Texas Paperwork for Selling a Car for Cash

The short version

Selling a car in Texas isn't hard, but the paperwork matters, because it's what gets your name off the vehicle. Do three things and you're covered: sign the title over to the buyer, give them a filled-out Form 130-U, and file a transfer notice with the state within 30 days. Then take your plates off. That's the whole game for a normal cash sale on a car, truck, SUV, or van.

We've been buying cars around Houston for over 25 years, and we've watched plenty of folks stress over this part. Here's what actually needs to happen, in order.

Signing over the title

The title is the big one. On the back of your Texas title there's an assignment section. You sign your name there as the seller, print the buyer's name, and write in the date of sale and the odometer reading. Fill it out in ink and don't leave blanks. A properly assigned title is what lets the new owner go put the car in their name.

A few things trip people up:

• Don't scratch out or write over a mistake. Messing up a line can void the title and send you off for a certified copy.
• The name on the title has to match the person signing. If a spouse or relative is listed too, both owners usually need to sign.
• If there's a lien on it (you had a loan), the lender has to release it before you can cleanly sign the car over. A payoff letter or a released title handles that.

Sell to us and we walk through the title with you right there, so nothing gets filled in wrong.

Form 130-U, in plain terms

Form 130-U is the Application for Texas Title and/or Registration. It's the form the *buyer* takes to the county tax office to title the car in their name, and it needs the sale price written on it. You'll sign it as the seller, and what's on it should match the title.

You don't file the 130-U yourself on a normal sale, the buyer does that at the county within 30 days. But you want it filled out right at the time of sale so nothing comes back to surprise you. When we buy your car, we handle the 130-U on our end. Curious what we take? Here's what we buy.

The one form that protects you: VTR-346

This is the step most private sellers skip, and it's the one that can bite you. The Vehicle Transfer Notification, Form VTR-346, tells the TxDMV you don't own the car anymore. File it within 30 days of the sale.

Here's why it's worth the five minutes. Once it's on file, you're off the hook for parking tickets, red-light tickets, and toll charges the new owner runs up. Say they never bother to title the car and then start blowing through tolls. The VTR-346 is your proof the car was already gone. Skip it, and those bills can land right back on you.

Easiest way is online at the TxDMV site (search "Vehicle Transfer Notification" on TxDMV.gov). You can mail the paper form instead if you'd rather. Either way you'll need the VIN, the date of sale, and the buyer's full name, address, and phone number, which is one more reason to write it all down at the sale. Texas now rejects the notice if that buyer info is missing.

Plates and sticker stay with you

In Texas the plates belong to you, not the car. Before it leaves, pull your plates off. You've got a few ways to go with them:

• Move them to another vehicle you own in the same class
• Hang onto them for your next vehicle
• Deface the front and toss them so nobody can reuse the number

The registration sticker rides with the plates. The buyer gets their own plates and registration when they title the car. Taking yours means nothing tied to that number can come back around to you.

Bill of sale and lost titles

Texas doesn't require a separate bill of sale on a standard sale, but writing one up is smart for both sides. Keep it simple: year, make, model, the VIN, the sale price, the date, the odometer reading, and both names and signatures. The TxDMV flat-out recommends sellers hang onto written records of who they sold to and the sale details. Keep a copy for yourself.

Lost your title? Happens all the time. Request a certified copy from the TxDMV with Form VTR-34, Application for a Certified Copy of Title. There's a small state fee, every owner on record has to sign, and you include a copy of your photo ID. Once it comes in, that certified copy works just like the original for signing the car over.

Something we hear a lot: "I don't have my title, can you still buy it?" Usually, yes. In Texas we can often close a sale with your ID and current registration, and we help sort out the title end of it. Call and confirm your case, since every situation is a little different.

Ready when you are

That's the paperwork. Sign the title, complete the 130-U, file your VTR-346, and grab your plates. Do those four and you've protected yourself the way Texas intends.

Rather skip the hassle? That's our whole job. We pay cash on the spot, pickup or tow is always free whether it runs or not, and we bring the paperwork to you. See how it works or get an offer and we'll take it from there.

Rules and fees do change, so double-check the current forms and specifics with the TxDMV before you file.