Message Font: Serif | Sans-Serif
No. of Recommendations: 3
If you do donate your car, be sure to save the receipt and do what you can to get the title out of your name or show your state's DMV that the car is no longer yours

I don't think this is an issue here in Maryland. When you donate the car to a charity, you sign the title over to them. Then you remove the tags and return them to the Dept of Motor Vehicles (within 24 hrs) and get a receipt, showing car disposed of and tags returned. Then notify your insurance company to get off that hook. I would assume that most states have a similar procedure. But MarkOYoung's right - you do have to cross the t's and dot the i's, lest something come back to bite you. I do know a fellow who donated a car to a charity and was subsequently visited by the state police because the car had been used for some nefarious purpose. Fortunately he had what he needed to establish that the car was no longer his'n.

Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.