Transferring a car title in Texas is essential to proving ownership and securing the ability to use your vehicle for financial needs, such as title loans. By transferring a car title after purchase, you update the state's records of ownership, releasing the previous owner from liability.
In this guide from Texas Car Title and Payday Loan Services, Inc., we explain how to transfer a vehicle title in Texas. We will also review how to use a car title for a loan in Texas once you own it outright.
Why You Need To Transfer A Car Title In Texas
When getting a car, it is important to transfer the title to your name as soon as possible. If that car title is not transferred to your name, you don't have proof that you actually own the vehicle. This can cause issues for the seller, as they will incur fines for traffic infractions.
It will also cause you problems with the police if you cannot prove that you own the vehicle you are driving. You will have to deal with fines the longer your title remains in someone else's name. Making sure your car title is in your name can also allow you to use it as collateral for a title loan, as long as the car is fully paid off.
Continue reading below to learn the vehicle title transfer process in Texas.
Step-By-Step Guide: How to Transfer a Car Title In Texas
The following is how to transfer a vehicle title in Texas:
1. Receive The Necessary Documents From The Seller
After selling a car, the original owner, whether that is a dealership or a third party, will need to complete the title. This involves providing their signature and listing the date of sale and odometer reading. You will need a fully signed title to complete the Texas title transfer process.
You also want to request the bill of sale from the seller, as it has pertinent information, including:
- Sale price
- Vehicle information (year, make, model, etc.)
- Vehicle identification number
- Buyer and seller’s names, addresses, and signatures
- Date of sale
- Odometer reading
You will also need a Vehicle Inspection report (VIR) for a commercial vehicle or for a vehicle that requires an emissions report. If they don't have it, you will have to get the car inspected yourself. Once you have all of the pertinent documents from the seller, you can proceed to insure the car.
2. Get Texas Liability Insurance
To legally register a vehicle, you must have liability insurance. You cannot drive uninsured vehicles, as it breaks state laws. It’s necessary to protect against financial liability for accidents. Before getting a title transfer, you must have liability insurance, as proof of insurance is required.
We suggest searching around to determine which car insurance company works best for you. Each has its own terms and rates. Where you should get insurance depends on your financial situation and the level of coverage you want.
Once you determine what insurance company you want to work with, follow their process to insure your vehicle. You can now proceed with the Texas auto title transfer process.
3. Get A Title Transfer At The DMV
Transferring a Texas car title requires you to fill out a Form 130-U. This is the essential document for getting a Texas vehicle title transfer. You can either fill it out at home and print it before heading to the DMV or complete the form in person.
Once you’re ready, you can head to the DMV to complete the title transfer process with these documents:
- Original title (signed by the buyer and seller)
- Completed Form 130-U
- Proof of insurance
- A valid state-issued photo ID
- Inspection certificate
You will also have to pay the title fee, which can be $28 or $22 based on your county. There is also a $2.50 registration fee and a 6.25% motor vehicle sales tax. Once you provide your documents and pay the fee, the process is complete. There will now be a 20-business-day processing period before you receive your title.
Once you have completed the Texas auto title transfer, you can use your car title for a loan in Texas. You must ensure the title is lien-free and fully paid off first, but once you do, you can get quick title loans in Texas for emergency expenses.
What Are The Requirements For Title Loans In Texas?
You can use your car title for a loan in Texas when faced with emergency expenses, such as medical bills, home repairs, and unexpected travel costs. Quick title loans in Texas are available when you meet our simple requirements. You will need to prove you are at least 18 years old and own your car outright, but a lien-free title loan is easy to get approved for with just a few items.
Here are the required items for a title loan in Texas:
- A valid state-issued photo ID that displays your full name and date of birth
- A lien-free vehicle title in your name
- Your vehicle for a quick inspection
Gather these items before beginning the title loan process. Once you have everything you need, you can begin the approval process online with our simple inquiry form.
How To Get Title Loans In Texas
An auto title loan in Texas has a quick, efficient approval process that lets you qualify the same day you apply. You only need to do a few steps, all of which you can do on the same day if you are prepared. Applying online takes just a few minutes, and you can visit us in person at one of our Texas title loan stores to get approved in 30 minutes.
Here is the approval process for quick title loans in Texas:
- Fill out our online request form
- Discuss title loan details on the phone with a loan representative
- Bring your required items to the nearest Texas store location
- Have your items verified and your vehicle inspected for its value
- If approved, sign the loan agreement to finish the process
- Receive your title loan later the same day or by the next business day
Title Loan FAQs
How much can you borrow with a Texas title loan?
You can get approved for up to $15,000 with a title loan. However, that is the maximum amount, and not everyone will get approved for that much. Your title loan amount will depend on your car’s value, as determined by an in-person inspection. We will look at your car’s age, make, model, condition, and mileage to determine its value.
Can you get a title loan with someone else’s car title?
The name on your ID must match the lien-free vehicle title you use. If your car title is in another party’s name, you must follow the steps above to get a title transfer. Only when you own the car outright and have the title in your name can you seek a title loan.
Are title loans available for bad credit?
Since title loans are secured using collateral, your credit score isn’t relevant to approval. We base your approval on your car’s value. You can get a title loan for bad credit. We also won’t report our loans, so you can borrow a title loan without affecting your credit score.
Get A Title Loan In Texas – Borrow Up To $15,000 Today!
Transferring your car title in Texas is straightforward and essential for legal ownership and financial flexibility. Once your title is in your name, consider applying for a title loan to cover urgent expenses. Texas Car Title and Payday Loan Services, Inc. can help with our fast, efficient process. Fill out our online title loan form, and get approved in person in less than 30 minutes!
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.
