What to Do With License Plates When Selling a Car

The Division of Motor Vehicles issues vehicle registration plates, also known as license plates, in the United States.

Each state requires these plates for official identification and security reasons, and they must be attached to all vehicles. Depending on the state, 50 different license plates are available, ranging from standard to personalized plates. They also have different rules and regulations in place for keeping or discarding license plates when you sell a car.

Planning on selling a car with plates still attached? This guide is for you if you’re looking for answers to these questions:

• What should I do if I sell my car with license plates?
• How can I turn in old license plates?
• What would happen if I sold a car and left my license plate on?
• What should I do with a license plate when selling cars?
• What would happen if you left a license plate accidentally and the car was used in a crime?

Ready to find out what’s legal and illegal, or what law applies to your state regarding plate transfer? Read on.

What to do with old plates after selling a car

Wondering what to do with license plates after selling a car? Well, you want to research what you should do with the plates before selling your vehicle. This is because, in some states, you must leave them on the car for the next owner. In other parts of the USA, you need to remove them before you transfer ownership, and the buyer needs to register the car with new plates from the DMV. So, what to do with license plates when selling a car depends on the state you live in.

Accurately informing your state that you've sold your car or transferred your license plates is critical because it informs them that you're no longer responsible for or associated with your old vehicle. According to most state laws, you should remove the plates before handing over the car to the new owner. You must keep them on in some states when you sell new plates. Some will allow you to keep the plates and then transfer them to a new car.

Generally, depending on the state, the DMV will either let you keep the old plates, mandate you to return the plates, or advise you to destroy them.

Here’s an example of three states with differing rules on old license plates.

What to Do With Old License Plates in Florida

You must remove the license plates before transferring them to your new vehicle. If you aren’t using the plates, return them to Florida Highway Safety and Motor Vehicles. Keep in mind that failing to return it could result in your driver's license being suspended.

Please remember that license plates belong to the state and must be returned. Florida license plates should be disposed of by returning them to a motor vehicle service center with a request to cancel and recycle the plate.

What to Do With Old License Plates in Ohio

License plates belong to the person who owns them and can be kept, destroyed, or transferred to another vehicle. The Ohio Bureau of Motor Vehicles can help you transfer them to a new vehicle.

You can transfer a license plate to a new car if it is in the same class as your old one, but be sure to remove your old plates first. You can also contact the Ohio Bureau of Motor Vehicles to cancel your registration and surrender your license plates.

What to Do With Old License Plates in Illinois

The Secretary of State does not require the old and unused license plates to be returned. However, the Illinois Secretary of State's office has launched a program to recycle expired or obsolete license plates. Residents can recycle their old license plates by bringing them to a Secretary of State location and depositing them in tamper-proof bins.

How to Get Rid of License Plates

With all these different state-to-state regulations, you may be wondering, “how do you get rid of license plates?” Specific instructions on how to recycle license plates should be available from your state's vehicle licensing department or DMV. In essence, you have three choices.

First, you can personally go to your local DMV to return old license plates.

Second, you can mail the old plates to your vehicle licensing office. Each state's website should include a mailing address for returning old license plates.

Third, place them in the aluminum recycling bin at your local recycling center. When disposing of old license plates, be sure to remove all the month and year decals. It's also recommended to damage the plates so that no one else can use them. This includes bending or cutting them up to the point that if someone tried to put them in their car, a police officer would pull them over and ask them about it.

Keep in mind that if someone steals your license plate and puts it on their vehicle, the police will contact you if the vehicle is involved in a crime.

When I Sell a Car, Do the License Plates Go With It, or Should I Remove Them?

Most states mandate that when you sell your car, you must remove the license plates before the deal is done. You then have the option to turn in license plates to unregister a car or destroy it when not needed.

While a few states treat license plates as parts of the car, they should remain even after selling. Here’s a list that can serve as your quick reference on what to do with your car’s plates after selling it.

So let’s look at one state as an example.

Should I Remove License Plates When Selling Cars in Texas?

When selling a car in Texas, you must remove the license plates from the vehicle. Before handing over the keys, remove the plates and the registration sticker. The license plate can be transferred to another vehicle you own for free. The County Clerk will issue you a new registration sticker after you transfer your plates. If you are no longer going to use the plates, you must surrender them to your local Texas tax assessor or collector.

Ok, let’s look at the rest of the field and see which state requires removing plates.

You should remove license plates when selling your car if you sell it in these states. Note that we’ve included the Federal District of Columbia.

• Alabama
• Arkansas
• Colorado
• Connecticut
• District of Columbia
• Florida
• Georgia
• Idaho
• Illinois
• Indiana
• Iowa
• Kansas
• Kentucky
• Louisiana
• Maine
• Maryland
• Massachusetts
• Michigan
• Mississippi
• Missouri
• Montana
• Nebraska
• Nevada
• New Hampshire
• New Jersey
• New Mexico
• New York
• North Carolina
• North Dakota
• Ohio
• Oklahoma
• Oregon
• Pennsylvania
• Rhode Island
• South Carolina
• South Dakota
• Tennessee
• Texas
• Utah
• Vermont
• Virginia
• Washington
• West Virginia
• Wisconsin
• Wyoming

Some states, like Virginia, don’t obligate car owners to return their plates when removing them from the car. However, they must render them useless or in safekeeping for their own protection.

You don't need to remove license plates when selling your car if you sell it in these states:

• Alaska
• Arizona
• California
• Delaware
• Hawaii
• Minnesota

Can I Use My Old License Plate on My New Car?

Personally, I would like to keep my license plate when I buy a new car, and I’m sure many of you would too. Thankfully, most states allow you to use your old license plates on new vehicles.

