Moved to new state, buying new car; what to do first?

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dylphil21-1997
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Moved to new state, buying new car; what to do first?

Post by dylphil21-1997 » Fri Nov 08, 2019 10:43 am

Some background, I'm going from CT (No-Title State) to NC.

I'm scrapping my old car as it is gradually degrading.

So to get your license in NC you need to hold NC car insurance.

So i figure I go buy the car from dealership, insure it right there, and then take my insurance and old license and get that updated?

Will the car be registered by the dealership? (Even though I'm not licensed in this state yet?

And when do I cancel registration on old car??

Thank you in advance!

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RickBoglehead
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Re: MOVED TO NEW STATE, BUYING NEW CAR; WHAT TO DO FIRST?

Post by RickBoglehead » Fri Nov 08, 2019 10:48 am

If the old vehicle is already scrapped, would your auto insurance be cancelled? If not, you can follow the directions on the following page:

https://www.ncdot.gov/dmv/help/moving/P ... dents.aspx

If it's already gone, you simply figure out what car you are buying, call your insurance company to bind coverage, go pickup the vehicle, and then head to the registry to change your driver's licensed.

In most states, the dealer will take care of title and registration (you pay, they do the work).

You have 60 days to get a new driver's license. There is no big rush.
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Re: Moved to new state, buying new car; what to do first?

Post by Jack FFR1846 » Fri Nov 08, 2019 11:04 am

That's a very strange requirement.

So a person entering the state of NC who doesn't own a car and has no plans to own a car is required to get a new license in 60 days but if they don't own a car, can't get a license. What do they do in that case? Just arrest the person for catch 22?
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dylphil21-1997
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Re: Moved to new state, buying new car; what to do first?

Post by dylphil21-1997 » Fri Nov 08, 2019 11:13 am

Jack FFR1846 wrote:
Fri Nov 08, 2019 11:04 am

So a person entering the state of NC who doesn't own a car and has no plans to own a car is required to get a new license in 60 days but if they don't own a car, can't get a license. What do they do in that case? Just arrest the person for catch 22?
To have a drivers license, one must hold at least the bare minimum liability insurance. There's something called non-owner insurance but obviously I'm trying to avoid having to buy that just to then go start insurance on a new (to me) car

HomeStretch
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Re: Moved to new state, buying new car; what to do first?

Post by HomeStretch » Fri Nov 08, 2019 11:25 am

You do need to let CT know that the car was scrapped and to return the license plates. Not sure if you can do this online (and mail in plates) or if you need to do this in person at the DMV. Doing so cancels the car registration, updates your town/city so you aren’t billed for automobile property taxes any more, and helps support your case that you are no longer a CT resident, if applicable, for income tax purposes.

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dylphil21-1997
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Re: Moved to new state, buying new car; what to do first?

Post by dylphil21-1997 » Fri Nov 08, 2019 11:27 am

HomeStretch wrote:
Fri Nov 08, 2019 11:25 am
You do need to let CT know that the car was scrapped and to return the license plates. Not sure if you can do this online (and mail in plates) or if you need to do this in person at the DMV. Doing so cancels the car registration, updates your town/city so you aren’t billed for automobile property taxes any more, and helps support your case that you are no longer a CT resident, if applicable, for income tax purposes.
Is it necessary to do that before I start this whole process?

rich126
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Re: Moved to new state, buying new car; what to do first?

Post by rich126 » Fri Nov 08, 2019 11:40 am

This probably doesn't answer your question but in my case I was moving from one east coast state to a western state. My current car insurance company was only east coast based and wasn't authorized (licensed, whateveR) to provide insurance in my new state. I couldn't cancel my existing insurance until after my old state received my license plates.

What I did was to contact an insurance company in the new state, told them what I needed, they provided me an email that I printed (declarations page with the insurance start date and some other info) and took to the new state's DMV/MVD/whatever acronym is used and got my car registered there. Then with the new license plate on, I could send back the old plates/tags to my old state and cancel my insurance in that state.

States do things differently and it is hardly customer friendly.

Ideally you should have one license and one registration and it should work everywhere in the USA. The only thing that should change when you move states is the amount and where the fees go (i.e., if I move from MD to GA, then the fees would go to GA). It is just a huge waste of people's time to change licenses and plates every time you move. One guy worked for several years in one state and never changed anything. Obviously risking some penalties although he did own a home back in the "old" state. I've changed my registration but haven't changed my license since I needed additional documents for the new IDs/licenses that we now need.

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RickBoglehead
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Re: Moved to new state, buying new car; what to do first?

