Discussions

When buying a used car privately from a person who didn’t have it registered in his name.  
What are the risks and how do I ensure that the title is clean ?

I’m not sure that you can because you need the paper that comes in the registration and it has to be signed by the owner. Best bet is to call an insurance broker or MPI tomorrow and see what they say.

You need to have the Transfer of Ownership Document (which is on the back of the registration card), signed by the previous registered owner. If the person you are buying the car from has the TOD from when he/she bought it, they just need to go to MPI and register the transfer to them (which may have a $15 fee attached). They can then get a new TOD and transfer it to you.  
 
Be aware that if they bought the car and never registered it, there may be sales tax owing, which will have to be paid by them before MPI will pony up the transfer documents. There will also be sales tax owing again when you go to register the vehicle.  
 
If the car has never been registered since MPI brought in the TOD regulation (around 2005) getting a TOD will be a headache. It can be done, but you need to decide whether the car is actually worth the a$$ache. Better for the seller to do the legwork and just hand you the signed TOD.

The Banks used to check to make sure there is nothing owing on the vehicle because if the loan wasn’t paid off you would be responsible.

I 'm not sure how the MPI transfer of ownership works, but you can check Manitoba Personal Property Registry online for any registered liens. It costs $10 and you would need a credit card to pay it. You can search the VIN number, under the Serial Numbered Goods section. It will tell you if there are any current liens on the vehicle.

Ah yes the old PST ripoff where you pay tax over and over again every time the same vehicle sells.  
 
Also remember if you sold a vehicle within the last 6 months and replaced with a new vehicle you can claim the tax back or portion of it depending on what you sold yours for and bought the new one for. You will have to ask for the tax form obviously as MPI or any of the brokers won't tell you this otherwise. Oh and also the Government with drag their feet for anywhere from 3 - 6 months to process it and issue you a refund cheque. Have fun!

Yes, that is what's normally used for transferring ownership.  
 
I'd tread very lightly on this one. I don't know all the ins and outs, but still...caveat emptor.  
 
Do your homework and get info from the MPI.

Technically, if the guy selling it never registered it, he could go to mpi, and take ownership of it for $15 as stated above. Taking ownership does not require that any tax be paid. He simply owns it and can then transfer it to you using his new ownership document.  
If you are going to pay him for the vehicle that is still listed in someone else's name, you need a bill of sale signed by the registered owner(s). And TOD signed by the owner(s) listed on the registration document. BE CAREFUL, if there are 2 names listed under "registered owner(s)" make sure both owners sign. If you don't have both signatures you CANNOT legally take ownership of the vehicle and you have to go through a lengthy process where mpi attempts to find the owner. It is a huge pain, so make sure you have all the signatures you need! I have been through this before! There is nothing more frustrating than paying for a vehicle that you can't register and drive!

If you are buying the car from one you need a TOD which is a transfer of ownership. Even of the person you are buying it off didn't register it, he needs to get ownership transferred to him. Costs him $15.  
 
As far as a lien search, you can do it through this site. Costs $10 I think. Does only search by province but that is usually sufficient.  
 
www.ppsa.ca/ppsacaV3/ppsa_search/ppsa_search1.jsp?gclid=EAIaIQobChMIuYH5xOGH4QIVgojICh21fAK5EAAYAiAAEgKW2_D_BwE