What a California Vehicle Title Can Tell You

The title is the legal proof of who owns a car. Reading it carefully before you hand over money can save you from some of the worst outcomes in a private sale. California calls it a Certificate of Title, and most people call it the pink slip.

Who owns the car

The registered owner's name appears on the title. The person selling should be that person, or have proper authority. If the name does not match the seller's ID, stop and ask why. "I'm selling it for my cousin" is how many buyers end up without a usable title.

Some titles list two owners. How they are listed (for example, "and" versus "or") can affect whether one person can sell alone. If you see two names, ask the DMV how the signatures need to look.

Liens and the legal owner

If there is a loan on the car, the lender is listed as the legal owner or lienholder. The seller can usually not give you clean ownership until the loan is paid and the lien is released. Buying a car with an open lien without a release means the lender can still have a claim on it. Ask for proof of payoff and release, or arrange the payoff as part of the sale with the lender's involvement.

Title brands

A title can carry a brand that tells you the car has a history. You may see terms like salvage, junk, or other designations that note that an insurer declared it a total loss or that it was rebuilt. Branded cars can be worth far less and can be hard to insure or finance. Some can be good buys at the right price if the repair work is documented and inspected. Make sure the listing states the status and the price reflects it. If a title status is not clear, ask the DMV what it means.

The VIN and other details

Compare the VIN on the title with the VIN on the car, usually visible through the windshield at the driver's side and on the door jamb sticker. They must match. Check make, model and year too. Also look at the odometer reading recorded on the title, if any, and compare it with the dash.

Signatures and what the seller must do

On a California title, the seller signs in the designated area and the buyer signs and prints their name. Do not accept a title that is already signed by an owner in the middle of a chain of unregistered "sellers," sometimes called a floated or open title. It is a classic way to dodge fees and responsibility, and it can leave you unable to register the car.

If the title is lost

A seller who lost the title can apply to the DMV for a duplicate. It takes time and a fee. Do not buy a car on a promise that the title is "coming." Wait for it.

Where to verify

For the current forms, fees and rules, use the California DMV site. Sellers' claims about a title should be checked, not assumed. On Sac Auto List, the title status shown on a listing is the seller's own statement.