How To Transfer a Car Title to a Family Member in Wisconsin in 2025
What Does Transferring a Car Title to a Family Member in Wisconsin Mean?
Transferring a car title to a family member in Wisconsin signifies the formal process of shifting legal ownership of a vehicle from one relative to another. This procedure requires completing specific documentation to prove that the vehicle’s ownership has changed. The Wisconsin Department of Transportation (WisDOT) oversees vehicle title transfers, ensuring all information is accurate and that both parties adhere to the applicable regulations.
Unlike a transfer between unrelated parties, gifting or selling a vehicle to a family member involves certain exemptions and potential reductions in fees, depending on how the parties structure the transaction. The title certificate must be updated to reflect the new owner’s legal possession of the vehicle. Without changing the title, the new owner may not lawfully register, insure, or operate the vehicle. Many families choose to transfer titles to consolidate assets, assist new drivers, or reduce registration costs where eligible.
When transferring a title, it is important that all documented names match correctly, including any middle initials or suffixes. Additionally, if the vehicle still carries a lien, the lender must be notified and provide a lien release, or approve adding the new family member’s name to the title. Once the title transfer is completed, the newly titled owner may be required to adjust car insurance policies as necessary to reflect updated ownership status.
Eligible Family Members for Title Transfers in Wisconsin
The State of Wisconsin typically allows title transfers among immediate family members, though details may vary based on state guidelines. In most cases, any of the following relationships should qualify for the streamlined family-related title transfer:
- Parents to children or children to parents
- Siblings (brothers and sisters)
- Grandparents to grandchildren or grandchildren to grandparents
- Spouses
- Domestic partners, where recognized by state law
Extended family members, such as aunts, uncles, nieces, and nephews, may be required to follow standard transfer procedures if they do not fall under immediate family definitions. However, the Wisconsin Department of Transportation might offer reduced fees for certain close family transfers, especially in the context of a gift. Confirming eligibility before initiating the title transfer will help avoid unnecessary delays and complications.
When determining eligibility, official proof of family relationship may be required. Supporting documentation could be marriage certificates, birth certificates, or other legal documents proving the nature of the relationship. Ensuring that both parties have these records available will facilitate a smoother transfer process.
How To Transfer a Car Title as a Gift to a Family Member in Wisconsin
Gifting a vehicle involves transferring ownership without a formal exchange of money. The process is straightforward, but requires accuracy and diligence:
- Obtain the Title Certificate:
- Locate the current title certificate in the original owner’s name. Ensure that the vehicle has no outstanding liens or that any lien holders have provided a lien release.
- Complete the Assignment on the Back of the Title:
- The original owner (donor) must fill in their name, address, and the odometer reading at the time of transfer.
- Under “purchase price,” the donor can list the vehicle as “gift” if instructed to do so by relevant guidelines or forms.
- Sign the Title:
- Both the donor and the recipient should sign the title as indicated.
- Signatures must be legible, and each signer should include the accurate date.
- Submit the Application:
- The new owner completes a Wisconsin Title & License Plate Application (Form MV1).
- Any applicable fees, such as title fees, may be due; however, a gifted vehicle might be exempt from sales tax under qualifying circumstances.
- Finalize the Transfer:
- Submit all required documentation and fees to the Wisconsin Department of Transportation.
- Once approved, a new title bearing the recipient’s name will be mailed or otherwise issued.
It is recommended to retain copies of all paperwork, including the signed title and completed forms, for personal records. Additionally, the new owner should ensure that their insurance coverage is effective by the time they operate the vehicle.
How To Transfer a Car Title as a Sale to a Family Member in Wisconsin
When the vehicle is sold for an agreed-upon price, the sale must be disclosed correctly. Although the transaction is within the family, the process is comparable to selling to any individual but with some simplified steps or tax considerations:
- Negotiate Purchase Price and Payment:
- Decide on the purchase price, noting that a fair market valuation might still be relevant if required by the Wisconsin Department of Revenue.
- Fill Out the Title Certificate:
- The seller completes the assignment section on the back of the current title.
- Include the purchase price and the vehicle’s odometer reading.
- Both the seller and buyer sign and date the relevant fields.