As long as your new vehicle is of the same class, you should be able to transfer the plates. As a result, you won't be able to transfer your old car's license plate to your new pickup truck. You can even apply the remaining registration credit to your new vehicle. You can cancel the registration and surrender the plates to your state's DMV if you keep them but decide not to use them.

Here’s a breakdown of each state’s ruling on transferring plates.

How to Cancel License Plates 

Each state has a different process for how to unregister a car. This step is essential when selling your car because it releases you from any obligations to the vehicle.

But for most states, when it comes time to sell your car, all you have to do is take off your license plates. Then, immediately take them to the DMV, turn them in, and notify the DMV that your vehicle has been sold. The car will no longer be associated with you in the state's system, and your registration will be canceled.

If you sell your car, you may be required to surrender your license plate and cancel your registration in some states. This informs the DMV that you no longer own the vehicle, allowing you to avoid paying taxes and other fees associated with it. The next portion of this article shows which states require you to return license plates.

Online services make cancellation easier; for instance, these two states have online portals for remote processing.

How to Cancel Car Registration in California

The license plates stay with the car even after you sell it. Personalized plates can be transferred to a new car through the California DMV by filing a Notice of Transfer and Release of Liability form. Both forms can be accomplished using the online services of the DMV.

You should cancel your registration if your car is not running anymore, and you have no wish to have it repaired, or if you don’t have another vehicle to transfer it to.

How to Cancel License Plates in Illinois

You must complete the Illinois Secretary of State Vehicle Registration and/or Title Revocation Request form to cancel plates and unregister your car. Include important details such as vehicle identification number and other registration info. Create a copy of the form for reference and send the original letter via email or snail mail.

There’s no need to return the plates, but it is advised that you destroy and recycle them for your own protection.

What States Require You to Return Your License Plates?

In some states, you can transfer your license plate to another vehicle you buy or already own when you sell your car. You can return your plates to your local DMV office if you no longer need them.

Returning your old plates is mandatory in some states, while in others, they allow you to keep them as long as you make sure that it’s not used for crime. You also have the option to destroy your old license plates or have them recycled.

States that require you to return your license plates are Alaska, Connecticut, Delaware, District of Columbia, Florida, Iowa, Kentucky, Maine, Maryland, Mississippi, Montana, Nebraska, Nevada, New Jersey, New Mexico, New York, North Carolina, North Dakota, Oklahoma, Pennsylvania, Rhode Island, South Dakota, Virginia, West Virginia, and Wyoming.

States that don’t require returning your license plate are Alabama, Arizona, Arkansas, California, Colorado, Georgia, Hawaii, Idaho, Illinois, Indiana, Kansas, Louisiana, Massachusetts, Michigan, Minnesota, Missouri, New Hampshire, Ohio, Oregon, South Carolina, Utah, Tennessee, Texas, Vermont, Washington, and Wisconsin.

How Long Do You Have to Turn in Your License Plates?

You may be required to surrender license plates to your local DMV if you no longer need them. Here’s a table to guide you on when to surrender your plates, depending on where you registered your vehicle.

What Happens If You Don't Return License Plates?

For states that don’t require you to return your plates, just make sure that the plates are expired, inactive, or canceled. You own the plates, so you have the freedom to do whatever you want as long as you take the necessary precaution.

You are required to surrender your plates when you sell your car in Alaska, Connecticut, Delaware, District of Columbia, Florida, Iowa, Kentucky, Maine, Maryland, Mississippi, Montana, Nebraska, Nevada, New Jersey, New Mexico, New York, North Carolina, North Dakota, Oklahoma, Pennsylvania, Rhode Island, South Dakota, Virginia, West Virginia, and Wyoming.

Failure to surrender your license plate when you sell your vehicle will result in a driver’s license suspension. When you surrender your plate, new vehicle registration will be printed, indicating that the old license plate is canceled.

When you surrender your plates, your local DMV receives a notice from insurance companies that your insurance has been canceled. As a result, you may be audited to provide proof of valid liability insurance from the date of cancellation. If it is determined that you were uninsured, you will be penalized.

What to Do If You Forgot to Take License Plate Off Sold Car

Many states require you to remove your plates; if it is a requirement, it’s imperative. In some states, like Illinois, if you sell a car with old car license plates still on, they can suspend your license. If you didn’t do your research before you sold the car and made this mistake, your best (and only) option is to contact the buyer and ask them to remove the plates and send them back to you.

In some cases, you might be able to cancel the plate through the DMV. You may get fined, but it’s better than having your license suspended. In order to do this, you will need the necessary paperwork that proves you sold the car (like a bill of sale).

Also, forgetting to remove your plate can lead to “title jumping” if the buyer brings the car to another state. When the title “jumps” from you to the buyer without updating the records, it’s a felony in all states, and it's something you could avoid by taking off your plates before selling. If you failed to remove the plates, ask the buyer to remove them for you and send them back.

Can I Actually Sell My Car License Plates?

If you’re wondering what to do with old car license plates after you get rid of your car, you may be wondering if you can sell them. The answer depends on which part of the US you live in.

For states requiring you to return your old plates, it would be illegal to sell them.

But if you are not required to surrender your plates, selling can be an option. Generally, the older the plate, the better the condition, and the smaller the population of the state or other issuing jurisdiction at the time the plate was issued, the more the plate will probably be worth. You should also do the necessary paperwork to cancel or unregister the unwanted plates before you get rid of them. If a plate you sold was attached to a car used to commit a crime, you could be liable if the plates are still active.

If you’re going to post your plates on eBay, here’s their policy regarding selling license plates. “Collectible license plates are allowed as long as they are expired and at least 3 years old or as allowed by law”.

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