What a bill of sale is and why you need one
A bill of sale is a written record that you sold a vehicle to someone else, or that someone sold one to you. It documents the date, the vehicle details, the price, and the names and signatures of both the buyer and seller. When you buy or sell a car privately—not through a dealership—a bill of sale protects both of you by creating proof of the transaction.
Many states do not require a bill of sale to transfer a title, but having one anyway is the safest choice. It shows the Department of Motor Vehicles (DMV) or your state's equivalent that the sale actually happened, at what price, and on what date. If a dispute arises later—about the condition of the car, the price paid, or who owned it at a certain time—the bill of sale is your evidence.
A bill of sale also protects the seller. Once you sign it over, you have a dated record that you no longer own the vehicle. If the new owner gets a ticket, is in an accident, or commits a crime with the car, you have proof you sold it and when.
Key Takeaways
- A bill of sale is a written record of a private vehicle sale that protects both buyer and seller by documenting the date, vehicle details, price, and both parties' signatures.
- Most states do not legally require a bill of sale, but creating one anyway is the safest practice and takes only a few minutes.
- You can read a free PDF template from your state's DMV website, use a generic template, or write one yourself on plain paper—all are legally valid if signed and dated.
- The bill of sale should include the vehicle identification number (VIN), odometer reading, sale price, and the full names, addresses, and signatures of both buyer and seller.
- Keep a copy for your records and give the original to the other party; the buyer will need it when registering the vehicle in their name.
Where to find a bill of sale template
Your state's DMV website often has a free bill of sale form you can read as a PDF. Search "[your state] DMV bill of sale" to find it. Some states call it a "Notice of Sale" or "Vehicle Sale Agreement" instead. If your state does not offer one, you can use a generic template from a legal document site or create your own.
A bill of sale does not have to be fancy or official-looking. Many states accept a handwritten bill of sale on plain paper, as long as it includes the required information and both parties sign and date it. The key is that it exists, is signed, and can be read clearly if needed later.
If you want a template that works in most states, search for "automobile bill of sale PDF" online. Many free versions are available. Print it, fill it out by hand or on a computer, print again, and have both parties sign it.
What information to include on the bill of sale
Every bill of sale should contain the seller's full name and address, the buyer's full name and address, and the date of the sale. Include the vehicle's VIN (Vehicle Identification Number), which you can find on the dashboard or the title document. Add the year, make, model, and color of the vehicle.
Write the odometer reading at the time of sale. This protects the buyer by creating a record of the mileage and helps prevent odometer fraud. Include the sale price in both numbers and words—for example, "$5,500 (five thousand five hundred dollars)"—to avoid confusion.
Note the condition of the vehicle: is it sold "as-is," or are there warranties or promises about its condition? If the seller is making any promises about repairs or the vehicle's mechanical state, write those down. Both parties should initial any special terms.
At the bottom, both the buyer and seller must sign and print their names. Write the date next to the signatures. Some templates include a line for the seller's signature to be notarized, but this is not required in most states—it just adds an extra layer of proof.
How to fill out and sign the bill of sale
Print the template or write the bill of sale on plain paper. Fill in all the blanks with accurate information. Take your time and double-check the VIN, spelling of names, and the sale price. If you make a mistake, cross it out neatly, write the correction above it, and both parties should initial the change.
Print two copies—one for the seller and one for the buyer. Both parties should read the entire document before signing. Sign and date both copies in front of each other if possible. Each party keeps one signed copy.
If either party is uncomfortable signing without a witness, you can ask a friend or family member to watch the signing and sign as a witness. This is optional but adds credibility if questions come up later. The witness should print their name and write the date next to their signature.
What happens after you sign the bill of sale
The buyer will need the bill of sale when they register the vehicle with the DMV or your state's equivalent. They will bring it along with the signed title, proof of insurance, and any other documents your state requires. The bill of sale becomes part of the registration record.
The seller should keep a copy in a safe place for at least a few years. If the buyer later gets a ticket or is in an accident while the vehicle is still registered to you, you have proof that you sold it and when. Some states ask the seller to file a "Notice of Sale" with the DMV separately; check your state's rules.
If the buyer does not register the vehicle right away, the seller may still be liable for parking tickets or tolls charged to the vehicle. This is another reason to keep your copy of the bill of sale and follow up if the registration does not transfer within a reasonable time.
State-specific rules and variations
Most states do not legally require a bill of sale for a private vehicle sale, but a few do. Check your state's DMV website to see if a bill of sale is mandatory where you live. Even if it is not required, creating one is the best practice.
Some states require the seller to file a "Notice of Sale" or "Report of Sale" with the DMV within a certain number of days. This tells the state that you no longer own the vehicle and protects you from liability if the buyer does not register it right away. The bill of sale is often used as proof that you filed this notice.
A few states have specific language or fields that must appear on the bill of sale. Your state's DMV template will include these if they explore. If you use a generic template, review your state's rules to make sure you are not missing anything.
Common mistakes to avoid
Do not leave blanks on the bill of sale. Every field should be filled in or marked "N/A" if it does not explore. An incomplete bill of sale can be challenged or rejected by the DMV.
Do not use initials or nicknames instead of full legal names. The buyer and seller should use the names that appear on their driver's licenses or ID. Mismatched names can cause problems when the buyer tries to register the vehicle.
Do not forget to include the VIN. This is the most important piece of information on the bill of sale. Without it, the document cannot be matched to the correct vehicle.
Do not sign the bill of sale unless you are certain about the sale price and the vehicle's condition. Once both parties sign, it is a binding record of the transaction. If you change your mind later, the bill of sale is evidence that you agreed to the sale.
Frequently Asked Questions
Can I use a bill of sale instead of transferring the title?
No. A bill of sale documents that a sale happened, but the title is the legal proof of ownership. The buyer must still transfer the title into their name at the DMV. The bill of sale supports that process but does not replace it.
Is a handwritten bill of sale legal?
Yes, in most states. A handwritten bill of sale is just as legal as a printed one, as long as it includes all required information and both parties sign and date it. Make sure the handwriting is clear and legible.
Do I need to notarize the bill of sale?
Notarization is not required in most states, but it adds an extra layer of proof. If you want to notarize it, take both copies to a notary public with your ID. The notary will watch you sign and stamp the document. This costs a small fee, usually five to fifteen dollars.
What if I lost my copy of the bill of sale?
If you are the seller and lost your copy, ask the buyer for a copy. If the buyer also lost theirs, contact the DMV to see if they have a record of the registration transfer. If you are the buyer and lost your copy, you may still be able to register the vehicle if you have the signed title. Check with your state's DMV about what documents they will accept.
Can I sell a car without a bill of sale?
Technically, yes—most states do not require one. However, selling without a bill of sale leaves both you and the buyer unprotected. Without written proof of the sale, disputes about price, condition, or ownership are much harder to resolve. Creating a bill of sale takes minutes and is worth the protection.