The death of a loved one is a difficult time, often made more so by the need to close out elements of their personal life, such as financial accounts and insurance policies. One step that should not be missed is terminating their driver’s license. This important task helps to avoid fraud and identity theft, and should be handled as soon as possible. Bankrate looks at how to cancel the driver’s license of a deceased person so you can manage this task as quickly and efficiently as possible.

How to cancel a driver’s license after death

When considering what to do with a driver’s license when someone dies, location matters. In some states, the vital records office will inform the department of motor vehicles (often called the DMV) of the license holder’s death. You do not need to do anything in order for the license to be terminated. If you’re not sure if that’s the case where you live, your local motor vehicle department can help answer your questions.

If the deceased lived in a state that requires someone to cancel the license, here are the steps that you can take:

1. Collect the death certificate

The first step to take when seeking to cancel a loved one’s driver’s license is obtaining a death certificate. The certificate serves as legal proof of the individual’s passing. It’s a good idea to obtain multiple copies of the death certificate because you’ll need it for many purposes beyond canceling a driver’s license, including to notify creditors of the death.

The official death certificate can be obtained from the vital records department in the state where the death occurred. In some cases, it can be obtained from the funeral parlor handling the burial. In some states in order to obtain the certificate, you may need to provide identification establishing your relationship to the deceased individual. This could include a marriage license or birth certificate.

2. Make an appointment with the DMV (or visit one)

In a few states, you may be able to cancel your loved one’s license online. This is not true in all states, however, and you may need to visit the DMV where the deceased lived. You may be able to make an appointment, either online or via a phone call, which can save time. In other cases, the local DMV may operate on a first-come, first-served basis. If you do have to terminate the license in person, make sure you bring a death certificate and the license with you.

3. Cancel by mail

If you are unable to visit the DMV, most states allow you to cancel the driver’s license by mail. You will generally need to send:

  • A letter explaining you would like to cancel the deceased driver’s license
  • A notarized or certified copy of the death certificate
  • The deceased’s driver’s license

Identity theft and the deceased

It may surprise you to find out that even the deceased can be victims of identity theft. Commonly known as “ghosting,” scammers search for information about recently dead relatives in a number of ways, including:

  • Obituaries: Published death notices can be mined for home address, date of birth and names of spouses or children — all useful information when verifying identity or applying for credit.
  • Mail: Someone can find bank or mortgage information, tax-related documents and even part or all of a Social Security number in the mail.
  • Social media: Similar to an obituary, social media accounts may be able to be viewed publicly by anyone. Identity thieves can mine a social media account to find out birthdays, phone numbers, previous relationships and more. For that reason, it is important to close out all social media accounts as soon as possible.

Identities of the deceased are used to apply for loans, open credit card accounts and even sign up for utilities or purchase smartphones.

If the accounts are not properly closed and canceled for being fraudulent, the next of kin can be ultimately affected. John Yanchunis, head of law firm Morgan & Morgan’s Class Action and Cybersecurity practices, explains, “A spouse of a deceased might be pursued for collection in those states where a spouse is liable for the care and necessities of a spouse. There would be, of course, a defense to any claim because the deceased spouse has been a victim of fraud, but a living spouse might go through a personal hell having to establish that their deceased spouse never took out the alleged loan and that, as a result, the surviving spouse is not responsible.”

That is why it is so important to prevent identity theft in the first place by terminating accounts and IDs, even if they seem harmless. An experienced cyberthief or fraudster could do damage if they get hold of someone’s sensitive information. Canceling a deceased person’s driver’s license should be part of the vital process. According to the Virginia DMV, “This simple procedure [of canceling a driver’s license] removes the deceased’s name from DMV’s mailing list. By doing so, you can avoid future mailings and prevent others from possibly using the name for fraudulent purposes.”

What else should be canceled?

Now that you have a better idea of how a deceased relative could be compromised, it is important to realize that other items need canceling to ensure that personal information does not get into the wrong hands. The following are a few other vehicle-related items that should also be canceled or transferred. Fortunately, some of the items listed can be done together to save you time.

Car title

The car title lists the owner of the vehicle and their home address. You will need to transfer the title to sell the car in the future or if you wish to continue driving the vehicle. You will need to visit the DMV with the death certificate and the original title certificate to transfer the title. You will probably need to fill out and sign the state’s version of an affidavit certifying there is no probate before the vehicle title may be transferred legally to you.

Car registration

Once the car title transfer is complete and the vehicle is in your name, you can register the car. You will need to get car insurance before registering the vehicle and may also need a smog or emissions inspection, depending on the car’s age and local laws.

License plates

The license plates of a deceased person’s vehicle should be turned in with the driver’s license, along with a certified or notarized copy of the death certificate and a cover letter. You may return the license plates to the DMV or mail the plates in. Consult with the state’s DMV office for the mailing address or further information on how to return the plates.

Handicap placards

The DMV also issues handicap placards that can be hung on the rearview mirror to park in disabled spots. If you return the deceased person’s driver’s license and the vehicle’s license plates, you should also return the handicap placard.

Auto insurance

To cancel auto insurance, call the carrier or the deceased’s insurance agent to notify them. They will likely request that you fax or email them a copy of the death certificate before canceling the policy.

Car loans or leases

A car loan is not forgiven upon death. The balance will have to be settled from the estate’s funds. You may be able to take over the lease or loan if you contact the lender with documentation showing you are the beneficiary, although whether it is permissible depends on the lender and state laws.

How to cancel state by state

As mentioned, not all states require someone to cancel a driver’s license on behalf of the deceased. Certain states receive notifications of drivers who have passed from their vital records department and process the cancellation automatically. The states below provide additional information about how to terminate a license after death:

What the experts say

Letha Sgritta McDowell, CELA, CAP, Certified Elder Law Attorney, President-elect of the National Association of Elder Law Attorneys (NAELA)

McDowell explains why ghosting is a growing issue. “The deceased are potentially easy targets because their names, ages, family members and occasionally other personal details such as the names of their parents are publicly available in obituaries published in papers and online. Not only that, they are no longer monitoring their credit to determine if their identity has been stolen.” McDowell advises loved ones to lock a deceased family member’s credit file, which can be done by requesting a credit freeze from each of the three credit bureaus.

John Yanchunis, Head of Class Action and Cybersecurity Practices, Morgan & Morgan

Yanchunis suggests loved ones avoid putting off the closing of accounts and taking the necessary steps to secure personal information as soon as possible to prevent the extremely stressful and costly process of having to prove fraud.

He also recommends reviewing the information provided by the Identity Theft Resource Center (ITRC), a national nonprofit organization offering free assistance to individuals impacted by identity theft. “They recommend obtaining at least 12 copies of the official death certificates in order to immediately notify relevant credit card companies, banks, financial advisors, etc., determining any outstanding debts and how they will be dealt with, ordering copies of and reviewing the deceased’s credit reports and notifying all relevant agencies (Social Security, Veterans Administration, insurance companies, etc.).”