A Texas bill of sale is a written record that you and the buyer (or seller) sign to document the sale of a vehicle
Texas does not require a bill of sale by law, but the Texas Department of Motor Vehicles recommends having one. The bill of sale protects both the seller and the buyer by creating a paper trail of who owned the car, when the sale happened, and for how much. Without one, disputes can arise about the sale price, condition of the vehicle, or whether the sale actually took place.
The bill of sale is separate from the title document. The title proves ownership; the bill of sale proves the transaction. You will need both when you register the vehicle with the state.
Key Takeaways
- Texas does not legally require a bill of sale, but having one protects both buyer and seller by documenting the sale price, date, and vehicle details.
- The bill of sale should include the vehicle identification number (VIN), odometer reading, sale price, and the printed names and signatures of both buyer and seller.
- You can use the Texas DMV form (Form 14-10), a template from an online source, or write your own as long as it contains the essential information.
- The buyer will need the bill of sale when explore for a new title at the county tax assessor-collector's office or online through the Texas DMV.
What information must go on a Texas bill of sale
The bill of sale should include the vehicle's full identification number (VIN), the year, make, and model. It must also show the odometer reading at the time of sale. This protects the buyer from unknowingly purchasing a vehicle with rolled-back mileage.
Both the seller and buyer must print their full names and sign the document. Include the sale price in dollars. Add the date of the sale. If the vehicle is being sold as-is (meaning the buyer accepts it in its current condition), you can write that on the form. Some sellers also note any known mechanical or body damage to avoid later disputes.
The seller's driver's license number and the buyer's driver's license number can be included but are not required. However, adding them makes the document more official and harder to forge.
Where to get a bill of sale form in Texas
The Texas DMV does not provide an official bill of sale form, but the agency recommends using Form 14-10, which is a combined title and bill of sale document. You can read Form 14-10 from the Texas DMV website or pick up a copy at your county tax assessor-collector's office.
Many online sources offer free bill of sale templates designed for Texas. These templates typically include all the fields mentioned above and can be printed and filled out by hand or typed before printing. You can also write your own bill of sale on plain paper as long as it includes the required information and is signed by both parties.
Some title companies and car dealerships have their own bill of sale forms. If you are buying or selling through a dealership, they will usually provide one.
How to fill out and sign the bill of sale
Print or write the form clearly so all information is legible. Fill in the VIN exactly as it appears on the vehicle's title or registration. Write out the odometer reading in both numbers and words to prevent tampering. For example: "45,230 miles (forty-five thousand two hundred thirty miles)."
Enter the sale price in full. If the vehicle is being sold for cash, write "cash." If it is being sold for a trade-in or partial trade-in, describe what is being traded. Both the seller and buyer must sign and print their names. Signing with initials only is not sufficient.
Some people have the bill of sale notarized, though Texas does not require it. A notary public can verify the signatures and add an official stamp. This step costs a small fee but provides extra protection against fraud, especially in high-value sales.
When the buyer needs the bill of sale
The buyer will present the bill of sale to the county tax assessor-collector when explore for a new title. In Texas, title transfers can be done in person at the local tax assessor-collector's office or online through the Texas DMV website if both parties have an account.
The buyer should keep a copy of the signed bill of sale for their records. The seller should also keep a copy. If a dispute arises later about the sale price or condition of the vehicle, the bill of sale is the main document that proves what was agreed to.
What happens if you sell a car without a bill of sale
Selling a car without a bill of sale is legal in Texas, but it creates risk for both parties. Without a written record, the buyer has no proof of the purchase price if they need to file an insurance claim or dispute with the seller. The seller has no proof that they transferred ownership, which could leave them liable if the buyer gets into an accident or racks up parking tickets.
If the buyer does not transfer the title into their name promptly, the vehicle remains registered to the seller. This means the seller could receive traffic citations, toll notices, or registration renewal bills for a car they no longer own. A bill of sale does not prevent this, but it gives the seller documentation that they sold the vehicle on a specific date.
Selling a car with a lien or loan
If you are selling a car that still has a loan against it, the bill of sale should note that the vehicle is being sold subject to the lien. The lender's name and the loan amount can be included on the form. The buyer should understand that they are responsible for paying off the loan or refinancing it in their name.
Some lenders require the loan to be paid off before the title can be transferred. In that case, the sale price may need to cover the remaining loan balance. The bill of sale should reflect the actual sale price between buyer and seller, not the loan payoff amount.
Frequently Asked Questions
Do I have to notarize a bill of sale in Texas?
No, notarization is not required in Texas. However, having a notary public witness the signatures adds an extra layer of protection against fraud. It costs a small fee and takes a few minutes at a bank, credit union, or notary office.
Can I use a bill of sale from another state?
A bill of sale from another state can work, but it may not include all the information Texas requires or expects. Using a Texas-specific form or template is safer because it is designed for Texas title transfer rules.
What if the buyer and seller disagree on the sale price after signing?
The bill of sale is the legal record of what was agreed to. If both parties signed it, that price is binding. If there is a dispute, the bill of sale is the document used to resolve it. This is why it is important to get the correct price in writing before signing.
Can I sell a car to a family member with just a bill of sale?
Yes. A bill of sale works the same way whether the buyer is a family member or a stranger. The buyer will still need to take the bill of sale and the title to the tax assessor-collector to transfer ownership into their name.
What if I lost the bill of sale after the sale?
If you are the seller and lost your copy, contact the buyer and ask for a copy. If you are the buyer and lost your copy, you can request a duplicate from the tax assessor-collector's office or contact the seller. The title transfer records at the county office are the official record of the sale.