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Tennessee License Plate Lookup /Transfer a Car Title to a Family Member

How To Transfer a Car Title to a Family Member in Tennessee in 2025

What Does Transferring a Car Title to a Family Member in Tennessee Mean?

Transferring a car title to a family member in Tennessee refers to the legal process of changing ownership of a motor vehicle from one party to another, specifically within the same family. A valid car title signifies who officially owns a vehicle, and this title must be updated when the vehicle’s ownership changes. When the new owner is a family member, the process typically involves specific allowances or exemptions under Tennessee law to streamline the transfer.

In many cases, individuals wish to transfer ownership of a vehicle for inheritance reasons, as a gift, or in exchange for financial compensation. Whatever the underlying motive, Tennessee law expects all parties to complete the necessary documentation and adhere to state regulations. Failing to properly record the new ownership can result in penalties, challenges with future vehicle registration, and confusion concerning liability or insurance coverage.

The process typically involves completing sections on the title itself, ensuring that the transfer is properly documented by the state, and submitting the required documents and fees. In addition to legal compliance, a correct title transfer also offers a secure paper trail, assuring both parties that ownership was rightfully passed. Once the title is transferred, the new owner may also need to register the vehicle and secure appropriate license plates if they are not already in possession of a valid plate for that vehicle.

Eligible Family Members for Title Transfers in Tennessee

In Tennessee, certain members of one’s family can be considered eligible for title transfers with potential fee waivers or streamlined procedures. Generally, immediate relatives are the main focus, though the definition of “eligible family member” can vary based on specific regulations and local office interpretations. The following are commonly recognized categories:

  • Spouses
  • Children (including stepchildren and legally adopted children)
  • Parents or legal guardians
  • Siblings (depending on county-level administration)
  • Grandparents and grandchildren

It is advisable to check directly with your county clerk’s office or the Tennessee Department of Revenue to confirm whether extended relatives, such as in-laws or cousins, might be included. In certain instances, family members inheriting a vehicle can qualify for simplified title transfers, often requiring a specific affidavit or inheritance paperwork to be completed.

The reason for defining eligible family relationships is to ensure that individuals claiming reduced taxes, fees, or other benefits are genuinely related as intended by the relevant state statutes. Some transfers may not be considered “familial” if the relationship is too distant under Tennessee law.

How To Transfer a Car Title as a Gift to a Family Member in Tennessee

When transferring a car title as a gift in Tennessee, the vehicle passes ownership without traditional purchase or sale agreements, focusing instead on a no-cost exchange of property. To formalize this transaction:

  1. Complete the Assignment of Title:
    • On the back of the existing title, locate the section for the transfer of ownership.
    • Enter the family member’s full legal name, address, and relevant identifying information.
    • Specify the relationship or note “GIFT” in the space for purchase price if required.
  2. Fill Out Additional Gift Affidavits If Applicable:
    • Some counties might require a gift affidavit to confirm that no payment was exchanged.
    • Provide all details, including the gift giver’s and receiver’s personal information, vehicle description, and signatures.
  3. Obtain Signatures and Notarization:
    • The individual gifting the car (transferor) and the family member receiving it (transferee) must sign the relevant sections.
    • Certain counties and financial institutions insist on notarizing the signatures. Notarization helps prevent fraud and confirms the identity of the signer.
  4. Verify Supporting Documents:
    • Ensure you have all legal identification for both parties (e.g., driver’s license).
    • If there is a lien on the vehicle or a loan outstanding, additional steps may be necessary to clear or include the lienholder’s information.
  5. Submit At the County Clerk’s Office:
    • Present the completed title, any affidavits, and proof of liability insurance to the local county clerk.
    • Pay any necessary fees, and receive a new title issued in the family member’s name.

This procedure helps document a legitimate gift transfer, ensuring the vehicle’s new owner is recorded by the state.

