Selling a Sled that had a bank note in Michigan

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Baldwin49304

New member
Hi all,

I had a sled that had a few thousand dollars left on the bank note and a friend of mine went in to my bank with me and he paid the sled off with a cashier's check and it's his now minus the paperwork. does anyone know how I exchange ownership with the Sec State in this situation? I realize I could go to the Sec State and ask but nobody likes standing in line for an hour at the Sec State....

I've heard transferring sleds in Michigan is a very minimal process but haven't ever sold one here.

Thanks in advance.
 
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Baldwin49304

New member
Yes I got paperwork from the bank but he has it now. Do he and I need to go to the Sec State together or can he do it alone with the paperwork?
 
B

Baldwin49304

New member
Also, I was just reading the other thread about selling to a family member.

I have another sled with the same amount owed to the bank and my dad is interested in picking up the note on that one. Is that tax free in Michigan or is that just a Wisconsin thing?
 
G

Go Fast or Go Home

Active member
In Michigan you simply sign the back of the registration as sold and hand it to the buyer.

I also get a photo copy or a photo of the transaction as proof in case the new buyer rides it illegally without registering the sled. If not, it will show up as yours and you would be responsible if damage was caused and you can not prove you sold it.

Don~
 
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E

eao

Active member
The state is on to buyers and sellers cheating on taxes and they will come after you if you lie about the selling price. Be darn sure there is nothing in writing the proves what you were paid, check, money order etc.

https://www.michigan.gov/sos/0,4670,7-127-1585_1619-25461--,00.html

Seller's Responsibilities - Selling a Vehicle

When selling your vehicle, accompany the purchaser of the vehicle to a secretary of state branch office to assure the title is transferred into your purchaser's name. If you cannot do this, maintain a record of the sale for not less than 18 months. A "record of the sale" can be either a photocopy of the reassigned title or a form or document that includes the year, make, vehicle identification number, name, address, driver license number, and signature of the person to whom the vehicle is sold and the purchase price and date of sale of the vehicle.
Under Michigan law, a seller is not liable for any damages or a violation of law that subsequently results from the use of ownership of the vehicle by the purchaser if the owner maintains proof of sale as noted above.
As seller, complete your part on the title assignment by entering:

  • The vehicle mileage
  • The selling date
  • The selling price
  • Your signature
Note: If there is more than one owner named on the front of the title, all owners must sign.
Examine your title for any liens (bank loans). If there is a lien it must be released by the lienholder in the appropriate signature space, or you may attach a lien termination statement from the financial institution.
Have the buyer enter their name, address, and signature in the buyer's section of the title assignment.
Do not make any changes on the title. Any alterations will void it! This includes erasing, scratching out, use of white-out, etc.
Also Important:

  • Keep your license plate! Never leave it on the vehicle or let the buyer borrow it. You can transfer the plate to another vehicle you may own or purchase.
  • The buyer may drive the vehicle home without a license plate using the most direct route if they carry the assigned title from the seller.
  • Cancel your insurance coverage on the vehicle sold.
 
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