Selling a Car After Divorce: Who Owns It and How to Handle the Sale

How to figure out who owns the car and can sell it

Before you can sell a car after divorce, you need to know who legally owns it. The answer depends on how the car was titled before the divorce was final and what the divorce decree says about it now.

If both names are on the title, you both own it equally unless the divorce papers say otherwise. If only one name is on the title, that person owns it. The divorce decree may have awarded the car to one spouse, but the title itself does not automatically update when the divorce is final — you have to change it at the Department of Motor Vehicles.

Check your divorce papers for the section on property division. It will say who gets the car. If it says the car goes to you, you will need to remove your ex's name from the title before you can sell it. If it says the car goes to your ex, they have the legal right to sell it, and you cannot block the sale or claim the money.

Key Takeaways

• The person whose name is on the title owns the car, regardless of what the divorce papers say, until the title is officially changed at the DMV.
• If both names are on the title, you both have to sign the sale documents, even if the divorce decree awarded the car to one person.
• You can remove your ex's name from the title by bringing the divorce decree and both signatures to the DMV, which takes a few weeks.
• If your ex refuses to sign the sale paperwork or title transfer, you may need to go back to family court to enforce the divorce decree.
• A loan on the car complicates the sale because the lender has a claim on the vehicle until the loan is paid off.

Removing your ex's name from the title

If the divorce decree says the car is yours but your ex's name is still on the title, you cannot sell it without their signature. The fastest way to fix this is to go to the South Carolina Department of Motor Vehicles with your ex and the divorce decree. Bring both signatures on the title transfer form, and the DMV will issue a new title in your name only.

If your ex will not go to the DMV with you, you can go alone and bring a certified copy of the divorce decree. Some DMV offices will accept the decree as proof that the car is yours and will issue a new title without your ex's signature. Call your local DMV office first to ask whether they accept divorce decrees for title transfers — the policy can vary by location.

If the DMV will not transfer the title without your ex's signature and your ex refuses to cooperate, you will need to file a motion in family court asking the judge to enforce the divorce decree. Bring the decree and proof that you asked your ex to sign the title transfer. The judge can order your ex to sign or can authorize the DMV to issue a new title without their signature.

What to do if you both own the car and disagree about selling it

If both names are on the title and the divorce decree does not clearly say who gets the car, you both own it. Neither of you can sell it without the other's signature on the bill of sale and title transfer. If your ex refuses to sign, you cannot sell the car on your own.

Your options are to negotiate with your ex — offering them a share of the sale price, for example — or to go back to family court. Ask the judge to clarify the property division or to order your ex to cooperate with the sale. Bring documentation of your attempts to reach an agreement and proof of the car's current value.

Some people in this situation choose to keep the car and use it as leverage to negotiate other parts of the divorce settlement, such as child support or spousal support. That is a decision between you and your attorney.

Handling a car loan during the sale

If you still owe money on the car, the lender holds a lien on the title. You cannot transfer ownership to a buyer until the loan is paid off. The lender's name will appear on the title document.

When you sell the car, the buyer's money goes to pay off the loan first. You receive whatever is left. If the car is worth less than you owe, you are responsible for paying the difference — the buyer does not cover your shortfall.

Contact your lender before you list the car for sale and ask about the payoff amount. This is the exact sum needed to clear the loan, and it changes daily as interest accrues. The lender can tell you how to handle the closing: some lenders allow the buyer to pay them directly at closing, while others require you to pay off the loan before the title transfers.

Dividing the sale proceeds if you both own the car

If the divorce decree does not award the car to either spouse — meaning you are supposed to sell it and split the money — you need to agree on a price and a buyer. If you disagree on the price, either of you can demand that the car be sold at auction or through a dealer, which removes the guesswork.

Once the car sells, subtract the payoff amount (if there is a loan), any sales costs, and the cost of the title transfer. Split what remains according to the divorce decree. If the decree says you split it 50-50, each of you gets half. If it says something else, follow that language.

Keep records of all expenses and the final sale price. If your ex disputes the amount you paid them, you will have documentation to show the judge.

Steps to sell the car once ownership is clear

Once you own the car outright — or once both owners have agreed to sell it — the sale itself follows the normal process. List the car, find a buyer, and sign over the title. The buyer will take the title to the DMV to register it in their name.

You will need the original title document, your driver's license, and the odometer reading. If the loan is not yet paid off, bring proof of the payoff amount so the buyer knows what they are paying toward the lender.

Some buyers will ask you to sign a bill of sale as well as the title. This is a simple document that lists the sale price, the date, and both signatures. It protects both of you by creating a record of the transaction.

What happens if your ex sells the car without your permission

If your ex's name is on the title and they sell the car without your knowledge or consent, they have the legal right to do so — even if the divorce decree says the car is yours. The buyer receives a valid title, and you cannot reverse the sale or claim the car back.

Your remedy is to go back to family court and ask the judge to order your ex to pay you the car's value or to enforce the divorce decree in another way. Bring proof of the car's value at the time of the sale and a copy of the divorce decree. The judge can order your ex to pay you the money or can modify other parts of the settlement to compensate you.

To prevent this, remove your ex's name from the title as soon as the divorce is final, even if you do not plan to sell the car right away.

Frequently Asked Questions

Can I sell the car if my ex's name is on the title but the divorce says it is mine?

No, not without your ex's signature on the title transfer and bill of sale. The title document controls ownership, not the divorce decree. You will need to remove your ex's name at the DMV first, which requires both signatures or a court order.

What if my ex owes me money from the divorce and refuses to sign the title transfer?

You can file a motion in family court to enforce the divorce decree. Bring the decree, proof that you asked your ex to cooperate, and documentation of what they owe you. The judge can order them to sign or can authorize the DMV to issue a new title without their signature.

Do I have to split the sale money with my ex if we both own the car?

Only if the divorce decree says you do. If the decree awards the car to you, the money is yours. If it says you should sell and split the proceeds, you must follow that. If the decree is unclear, either of you can ask the judge to clarify.

What if the car is worth less than what I owe on the loan?

You are responsible for paying the difference. The buyer pays you the sale price, and you use that money plus your own funds to pay off the lender. You cannot transfer the title until the loan is cleared.

Can my ex prevent me from selling a car that is only in my name?

No. If only your name is on the title, you own the car and can sell it without your ex's permission. Your ex's only recourse is to go back to court and argue that the car should have been awarded to them under the divorce decree.