Before you pay for the car
You have viewed the car, checked its history, agreed a price and decided to buy it. There is still one important stage left: completing the sale properly.
The handover is where the payment, V5C, receipt, tax, insurance, keys and documents come together. Taking a little time to do it properly gives both buyer and seller a clearer record of what happened and helps avoid problems afterwards. This guide explains the process for a typical private used-car sale in the UK.
Before transferring the money, make one final check that the vehicle and paperwork match what you have agreed to buy. Check the registration number, make, model and other important vehicle details against the V5C registration certificate, commonly called the log book. Compare the VIN on the vehicle with the VIN shown on the V5C.
GOV.UK recommends checking a vehicle’s details, MOT history and V5C before buying.
You should also confirm exactly what is included in the sale. Depending on the vehicle, this might include:
- Main and spare keys
- Service history and invoices
- Owner's manuals
- Locking wheel nut key
- Accessories included in the advert
- Any warranty or other paperwork that has been agreed
If the seller has promised something important as part of the deal, it is sensible to have that agreement in writing.
Where can I find the VIN?
The VIN — Vehicle Identification Number — is the vehicle's unique identification number. Its exact location varies between vehicles. Common places to look include the bottom of the windscreen, around the driver's door opening or door pillar, and a stamped or fixed location within the vehicle's body or engine bay.
The VIN is also recorded on the V5C. Compare the VIN displayed or stamped on the vehicle with the VIN on the V5C. If they do not match, do not simply assume it is a paperwork mistake. Stop and establish why before proceeding with the purchase. For a fuller walkthrough, read the Complete guide section on VIN and paperwork.
How should you pay for a used car?
There is no single payment method that suits every sale, but you should aim to create a clear record of the transaction.
Bank transfer is commonly used for private vehicle purchases and can provide a useful payment trail. Before transferring a large amount, check the account details carefully and make sure you know who you are paying. Check your bank's transfer limits before travelling to collect the car: a large or unusual transaction may require additional checks by your bank.
Be particularly cautious if you are unexpectedly asked to send the money to a different person or bank account. Do not allow pressure from the seller to replace the checks you intended to make before buying.
Get a written receipt
Both the buyer and seller should keep a written record of the transaction. A useful vehicle purchase receipt can record:
- Registration number
- Make and model
- VIN
- Mileage at handover
- Purchase price
- Date and time of the sale
- Payment method
- Buyer's name and address
- Seller's name and address
- Keys, documents and other items handed over
Both parties can sign the receipt and keep a copy. A receipt does not replace the V5C or the requirement to notify DVLA. It provides a useful separate record of the transaction and what was agreed.
What happens to the V5C when you buy a car?
The V5C records the vehicle's registered keeper. It should not be treated as proof of legal ownership on its own.
For a normal private sale where the vehicle is staying in the UK, the seller must tell DVLA that the vehicle has been sold and provide the buyer's full name and address. The seller should give the buyer the green new keeper slip from the V5C. GOV.UK explains the seller's responsibilities.
Do not simply take the entire V5C and assume you can deal with the change of keeper later.
Change the registered keeper with DVLA
DVLA provides an online service for telling it that a vehicle has been sold, transferred or bought. Where practical, completing the process while the buyer and seller are still together can make the handover clearer for both sides.
Use the official DVLA keeper-change service. The seller still needs to give the buyer the green new keeper slip.
DVLA’s published service can change the registered keeper and send a log book to the new keeper. Keep the green slip and your purchase paperwork safely until your new V5C arrives. If it does not arrive, check the current GOV.UK V5C guidance before taking the next step.
Does the seller's road tax transfer to the buyer?
No. Vehicle tax does not transfer with the car. The buyer needs to tax the vehicle themselves before using it on the road.
If you have just bought the vehicle, you can use the reference number from the green new keeper slip to tax it. GOV.UK says a vehicle must still be taxed even where its tax class means there is nothing to pay.
Do not assume that because the seller had taxed the car, you can simply drive away using their remaining tax.
Make sure you are insured before driving away
Changing the registered keeper and taxing the car does not arrange insurance for you. You must have appropriate insurance before using the vehicle on the road. GOV.UK’s buying process separately requires a buyer to insure and tax the vehicle before using it.
Ideally, arrange your insurance before collection so you are not trying to organise cover after you have already paid for the car. Do not assume an existing insurance policy automatically covers you to drive a newly purchased vehicle; check the actual cover with your insurer.
When should the keys be handed over?
There is no need to make the handover complicated, but both sides should know what is happening. A straightforward private sale might look like this:
Final vehicle and paperwork checks → payment completed and confirmed → receipt signed → DVLA change of keeper completed → new keeper slip handed to buyer → buyer taxes the vehicle and confirms insurance → keys and remaining documents handed over.
The precise order can vary, but the important thing is that neither side loses track of the money, vehicle or paperwork.
Before you drive away
Take a few minutes for one final check.
GOV.UK says a newly purchased vehicle must be taxed before it is driven, or declared off the road (SORN). Read the current official service guidance.
Be careful with V5C photographs and reference numbers
A buyer needs to see the V5C and check that its details match the vehicle. However, GOV.UK specifically warns sellers not to share photographs or copies of the V5C, or its document reference number, with prospective buyers because this information can be misused.
Check the document carefully, but do not unnecessarily photograph, publish or distribute sensitive V5C information. GOV.UK's seller guidance explains the risk.
What if the seller doesn't have the V5C?
This should make you more cautious. GOV.UK’s current guidance says that if a vehicle has been bought without a log book, the buyer needs to apply for a vehicle registration certificate using form V62. The missing V5C should not simply be dismissed as unimportant.
If the seller cannot produce the V5C, establish why before deciding whether to proceed. Read GOV.UK’s current guidance on getting a V5C.
What if the new V5C doesn't arrive?
Keep the green new keeper slip and your purchase paperwork safe. GOV.UK currently says to contact DVLA if it has been 4 weeks since you applied for a V5C. If you have not received it after 6 weeks and have not notified DVLA, you may have to pay for a replacement. Check the latest GOV.UK V5C guidance, as processes can change.
The simple rule
The purchase is not finished just because the money has left your bank account. Before driving away, make sure the payment, receipt, DVLA keeper change, new keeper slip, vehicle tax, insurance, keys and agreed paperwork have all been dealt with.
A calm, organised handover takes only a little extra time and gives both buyer and seller a much clearer record of the transaction.