If you sell your vehicle privately or through a motor trader, you should notify the Driver Vehicle Licensing Agency (DVLA) about the sale using the appropriate section of the registration certificate (V5C).
It's important to tell DVLA as soon as you sell your vehicle or you'll continue to be responsible for paying the vehicle tax or penalties for the non-payment of it. You may also receive mail relating to motoring offences committed in the vehicle. When DVLA have been informed, you should receive an acknowledgement letter confirming that you're no longer responsible for the vehicle.
There are some simple steps you can take to protect yourself from becoming a victim of crime when selling your vehicle:
The buyer will want to see the registration certificate (V5C) to allow them to check the vehicle's details. You may not be able to sell your vehicle without one. If you've lost it, you can get a replacement from DVLA.
You should always keep a separate note of the buyer's name and address. You should tell the DVLA using the appropriate section of the registration certificate (V5C).
If you don't have a V5C you can still inform DVLA that you no longer have the vehicle. In order to do this you must write to DVLA, Swansea, SA99 1AR quoting the vehicle registration mark, make and model, exact date of sale and name and address of the new keeper.
However, you should note that DVLA records won't be complete until the new keeper tells DVLA in writing. Until they do, the police may need to contact you if they have to make enquiries about the vehicle.
If you transfer your vehicle to a motor trader (see note*), and you're in possession of a registration certificate (V5C) you should tell the DVLA of the sale using the V5C/3 section (yellow) and pass the rest to the trader.
(*For this purpose motor trader means motor dealer, a motor vehicle auctioneer, a motor vehicle insurer with whom you have settled a claim for total loss, a motor vehicle dismantler (scrap yard) or a finance company with a financial interest in the vehicle).
You should only tell DVLA that a vehicle has been scrapped if you actually break up the vehicle or destroy it yourself. If the vehicle has been written off, the insurance company will notify DVLA on your behalf.
Entering the vehicle's mileage in the box provided will help in the fight against vehicle 'clocking'. This is where the vehicle's odometer (speedometer) is turned back to fraudulently reduce the number of miles that the vehicle is recorded as having travelled.