How to Transfer Vehicle Ownership in the State of Maryland

Getting rid of an old car in Maryland is not as simple as just giving it away. When you sell your car, there are procedures in place in the state of Maryland to ensure that the title transfers along with the vehicle ownership. The process provides peace of mind and assurance in knowing you will not be held fiscally responsible for any tickets or accidents involving the car once the vehicle is no longer in your possession because it has been sold.

Instructions

1

Remove the lien, if it is not already removed. Contact the lienholder for a letter stating the lien is paid and releasing the holder's interest in the car. File the letter from the lienholder or a Notice of Security Interest Filing with the department of motor vehicles, showing the lien is paid even though it is still on the title. Request a lien release from the department.

2

Sign and date the title in the space marked "Seller." Use the date of the sale. Write down the odometer mileage on the title in the space provided. File an Odometer Disclosure Statement if there is no place to write the odometer mileage on the title.

3

Request the buyer sign and date the title in the spot marked "Buyer."

4

Write a bill of sale for the transaction. Include the sales price of the vehicle and the sale date. Have both parties sign the document.

5

Notarize the bill of sale in the following situations: The vehicle is under 7 years old; the price of the vehicle is more than $500 over its book value; or the buyer wants to use the sales price to pay the excise tax.

6

Copy all documents. Give the originals to the buyer. Place your copies in a file for record-keeping purposes.