need to be formal. In this case, both names will appear on the license and any other legal documentation, such as a deed or a transfer of ownership.
When selling a car, the title must be transferred.
When selling your car in Ontario, there are a few things you need to do before you start taking offers:
- Details about the vehicle, such as its age, manufacturer, model, body color, engine size, and horsepower, are included in the Used Vehicle Information Package (UVIP).
- Check the Vehicle Identification Number (VIN) on your permit (the "green ownership document") to ensure a match.
- Verify that the car has no outstanding payments. Transferring ownership of a vehicle that has a lien or outstanding debt carries some risk. In the event that the debt is not repaid, the lienholder may repossess the vehicle from either the seller or the buyer.
The Used Car Information Package should always be checked for any liens. When you've settled on a price and found a buyer, you must hand over the UVIP with all of the necessary information filled out.
The Next Step
On the back of the "vehicle portion" of the permit (registration), there is an Application for Transfer that needs to be filled out and signed before it can be transferred to the new owner. The buyer's name and address, the vehicle's mileage, the sale date, and your signature are all required. Don't let go of the "plate" portion of the ownership; it's yours to do with as you please. Some further comments:
- Take off your plates and drive away. Keep in mind that license plates follow the driver, not the car. Keep both the license (ownership) and the plate (a portion of the license). This is required if you wish to transfer your license plates to a different vehicle.
- Send Money When selling a used car privately, the safest and most reliable methods of payment are cash or bank drafts delivered in person. Don't send money via wire transfer or personal check, as these methods are more prone to fraud.
When it comes to coverage and mishaps, why does having a license matter so much?
An insurance claim is only processed and paid to the policyholder listed on the vehicle's registration. Until the new owner completes the paperwork at Service Ontario, the previous owner (seller) of the car retains legal responsibility for it.
Should I sell the car without a contract?
Yes You are engaging in a perfectly legitimate sale. In business, a sales receipt is called a bill of sale. In the case of private sales, it specifies the terms of the exchange between the buyer and seller. It is evidence of the sale of a car and the transfer of ownership. They are evidence of your purchase and a receipt for the sale.
What Consequences Would a Loss of Vehicle Ownership Have?
Sometimes, in the midst of our hectic lives, we lose track of vital paperwork. If your car's title has been lost, stolen, or damaged, visit any Service Ontario location. Bring your driver's license, vehicle identification number (VIN), and proof of insurance. The cost of making them is $32 per unit.
When does an Ontario car title transfer need to be finalized?
A new owner must have the vehicle recorded in their name. six days' time of the acquisition You'll need your proof of insurance and your valid Ontario driver's license when you visit a Service Ontario location to register your vehicle.
Will a gifted car be subject to taxes?
Cars gifted to family members in Ontario are exempt from the province's gift tax. But this is a reality in some countries, including the United States.
Keep in mind that the vehicle will still be registered under your name and that you will be held legally responsible for it until the buyer completes the transfer process at Service Ontario. Make sure to check in with buyers to confirm that they have successfully registered the car in Ontario before transferring ownership. Keep records for future use as well. Before you sell or give away your car privately, talk to your insurance agent to make sure you're covered in case anything goes wrong.
Contextual Articles:
In Ontario, what exactly is a bill of sale for a car?
Selling a car in Ontario: a guide
Questions about auto coverage in Ontario? We've got the answers!

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