- Prepare and Submit Forms:
- The buyer completes the Wisconsin Title & License Plate Application (Form MV1).
- If a lien still exists, ensure a lien release is provided or that the lien holder is notified.
- Pay Fees and Taxes:
- Even within family sales, there may be applicable title fees, sales tax, or other relevant fees. Eligibility for a sales tax exemption or reduced fees may vary depending on the familial relationship.
- Update Vehicle Registration:
- The new owner is responsible for updating or acquiring new license plates, unless existing plates are transferred pursuant to state regulations.
Any errors in mileage statement or date of sale could lead to delays or penalties. Therefore, it is best practice for both parties to double-check the title before submission.
What Documents Are Needed To Transfer a Car Title to a Family Member in Wisconsin
Family members must gather certain documents to ensure a valid transfer of ownership. These documents help confirm both the identity of the parties involved and the legitimacy of the transaction:
- Original Vehicle Title: Must be free of liens or include a lien release statement from the lender if the vehicle was financed.
- Wisconsin Title & License Plate Application (Form MV1): Used to record the new owner’s details.
- Valid Identification: Both the buyer (family member) and the seller should have a valid driver license or state-issued photo ID.
- Proof of Relationship (if required): Some exemptions or fee reductions may require documentation to show familial relationship.
- Odometer Disclosure: Required to accurately report the vehicle’s current mileage. Modern titles may have a separate odometer disclosure statement printed on the back.
- Proof of Insurance (if requested): While not always mandatory at the moment of title transfer, having insurance to cover the new owner’s interest in the vehicle is highly recommended before operating it.
Ensuring that each document is completed without any errors reduces the chance of rejection or extended processing times. The Wisconsin Department of Transportation issues official guidelines detailing each item’s significance, including instructions on where specific information must be placed on each form.
How To Transfer a Car Title to a Family Member Online in Wisconsin
Wisconsin offers an online system for certain title transactions to promote efficiency and customer convenience. The process typically involves:
- Reviewing Eligibility:
- Not all transfers, especially if a lien is involved or the title holder is out of state, can be completed online. Verify online transfer eligibility using the information on the WisDOT website.
- Gathering Required Information:
- Vehicle Identification Number (VIN)
- Plate number (if transferring plates)
- Driver license or ID number for verification of buyer and seller (where applicable)
- Payment method for online fees (e.g., credit card or direct bank transfer)
- Accessing the Online Portal:
- Navigate to the Wisconsin eMV Public system or other designated WisDOT online service.
- Follow prompts to begin a title transfer transaction.
- Completing the Electronic Application:
- Accurately fill in the buyer’s and seller’s personal details.
- Properly input the odometer reading and indicate the nature of the transfer (gift or sale).
- Submitting Payment and Documentation:
- Pay any required title or registration fees online.
- Print any confirmation pages and retain them for personal records.
The new title will be mailed to the recipient once the Department processes the application. If errors are identified during the electronic filing, the system may request additional documentation or direct the user to complete the process using paper forms.
What’s the Cost To Transfer a Car Title to a Family Member in Wisconsin?
The total cost of transferring a car title depends on various factors, including whether the vehicle is being gifted or sold, and the type of relationship between the parties. Typical fees include:
- Title Fee: This fee is paid regardless of the relationship between the parties. The standard rate is set by the Wisconsin Department of Transportation.
- Sales or Use Tax: A transfer between qualifying family members may be exempt from sales tax or subject to a reduced rate, but this exemption does not apply to all familial relationships.
- Plate Transfer Fee: If the seller chooses to transfer license plates to the new owner, a small plate transfer fee may apply, depending on eligibility.
- Additional Fees: If the transfer requires expedited processing or specialized plates, extra charges may be assessed.
It is advisable to consult the Wisconsin Department of Transportation’s current fee schedule to avoid any surprises. In general, gifting a vehicle to a direct family member can significantly reduce the overall costs if the transfer meets the criteria for tax exemption.
Useful Links
- Wisconsin Department of Transportation:
https://wisconsindot.gov - Wisconsin DMV Online Services:
https://wisconsindot.gov/Pages/online-srvcs/online.aspx