Buying or selling a vehicle
Information for buyers
The seller should sign off in the appropriate section on the front of the title and fill in the purchaser's information. The odometer information should be completely filled out, as well as the purchase date and selling price fields. The seller of the vehicle should remove the license plate from the vehicle at the time of the transaction. It is the responsibility of the purchaser to obtain valid registration to legally drive the vehicle.
To register and plate this vehicle, the purchaser will need to show proof of ownership and proof of insurance at any Indiana Bureau of Motor Vehicles license branch. The cost to apply for a new title is $15, plus a seven percent sales tax based on the purchase price indicated on the front of the title.
At the time of purchase, the buyer should confirm the location and possession of the title. If all initial payments have been made, car dealers and private sellers are required to deliver the title to purchaser within 21 days of the date of the sale.
If a licensed car dealer cannot deliver the title at the time of sale, the dealer is required to provide the purchaser with a 21-day affidavit stating that the dealer will deliver the title for the vehicle within 21 days of the date of sale.
If you do not receive the title within 21 days, you must write the dealer and request delivery of the title. After receipt of your written request, the dealer has an additional 10 days to provide the title. If you have not received the title and choose to return the vehicle, the vehicle must be in the same or similar condition as when it was purchased. Upon return, the dealer is required to provide you with a refund of the purchase price, plus tax; finance expenses; insurance expenses; any other amount paid to the dealer.
Dealers have a duty to disclose vehicles with a salvage or rebuilt history. Indiana's salvage law applies to vehicles, motorcycles, semis and recreational vehicles that are no older than seven-model-years from the current model year. If you are buying from a car dealer or a person who sells at least five vehicles a year, the seller has a legal duty to inform you of the previous salvage or rebuilt condition in writing before you purchase the vehicle.
If you are not informed in writing about a purchased vehicle's salvage or rebuilt condition, or if you purchase a vehicle that should have "salvage" or "rebuild" on its title, you may file a lawsuit to recover your actual damages and any attorney fees and costs.
Information for sellers
The seller should sign off in the appropriate section on the front of the title and fill in the purchaser's information. The odometer information should be completely filled out, as well as the purchase date and selling price fields.
If no money was exchanged in the transaction, simply indicate "GIFT" in the purchase price box.
The seller of the vehicle should remove the license plate from the vehicle at the time of the transaction. The seller does not need to return the license plates or registration. However, he or she may be eligible for an excise tax refund. To apply for an excise tax refund, please visit any Indiana license branch.
If all initial payments have been made, car dealers and private sellers are required to deliver the title to purchaser within 21 days of the date of the sale. If a licensed car dealer cannot deliver the title at the time of sale, the dealer or seller is required to provide the purchaser with a 21-day affidavit stating that the dealer will deliver the title for the vehicle within 21 days of the date of sale. If the purchaser has not received the title within 21 days, he or she must write the dealer and request delivery of the title. After receipt of the written request, the dealer or seller has an additional 10 days to provide the title.
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