Selling or giving away your car involves more than just handing over the keys. You need to officially transfer ownership through the DVLA to avoid legal hassles, parking fines sent to your address, and tax problems down the road.
Understanding how to transfer car ownership properly protects both you and the new owner. The good news is that transferring ownership is actually pretty straightforward when you know the right steps.
This guide walks you through everything needed – the forms, documents, fees, and exactly what happens at each stage to make the whole process smooth and stress-free.
Read Also: How to Sell a Car Privately in the UK
Reasons Why People Transfer Ownership of a Car
People transfer car ownership for many different reasons. Understanding these common situations helps you know when and how to handle the transfer properly.
Selling Your Car
This is the most common reason for ownership transfers. When you sell your vehicle to someone else, you must legally transfer ownership so they become the registered keeper and you’re no longer responsible.
Gifting to Family Members
Many people give cars to their children, partners, or relatives as gifts. Even though no money changes hands, you still need to complete the official transfer process with the DVLA properly.
Part Exchange at Dealerships
Trading in your old car when buying a new one requires ownership transfer. The dealership becomes the new keeper and handles most paperwork, but you must still complete your part of the V5C.
Company Vehicle Changes
Business owners often transfer cars between personal and company ownership for tax reasons. Fleet managers also transfer vehicles when employees change or when selling company cars back into private ownership
What is Required For the Transfer of Car ownership?
Transferring car ownership requires specific documents and information from both the seller and buyer. Here’s exactly what you need to complete a successful car ownership transfer:
Required Documents and Information
- V5C Registration Certificate (V5C logbook)
- Valid photo IDÂ
- Proof of addressÂ
- Vehicle registration number
- New keeper’s details
- Sale agreement or receiptÂ
- V5C/2 new keeper supplementÂ
- Access to the Internet or a post office location
How to Transfer Car Ownership Online - Fastest Method
Transferring car ownership online through the DVLA website is quick, simple, and takes just minutes to complete.
Steps Required for Car Ownership Transfer Online
Follow these six important steps to transfer vehicle ownership online:
Step 1: Gather Your Documents
Get your V5C logbook ready with the 11-digit reference number and collect the new keeper’s full name and address details.
Step 2: Go to the DVLA Website
Visit GOV.UK and search for “tell DVLA you’ve sold your vehicle.” Avoid third-party websites that charge unnecessary extra fees.
Step 3: Enter the Required Information
Fill in your V5C reference number, vehicle registration, your keeper details, and the new keeper’s complete information accurately.
Step 4: Complete the Declaration
Confirm the sale date and agree you’re no longer the registered keeper. This transfers all legal responsibility immediately.
Step 5: Submit and Receive Confirmation
Click submit to get instant on-screen confirmation. DVLA emails you a receipt and sends the buyer their V5C.
Step 6: Give the New Keeper Their Section
Tear off the green V5C/2 slip from your logbook and hand it to the buyer as temporary ownership proof.
Transferring Car Ownership by Post
Prefer doing things the traditional way? You can transfer car ownership by posting your V5C to the DVLA.
Steps for Car Ownership Transfer by Post
If you prefer to transfer car ownership by post, below are the steps required:
Step 1: Complete Section 6 of the V5C
Fill in the “new keeper details” section on your V5C logbook. Write the buyer’s full name and complete address clearly in capital letters.
Step 2: Fill in Section 8 (Seller’s Declaration)
Complete your details as the seller, including the sale date and sale price. Sign and date this section to confirm the transfer.
Step 3: Remove the V5C/2 Green Slip
Carefully tear off the green V5C/2 new keeper supplement along the perforated line. Give this slip to the buyer as their temporary proof.
Step 4: Send the V5C to DVLA
Post the completed V5C logbook to:Â
DVLA, Swansea, SA99 1BA.
Use recorded delivery for tracking and proof that it arrived safely.
Step 5: Buyer Completes Section 10
The new keeper fills in section 10 of their green slip with their details and sends it to DVLA at the same address.
Step 6: Wait for Confirmation
DVLA processes postal applications within four weeks. The new keeper receives their updated V5C logbook directly by post at their address.
Transferring Ownership of a Car Between Family Members in the UK
Giving your car to family members follows the same DVLA process, even though no money changes hands legally. Just follow these steps:
Step 1: Complete the V5C Logbook
Fill in the new keeper details (your family member’s information) in section 6 and your details in section 8 of the V5C.
Step 2: Decide on Sale Price Entry
You can write “gift” or “£0” in the sale price box since no money changed hands. Both options are acceptable to DVLA.
Step 3: Give Them the Green Slip
Tear off and hand the V5C/2 green slip to your family member as their temporary proof until the new logbook arrives.
Step 5: Submit to DVLA
Transfer ownership online using the V5C reference number or post the logbook to DVLA Swansea. Online is faster and gets instant confirmation.
Step 6: Consider Insurance and Tax
Remind your family member to arrange their own car insurance immediately and check if road tax transfers or needs renewing soon.
Step 7: Keep Records
Both parties should keep written records of the transfer date and any agreements made, especially useful for insurance or future reference.
Legal Requirements for Car Ownership Transfer in the UK
You have to comply with certain rules and laws of DVLA before you can transfer your car. This is all that the law says you need and must do:
V5C Logbook
In order to sell a vehicle legally you have to fill out the paperwork. The most important document is the V5C logbook, or vehicle registration certificate. Ensure that every fact in this paper is correct and up-to-date.
Road Tax and MOT
Before the transfer, ensure that the vehicle is taxed and has a valid MOT certificate. You should renew them by law in case they have expired.
Insurance
There must also be valid insurance on the vehicle. Call your insurance company and tell them that the ownership has changed and make some changes to the policy.
Ensure No Outstanding Finance
Provided that you still owe a loan on the car, you will have to pay off the finance deal before handing over ownership. It is not worth risking to purchase a car with an outstanding debt as it can result in a car repossession and the inability to pay can even make it more complex.
Read also: How To Check Vehicle Weight By Registration | Simple Ways
Conclusion
Transferring car ownership in the UK involves several steps and considerations, and it’s essential to follow the legal requirements, complete the necessary paperwork, and inform relevant authorities and insurance providers.
Whether you’re selling or gifting a family member (your wife, children, or other relatives), understanding the car transfer process ensures a smooth transition of ownership.
FAQ About Transferring Car Ownership
How do I transfer ownership of my car to a family member?
To transfer ownership of your car to a family member, the fastest way is to use the GOV.UK site. You will need to provide your V5C logbook’s 11-digit reference number and the details of the new owner. Once you provide the green slip to tax the car, you will receive a confirmation email, and a new V5C will be sent to the family member.
Are there any age restrictions for transferring ownership to a young family member?
Yes, there is an age restriction as a minor under 18 cannot legally and directly own a property in the UK. To transfer car ownership to such a person, you must set up a trust where a mature trustee holds the car’s legal title for the child until they turn 18.
Can I transfer the car tax when transferring vehicle ownership to a family member?
No, there’s no car tax transfer for transferring car ownership to family members in the UK. However, the family member receiving the car must buy new road tax under their own name straight away and cannot use your old tax
