What a Colorado bill of sale does and when you need one
A bill of sale is a written record that you sold a vehicle and the buyer received it. In Colorado, it documents the sale price, the vehicle details, and the names and signatures of both the seller and buyer. The state does not require a bill of sale to transfer a title, but having one protects both of you: it proves the sale happened, shows what was paid, and creates a paper trail if something goes wrong after the handoff.
You need a bill of sale whenever you sell a car privately—not through a dealer. If you sell to a dealership, they handle their own paperwork. If you sell to another person, a bill of sale is your record that the transaction occurred and the buyer took possession. It also protects you if the buyer later claims you still own the vehicle or disputes the sale price.
Colorado does not have a single official bill of sale form that the state requires. You can write one yourself, use a template, or buy a pre-printed form from an office supply store. The Colorado Department of Revenue does not mandate a specific format, which means any written agreement that includes the key details will work for state purposes.
Key Takeaways
- Colorado does not require a bill of sale by law, but having one protects both seller and buyer by documenting the sale price, vehicle details, and the date of transfer.
- You must include the vehicle identification number (VIN), make, model, year, sale price, odometer reading, and the printed names and signatures of both parties.
- Both the seller and buyer should keep a signed copy; the bill of sale does not go to the state, but you may need it if a title dispute arises.
- A bill of sale is separate from the title transfer—you will still need to complete the title paperwork with the Colorado Division of Motor Vehicles to make the sale official.
What information must go on a Colorado bill of sale
The bill of sale should include the vehicle's full identification number (VIN), make, model, year, and color. Write the odometer reading as it appears on the dashboard at the time of sale. This protects both parties by documenting the vehicle's condition and mileage at handoff.
Include the sale price in words and numbers—for example, "One Thousand Five Hundred Dollars ($1,500.00)". Write the date of the sale. Add the printed full name, address, and signature of the seller, and the printed full name, address, and signature of the buyer. If either party is a business or organization, use the business name and have an authorized person sign.
You may also note whether the vehicle is sold "as-is" and whether any warranty or may provide is included. Some sellers add a line stating the buyer has inspected the vehicle and accepts it in its current condition. This is optional but useful if the buyer later claims you misrepresented the car's state.
How to write your own bill of sale or use a template
You can write a bill of sale on plain paper or use a template. Start with a heading like "Bill of Sale" or "Vehicle Bill of Sale." Below that, write the date and the phrase "Seller" followed by the seller's name and address, and "Buyer" followed by the buyer's name and address.
List the vehicle details: VIN, year, make, model, color, and odometer reading. State the sale price and the date of sale. Add a line for the seller's signature and printed name, and a line for the buyer's signature and printed name. Leave space for both to sign and date.
Free templates are available online through the Colorado Department of Revenue website or through general legal document sites. Office supply stores also sell pre-printed bill of sale forms for a few dollars. Any of these will work; the state does not favor one format over another. What matters is that both parties sign and the key details are present.
When to sign the bill of sale and who keeps it
Sign the bill of sale at the time of sale, ideally when the money changes hands and the keys are transferred. Both the seller and the buyer must sign. Each party should receive a signed copy—print or photocopy the document so both have an original with both signatures.
The bill of sale does not go to the Colorado Division of Motor Vehicles. You keep it for your records. If a dispute arises later—for example, the buyer claims the odometer was wrong or the seller claims the buyer never paid—the signed bill of sale is your proof of what was agreed and when.
Store your copy in a safe place. You may need it if you are contacted about the vehicle after the sale, if the buyer fails to register it, or if there is a question about the sale price for tax or insurance purposes.
How a bill of sale relates to the title transfer in Colorado
A bill of sale and a title transfer are two separate steps. The bill of sale documents that the sale happened. The title transfer is the legal process that removes your name from the vehicle's registration and puts the buyer's name on it.
To transfer the title in Colorado, the buyer must take the signed title certificate (also called the "pink slip"), the bill of sale, proof of insurance, and a completed process for Vehicle Registration (Form DR 2261) to the Colorado Division of Motor Vehicles or an authorized county clerk's office. The buyer pays a transfer fee and registration fee. Only after the Division of Motor Vehicles processes this paperwork does the title officially change hands.
As the seller, you are responsible for signing the title over to the buyer. You are not responsible for completing the title transfer—that is the buyer's job. However, you should keep a copy of the bill of sale and note the date you signed the title over, in case questions arise later about when you stopped owning the vehicle.
Protecting yourself as a seller with a bill of sale
A signed bill of sale protects you by creating a dated record that you no longer own the vehicle. If the buyer gets into an accident, receives a traffic ticket, or fails to register the car, you have proof that you transferred ownership on a specific date. Without a bill of sale, you may have difficulty proving you sold it.
Write down the buyer's full name, address, and phone number on the bill of sale. If the buyer pays by check, keep the cancelled check as additional proof of payment. If the buyer pays in cash, consider having them sign a separate line acknowledging receipt of the cash payment.
Do not sign over the title until you have received full payment and the buyer has inspected the vehicle. Once you sign the title, the buyer owns it, even if payment bounces or the buyer later claims the sale was fraudulent. The bill of sale plus the signed title is your proof that the transaction was complete and legitimate.
What to do if you lose your bill of sale or need a copy later
If you lose your copy of the bill of sale, you cannot get a replacement from the Colorado Division of Motor Vehicles because the state does not keep a copy. You would need to contact the buyer and ask them to provide their signed copy.
If the buyer will not cooperate or cannot be reached, you can recreate a bill of sale from memory and have the buyer sign it again if you can locate them. If you cannot locate the buyer, document the sale in writing yourself—note the date, the buyer's name and address if you remember it, the vehicle details, and the price. This is weaker evidence than a signed bill of sale, but it is better than nothing if you need to prove the sale occurred.
To avoid this situation, photograph or scan both sides of the signed bill of sale and store the image in your email or cloud storage. This way you have a backup copy even if the paper is lost.
Frequently Asked Questions
Do I have to use the Colorado Division of Motor Vehicles bill of sale form?
No. Colorado does not have an official bill of sale form. You can write one yourself, use a template, or buy a pre-printed form from an office supply store. The state accepts any written bill of sale that includes the vehicle details, sale price, date, and both parties' signatures.
What if the buyer does not show up to sign the bill of sale?
Do not hand over the keys or the title until the bill of sale is signed by both parties. If the buyer will not sign, do not complete the sale. A signed bill of sale is your only proof that the transaction occurred and that you transferred ownership.
Can I sell a car in Colorado without a bill of sale?
Legally, yes—Colorado does not require one. However, it is not recommended. Without a bill of sale, you have no written proof that you sold the vehicle or when. If the buyer later gets a ticket or is in an accident, you may have difficulty proving you no longer own the car.
Does the bill of sale need to be notarized in Colorado?
No. A notary is not required for a bill of sale in Colorado. Both parties' signatures are sufficient. However, having it notarized adds an extra layer of proof that both parties signed willingly, and some people choose to do this for high-value vehicles.
What if I sold the car but the buyer never registered it?
Your bill of sale proves you transferred ownership on a specific date. If the buyer never registers the vehicle and it is later involved in an accident or crime, you can show the bill of sale to prove you are no longer the owner. Keep your copy and note the date you signed the title over.