A bill of sale is a written record that you and the buyer sign to prove that a vehicle has changed hands

A bill of sale is a document that shows the sale of a vehicle from one person to another. It records who owned the car, who owns it now, when the sale happened, how much was paid, and the vehicle's identification details. When you sell a car, you sign it, the buyer signs it, and each of you keeps a copy. The document protects both of you by creating proof of the transaction.

The bill of sale is separate from the vehicle title—the legal document that proves ownership. You will transfer the title to the buyer through your state's DMV or equivalent agency, but the bill of sale is the record of the sale itself. Many states require you to have a bill of sale before you can transfer the title, and some states make it a legal requirement even if the title transfer is not yet complete.

You do not need to buy a bill of sale form. Your state's DMV website usually offers a free template, or you can create one yourself using basic information. The form does not have to be fancy or notarized in most states, though some states recommend or require notarization for certain vehicle types or sale prices.

Key Takeaways

  • A bill of sale records the sale of a vehicle and is signed by both the seller and buyer to create proof of the transaction.
  • Your state's DMV website provides a free bill of sale template that meets your state's requirements.
  • The bill of sale is different from the vehicle title and does not transfer ownership by itself—you must also file title paperwork with the DMV.
  • Most states do not require notarization, but some recommend it or require it for vehicles over a certain price or age.
  • Keep a copy of the signed bill of sale for your records even after you have transferred the title.

What information goes on a bill of sale

A bill of sale includes the seller's name, address, and signature; the buyer's name, address, and signature; the date of sale; and the sale price. It also lists the vehicle's year, make, model, color, and Vehicle Identification Number (VIN). Some forms ask for the odometer reading at the time of sale, the condition of the vehicle, and whether any warranties are included or excluded.

The exact fields vary by state. Your state's DMV website will have the official form or a list of what must be included. If you use your state's form, you are covered. If you write your own, make sure it has at least the seller's and buyer's names, signatures, the date, the VIN, and the sale price. The more detail you include, the better the document protects both of you if questions arise later.

Where to find your state's bill of sale form

Start at your state's DMV website. Search for "bill of sale" or "vehicle bill of sale." Most states offer a PDF you can print and fill out by hand, or a form you can fill out on screen and print. Some states provide the form as part of a larger packet of documents needed to transfer the title.

If your state does not have an official form online, you can read a generic bill of sale template from a legal document website or create one yourself. The key is to include all the information listed above and have both parties sign and date it. If you are unsure whether a generic form will work in your state, call your local DMV office and ask—they can tell you whether a specific format is required.

When you need a bill of sale before transferring the title

Some states require you to have a completed bill of sale before you can file for a title transfer at the DMV. Others do not require it by law but strongly recommend it. A few states do not mention it at all, though having one is still a good idea for your protection.

The safest approach is to complete and sign the bill of sale at the time of the sale, before any money changes hands. Give the buyer a copy, keep a copy for yourself, and then proceed with the title transfer. If your state requires the bill of sale to be filed with the DMV, the instructions will be on the form or on your state's title transfer page.

Whether you need the bill of sale notarized

Most states do not require notarization of a bill of sale. However, some states recommend it, and a few require it for vehicles over a certain price or for commercial sales. Notarization adds a layer of verification—a notary public watches you sign the document and confirms your identity, then stamps and signs the form themselves.

If notarization is recommended but not required, you can choose to do it or skip it. If it is required in your state, you will see that noted on the official form or on your state's DMV website. A notary can be found at most banks, UPS stores, or legal document services. There is usually a small fee, typically between $5 and $15 per signature.

What happens after both of you sign the bill of sale

Once you and the buyer have both signed and dated the bill of sale, each of you should keep a copy. The buyer will need their copy when they go to the DMV to register the vehicle in their name and transfer the title. You should keep your copy as proof that you sold the vehicle and are no longer responsible for it.

The bill of sale does not transfer the title by itself. The buyer must take the signed bill of sale, your signed title document, proof of insurance, and any other documents required by your state to the DMV to complete the transfer. The timeline for this varies by state—some require it within 10 days, others within 30 days. Check your state's DMV website for the specific important date.

If the buyer does not transfer the title in time and the vehicle is involved in an accident or gets a traffic ticket, you could still be held liable because the title is still in your name. This is why it is important to keep your copy of the bill of sale—it proves you sold the vehicle on a specific date and are no longer the owner.

Private sale versus dealer sale

If you are selling the car yourself (a private sale), you will create and sign the bill of sale with the buyer. If you are selling to a dealership or trading it in, the dealer usually handles the paperwork and may provide their own bill of sale form. In a trade-in, the dealer's form typically serves the same purpose—it records the sale and the amount credited toward your new purchase.

For a private sale, using your state's official form protects both you and the buyer. For a dealer transaction, follow the dealer's process, but make sure you receive a copy of whatever document records the sale. You will need proof that the vehicle left your ownership.

Frequently Asked Questions

Do I have to use my state's official bill of sale form?

Most states do not require you to use their official form, but using it is the safest choice because it includes everything your state needs. If you write your own or use a generic template, make sure it has the seller's and buyer's names, signatures, date, VIN, and sale price. Check your state's DMV website to see if a specific format is required.

What if the buyer does not transfer the title right away?

Keep your copy of the signed bill of sale. It proves you sold the vehicle on a specific date. If the vehicle is involved in an accident or gets a ticket before the buyer transfers the title, the bill of sale shows you are no longer the owner. Contact your state's DMV if you are concerned about liability.

Can I sell a car without a bill of sale?

In most states, you can legally sell a car without a bill of sale, but it is not recommended. Without it, you have no written proof of when the sale happened or who bought it. If a problem arises later, you have no documentation to protect yourself. A bill of sale takes minutes to complete and costs nothing.

Do I need to notarize the bill of sale?

Most states do not require notarization. However, some recommend it or require it for vehicles over a certain price. Check your state's DMV website or the official form to see if notarization is needed. If it is recommended but not required, notarization adds extra protection but is optional.

What if the buyer and I disagree on the sale price?

The bill of sale should show the actual amount paid. If you and the buyer agreed on a price, write that amount on the form. Both of you sign it, which means you both agree that is the correct price. Keep your copy as proof of what was agreed to and paid.