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A bill of sale is a document that verifies you’ve sold your car and provides basic information about the vehicle and the terms of the sale. Not all states require them, but it’s a good idea to create one, as it can prevent misunderstandings between you and the buyer.
When you're ready to sell your car, find out if your state provides a bill of sale form. If not, you can write your own with the information provided below.
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Finding your state’s bill of sale form
Your state’s motor vehicle department website might have a bill of sale form you can download and fill in. You can also search online for the following: “automobile bill of sale [name of state].” Carefully scan the results and select one that comes from your state’s motor vehicle department. The website will probably end in “.gov.”
For example, the web address for California's Department of Motor Vehicles is www.dmv.ca.gov and if you type “bill of sale” in the search area in the upper right hand corner of the window, it provides a link to a pdf bill of sale form that you can download.
While you’re on the DMV’s site, check your state’s bill of sale requirements, or contact your DMV directly. A few states require that the bill of sale is notarized (stamped by a notary public as additional legal proof of its accuracy).
Writing a bill of sale for a vehicle
Even if your state doesn’t offer a downloadable vehicle bill of sale form, you should be able to find a free template online — or you can easily write one yourself.
The exact information required for a bill of sale to be legally binding can vary by state, so ensure you include all necessary details. Regardless of what's required, it’s a good idea to include the following:
1. The date of the sale.
2. A description of the car, including its:
- Year, make and model.
- Vehicle identification number (VIN).
- Odometer reading at the time of the sale.
- License plate number.
3. Relevant information about the car's history, including accidents or major repairs.
4. The selling price of the car. If the car is a gift or partial gift, you should still create a bill of sale. Indicate that the car is a gift or a partial gift and state the reduced price, if any money changed hands.
5. Warranty information. Most private party sales are assumed to be “as is,” meaning that there's no warranty. But if you have a different agreement, include that information. For example, if the car still has some factory warranty remaining, or you purchased an extended car warranty that transfers to the new owner, state that in the bill of sale.
5. The full names, addresses and signatures of the buyer and seller. Above the signature there's language stating that the information is accurate. Generally, it reads something like this: “I declare under penalty of perjury that the statements herein contained are true and correct to the best of my knowledge and belief.”
Once you complete the document or fill in the blanks, the buyer and seller should each receive a copy.
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