How To Transfer a Car Title as a Sale to a Family Member in Tennessee

When the car is being sold rather than gifted, the process is similar but includes additional details on purchase price and potential sales tax obligations. The steps typically include:

  1. Completing the Title Assignment:
    • Fill out the “buyer” and “seller” sections on the title, listing your family member as the buyer.
    • Include the sale price, date of sale, and odometer reading if required.
  2. Drafting a Bill of Sale:
    • In many Tennessee counties, a bill of sale is needed if there is a transaction of money.
    • This document should contain:
      • The name and address of both parties
      • The sale date and purchase price
      • The vehicle’s make, model, year, and Vehicle Identification Number (VIN)
      • Signatures of both parties
  3. Remitting Sales Tax (if applicable):
    • In certain cases, close relatives may be exempt from specific taxes, but this exemption can vary.
    • The buyer may be responsible for paying any required sales tax when registering the vehicle, unless an exemption applies.
  4. Clearing Liens:
    • If the seller still owes money on the vehicle, they should coordinate with the lienholder to ensure that the title is clear or that the lienholder’s interest is appropriately documented.
  5. Registering the Vehicle and Paying Fees:
    • The family member buying the vehicle will need to visit the county clerk’s office to file the completed title and pay the necessary registration and processing fees.
    • They should also verify they have valid license plates for the vehicle or arrange for new plates if the old ones are non-transferrable.

This formal sale agreement approach provides a stable legal foundation, ensures tax obligations are met, and properly updates the vehicle’s official ownership records.

What Documents Are Needed To Transfer a Car Title to a Family Member in Tennessee

A streamlined transfer to a family member can still require accurate documentation. Most counties in Tennessee will request proof of ownership, personal information, and verification of any financial obligations. Often, the following items are requested:

  • Current Vehicle Title:
    • Must be free of errors or alterations that raise concerns over authenticity.
  • Odometer Disclosure Statement (if applicable):
    • Federal and state law requires the accurate mileage to be declared for vehicles under a certain age.
  • Valid Identification:
    • Both the transferrer and the transferee may need valid driver’s licenses or government-issued photo IDs.
  • Proof of Insurance:
    • The new owner must generally show current liability insurance meeting Tennessee’s minimum coverage.
  • Gift Affidavit or Bill of Sale (depending on the nature of the transfer):
    • Gifting typically requires a simple affidavit, while a sale typically needs a more detailed bill of sale.
  • Lien Release Documents (if necessary):
    • If a lien is noted on the title, a lien release form or statement from the lender may be required.
  • County-Specific Forms:
    • Some offices request additional forms, especially when the transfer is between certain family members, or if the vehicle is inherited.

Filing the correct paperwork aligns with Tennessee’s legal requirements, reduces the risk of processing delays, and confirms the rightful ownership transfer.

How To Transfer a Car Title to a Family Member Online in Tennessee

At present, electronic services for completing a title transfer online may be limited. Some counties in Tennessee are introducing or refining digital platforms that enable vehicle owners to initiate title transfers electronically. Where available, the process may involve:

  1. Logging On to the County’s Online System:
    • If the county clerk offers an electronic portal, both parties might be required to create accounts.
  2. Filling Out Online Forms:
    • Specific details about the vehicle (VIN, make, model, year) and information regarding both parties must be accurately entered.
    • You may need to upload digital copies of documentation (e.g., driver’s license, lien release).
  3. Submitting Payment:
    • Online transfers typically include the option to pay certain fees with credit or debit cards.
  4. Mailing or Presenting Physical Title:
    • Even if the initial transfer is done online, the original paper title may need to be mailed to the clerk’s office or delivered in person.
    • Some counties may issue a digital acknowledgment, but you must confirm final procedures with your local office.
  5. Receiving the New Title:
    • Once processed, the county clerk will send the new title to the family member’s address.
    • If the new owner requires updated license plates, they should request them according to the online system’s instructions or in person at the clerk’s office.

Contacting the local county clerk is the best approach to verify which services are currently available online. Incomplete digital submissions or missing documents often necessitate follow-up steps at a physical office location.

What’s the Cost To Transfer a Car Title to a Family Member in Tennessee?

The cost of transferring a car title in Tennessee varies based on the nature of the transaction, specific county requirements, and the relationship between the transferor and transferee. Typical costs may include:

• Title Transfer Fee: A set fee for issuing a new title in the family member’s name.
• Registration Fee: If the vehicle’s registration needs to be renewed or re-established, there is an associated fee.
• Sales Tax (if not exempt): This may be calculated on the vehicle’s fair market value or the declared sales price, depending on Tennessee’s rules and whether any family exemption applies.
• Notary Fees: Some offices require notarized forms, which may incur an additional cost.
• Online Service Fees (if applicable): Certain counties that offer online processing may add a small convenience fee for electronic payments.

In some familial transfers, particularly those involving immediate family or certain inheritance scenarios, the transaction may be exempt or partially exempt from sales tax. However, verification with the county clerk or the Tennessee Department of Revenue is crucial to avoid misunderstandings. Each county can also have additional local fees, so speaking directly with local authorities ensures you have the most accurate cost breakdown.