Post by RickBoglehead » Fri Nov 08, 2019 11:43 am

dylphil21-1997 wrote:
Fri Nov 08, 2019 11:13 am
Jack FFR1846 wrote:
Fri Nov 08, 2019 11:04 am

So a person entering the state of NC who doesn't own a car and has no plans to own a car is required to get a new license in 60 days but if they don't own a car, can't get a license. What do they do in that case? Just arrest the person for catch 22?
To have a drivers license, one must hold at least the bare minimum liability insurance. There's something called non-owner insurance but obviously I'm trying to avoid having to buy that just to then go start insurance on a new (to me) car
You're scrapping your car in CT, then moving to NC. Until you buy your new car, what do you plan on driving?

Do you plan on getting the new car within 60 days of moving to NC? If yes, you have zero issue here.

Identify car to buy. Call insurance company, get it covered, they email or fax proof. Pickup car. Change driver's license to NC within the 60 days.
Avid user of forums on variety of interests-financial, home brewing, F-150, PHEV, home repair, etc. Enjoy learning & passing on knowledge. It's PRINCIPAL, not PRINCIPLE. I ADVISE you to seek ADVICE.

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Watty
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Re: Moved to new state, buying new car; what to do first?

Post by Watty » Fri Nov 08, 2019 12:06 pm

I once bought a car in a new state when I did a cross country job relocation.

I was paying cash and one thing I ran into was that the dealership would not take an out of state personal check from the other side of the country even though an in state personal check would have been fine. I don't recall the details but they may not have even been willing to take an out of state cashiers check. I ended up having my employer help me get a check they would accept.

I would also expect that being in the middle of a move and new job might also complicate the process of getting a car loan.

Car dealerships are cautious about identity theft since they have been burned on that so you being from out of state will raise lots of red flags.

The last car I bought I financed through my credit union for tax reasons(long story) but the dealership also had me fill out a credit application as a backup in case the credit union financing did not come through. Part of the process was to answer some very obscure questions about my credit history that the credit bureau provided but they were so obscure that I was not able to answer them. One was about which street I had lived on an they used the street of an apartment I had only lived in for about six months about 25 years ago that I had totally forgotten about. Later on I realised they were asking about that street and even then I was not sure if it was 105 St. or 107 St. without looking that up.

I ended up having to provide additional ID so I brought my passport in the next day. If you have a passport also take that into the car dealership since that might help you.

Anyway be sure that you have a good way to pay for the car and make sure that your credit reports are unfrozen. Even with a personal check they may want to pull your credit report to make sure you are not a deadbeat.

You will likely also need an address in the new state to register your car since that may vary by which city and county you will be living in.

StealthRabbit
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Re: Moved to new state, buying new car; what to do first?

Post by StealthRabbit » Fri Nov 08, 2019 12:16 pm

as a 'thrifty' person...
I would buy a car from a Sales Tax free State BEFORE moving to NC. (NH or DE are nearby options). Check NC rules, but my state requires you to own and register a car 60 days before moving to our state (otherwise you would have to pay Sales tax (9% here)

When scrapping a registered vehicle, You sign and file a DMV document with your state. (usually your title has a transfer form attached)

Definitely buy a used car from a state that has no RUST issues (NC / non coastal)

I have vehicles registered in several different states, and they all have +/- and lots of rules. Comply!

You can set up an LLC (in a separate state) to own / register / insure your vehicles. There is an entire industry to do that for expensive titled / registered vehicles (Airplanes, boats, RV, collector cars...). Do what best suits you and your objectives / needs. Don't commit tax fraud!

HomeStretch
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Re: Moved to new state, buying new car; what to do first?

Post by HomeStretch » Fri Nov 08, 2019 12:43 pm

dylphil21-1997 wrote:
Fri Nov 08, 2019 11:27 am
HomeStretch wrote:
Fri Nov 08, 2019 11:25 am
You do need to let CT know that the car was scrapped and to return the license plates. Not sure if you can do this online (and mail in plates) or if you need to do this in person at the DMV. Doing so cancels the car registration, updates your town/city so you aren’t billed for automobile property taxes any more, and helps support your case that you are no longer a CT resident, if applicable, for income tax purposes.
Is it necessary to do that before I start this whole process?
I don’t know about “necessary”. You likely should do it “timely.”

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4nursebee
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Re: Moved to new state, buying new car; what to do first?

Post by 4nursebee » Fri Nov 08, 2019 2:23 pm

It does not say you need N.C. insurance just proof of insurance. Bring your current policy

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nolesrule
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Re: Moved to new state, buying new car; what to do first?

Post by nolesrule » Fri Nov 08, 2019 5:13 pm

StealthRabbit wrote:
Fri Nov 08, 2019 12:16 pm
as a 'thrifty' person...
I would buy a car from a Sales Tax free State BEFORE moving to NC. (NH or DE are nearby options). Check NC rules, but my state requires you to own and register a car 60 days before moving to our state (otherwise you would have to pay Sales tax (9% here)
It's 3% in North Carolina. And if purchased out of state within 90 days you only get a credit of actual taxes paid to another state against the tax.

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