HOW TO SELL A CAR IN ONTARIO
Prepare your vehicle for sale in Ontario by purchasing a Used Vehicle Information Package (UVIP)
If you are in Ontario and are ready to sell your car, the first thing you must do is purchase a UVIP (Used Vehicle Information Package). This package will tell the buyer about your vehicle registration history, how many past owners this vehicle had and if there area any liens on this vehicle. If you discover that there is a lien on your vehicle, you must clear the lien first before selling the car. Service Ontario may not register the vehicle in the purchaser's name when there is a registered lien.
The UVIP will also tell you what the government thinks the Retail and Wholesale value of your vehicle is. To get a UVIP, visit any Service Ontario Branch
Make sure you locate and sign your vehicle ownership
A vehicle sale in Ontario requires that you hand over the VEHICLE PORTION of the ownership to the new owner. As a seller, you must sign the back of the ownership in the "Signature of Seller" section. You must also write in the name and address of the new owner in the "Name of New Owner (Buyer)" section of the top of the Ontario vehicle ownership. This section of the ownership is called "Application for Vehicle Transfer / Demande de transfert due vehicule"
Remove your license plates
You will need some tools for this! Usually a 10mm socket or a phillips screw driver can do the trick. If you don't have tools, the tow truck driver taking your car away may be able to assist, but be sure to ask ahead of time! Your can return your old license plates to Service Ontario along with the PERMIT (Plate) PORTION of the vehicle ownership (Right side). If your license plate validation tag is still valid, Service Ontario can give you a credit for the remaining number of months/years for use in the future. They do not provide cash refunds.
Visit Service Ontario with the Buyer to Ensure Ownership Transfer
Once you've found a buyer, make sure to visit Service Ontario to transfer the vehicle ownership into their name. Do not hand anyone a signed ownership and hope that they will transfer it. You need to be sure of it because your liability for the vehicle ends only when the ownership is transferred at Service Ontario.
If you have decided to sell the vehicle to Auto Recycling company, you don't have to visit Service Ontario. The auto recycling company or scrap yard will do this on your behalf. It's important that you deal with a Provincially Licensed Scrap Yard such as Auto Heaven. There are many "Fake" scrap yards you may find with a Google Search, which pose as Auto Recycling companies, but are actually Scrap Pirates, or a guy with a tow truck that buys and sells cars. Stay away from these individuals.
How can you ensure that the scrap yard is legitimate? Here's a link to video that may help you.