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State of Connecticut Department of Revenue Services Taxpayer Services Division 25 Sigourney Street Hartford CT 06106-5032 (Revised 12/02) CERT-112 Exempt Purchases of Meals or Lodging by Exempt Entities.

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While some car owners consider selling the car for a dollar instead of gifting it, the DMV gift car process is the recommended, not to mention more legitimate, way to go.

When your loan is paid off, your lender will send the lien release to the DMV. The DMV or other state office will then send the updated title to you. This process can take longer than in a title-holding state. However, you may not have to submit much, if any, paperwork.

The cost to transfer a title is $15.50 plus sales/use tax on purchase price. Purchase price must be within $2,000 of fair market value. Sales tax is not charged on gift transactions as long as DOL gift requirements are met. License subagents charge an extra fee of $12.00 to provide licensing services to your community.

Each time you make a timely payment on your car loan, a positive payment history is added to your credit report. Over time, these payments improve your credit score. Paying off a car loan closes the account, so you will no longer be able to build a positive payment history.

Once you pay off your loan, your lienholder will send you an official release of lien letter. You'll take that to your state BMV or DMV (or, in some cases, to your local city/town clerk's office) along with your current title and apply for an updated title.

Once you've paid off your loan, your lien should be satisfied and the lien holder should send you the title or a release document in a reasonable amount of time. Once you receive either of these documents, follow your state's protocol for transferring the title to your name.

Avoid owing more than your car is worth Paying your car loan off early reduces the risk of being upside down on a car loan. If you have a long loan term and your car depreciates in value during that time, you can end up owing more than the car is worth.

Washington-titled vehicles / vessels Proof of payment in Washington may be required. A statement of gift is required from the donor and does not need to be notarized. "Gift" written on the title as the purchase price is acceptable as the statement of gift.

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© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232
Form Packages
Adoption
Bankruptcy
Contractors
Divorce
Home Sales
Employment
Identity Theft
Incorporation
Landlord Tenant
Living Trust
Name Change
Personal Planning
Small Business
Wills & Estates
Packages A-Z
Form Categories
Affidavits
Bankruptcy
Bill of Sale
Corporate - LLC
Divorce
Employment
Identity Theft
Internet Technology
Landlord Tenant
Living Wills
Name Change
Power of Attorney
Real Estate
Small Estates
Wills
All Forms
Forms A-Z
Form Library
Customer Service
Terms of Service
DMCA Policy
About Us
Blog
Affiliates
Contact Us
Privacy Notice
Delete My Account
Site Map
All Forms
Search all Forms
Industries
Forms in Spanish
Localized Forms
Legal Guides
Real Estate Handbook
All Guides
Prepared for You
Notarize
Incorporation services
Our Customers
For Consumers
For Small Business
For Attorneys
Our Sites
US Legal Forms
USLegal
FormsPass
pdfFiller
signNow
airSlate workflows
DocHub
Instapage
Social Media
Call us now toll free:
1-877-389-0141
As seen in:
  • USA Today logo picture
  • CBC News logo picture
  • LA Times logo picture
  • The Washington Post logo picture
  • AP logo picture
  • Forbes logo picture
© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232