3 ms·

What does floating the title mean? Is it never registering it in your own name and just letting the next guy do it?

• tenpaiyomi 8y ago
  Correct. Many states have laws where if you sell over a certain number of vehicles a year, you're considered a used car salesman and must register and get licenced. In addition, if you register the title in your name, you have to pay taxes in most states, just to turn around and sell it to somebody else who also has to pay the same taxes.
  • camhenlin 8y ago
    Some states also take into account intent. Meaning that you need a dealers license and insurance just to purchase and sell a single vehicle, if the original intent of purchasing the vehicle was to sell it. In my state, Oregon, for example, the DMV has agents watching craigslist, facebook, autotrader, etc. who go test drive private party cars under cover and ask the question, "So, why are you selling?" where answering that question incorrectly (along the lines of, "oh I bought it to fix up and make a few bucks") will net you a several thousand dollar fine.
    • dsfyu404ed 8y ago
      That's such a scummy enforcement tactic since it's literally going out of its way to screw over people who are taking initiative to try to make money. It's not like they're flagging transactions at the paperwork stage.
      • ataturk 8y ago
        Welcome to America! The governments are all cash-strapped and there are thousands of government employees who need to make work in order to justify their existence. It's another form of welfare where people work but don't produce much. As soon as you do things legally, like get a dealer's license, your ability to profit on small scale disappears. Catch-22.