What a California bill of sale is and when you need one
A bill of sale is a written record that you sold a car to someone else, or that someone sold it to you. In California, it is not required by law to complete a sale — the state does not mandate it — but it protects both the buyer and seller by documenting the price, the vehicle details, and the date of transfer. Without one, either party has little proof of what was agreed to if a dispute arises later.
You need a bill of sale when you buy or sell a car privately (not through a dealer). Dealers provide their own paperwork. A bill of sale is also useful if you are gifting a vehicle to a family member, because it creates a record of the transfer even though no money changed hands. The California Department of Motor Vehicles does not require you to submit a bill of sale, but the buyer will need it when they register the car in their name at the DMV.
Key Takeaways
- California does not legally require a bill of sale, but both buyer and seller should use one to document the price, vehicle identification number, and date of transfer.
- The bill of sale should include the seller's name and address, buyer's name and address, vehicle year/make/model/VIN, odometer reading, sale price, and date signed by both parties.
- You can use the official California DMV bill of sale form (REG 135) or a private bill of sale template, and both are accepted equally by the DMV.
- The buyer needs the signed bill of sale when they register the vehicle at the DMV; the seller should keep a copy for their records.
- A bill of sale does not transfer ownership — only the title document does — but it serves as proof that a sale occurred.
What information must go on a California bill of sale
The bill of sale should include the seller's full name and address, the buyer's full name and address, and the vehicle's year, make, model, and vehicle identification number (VIN). You can find the VIN on the dashboard (visible through the windshield on the driver's side), on the title document, or on the registration card. Include the odometer reading at the time of sale, the sale price in dollars, and the date the sale occurred.
Both the seller and buyer must sign and date the bill of sale. Some people add the condition of the vehicle (for example, "as-is" or "with known mechanical issues") to avoid later disputes about what was disclosed. If the car is being sold with a lien still on it — meaning the seller still owes money to a lender — that should be noted on the bill of sale so the buyer knows the title will not be clear until the loan is paid off.
Using the official California DMV form versus a private template
The California Department of Motor Vehicles publishes an official bill of sale form called REG 135. You can read it from the DMV website at dmv.ca.gov. The form is straightforward and includes all required fields. Using the official form removes any question about whether you have included the right information, and the DMV is familiar with it.
You can also use a private bill of sale template from a legal website, a word processor, or even write one by hand. The DMV does not prefer one over the other — what matters is that the document contains the required information and is signed by both parties. If you write your own, make sure it includes all the details listed in the previous section. A handwritten bill of sale is legally valid in California as long as it is legible and signed.
How to complete the bill of sale step by step
Start by filling in the date at the top. Write the seller's full legal name and current address. Then write the buyer's full legal name and current address. Enter the vehicle's year, make, and model (for example, 2018 Honda Civic), followed by the complete VIN.
Record the odometer reading as shown on the instrument cluster at the time of sale. Write the sale price in both numbers and words to avoid confusion (for example, "$5,000" and "Five Thousand Dollars"). If the sale price is zero because the vehicle is a gift, write "No Charge" or "$0" and have both parties sign anyway.
Leave space for both the seller and buyer to sign and print their names. The seller should sign first, then the buyer. Both signatures should be dated. Make at least two copies — one for the seller to keep and one for the buyer to bring to the DMV when registering the vehicle.
What happens to the bill of sale after the sale
The buyer takes their signed copy of the bill of sale to the California DMV when they register the vehicle. They will also need the title document signed by the seller, proof of a smog check (in most cases), and proof of insurance. The DMV does not keep the bill of sale on file; it is used only to process the registration and title transfer.
The seller should keep their copy of the signed bill of sale for at least three to five years. If a problem arises — for example, the buyer claims the car was damaged during the sale, or the seller is asked about the vehicle later — the bill of sale proves when and to whom the car was sold and at what price. The seller should also notify the DMV that they no longer own the vehicle by submitting a Notice of Transfer and Release of Liability (form REG 138) within five days of the sale. This protects the seller from liability if the buyer gets a traffic ticket or is in an accident.
Common mistakes to avoid when writing a bill of sale
Do not leave the VIN blank or write it incorrectly. The buyer needs the exact VIN to register the car, and if it does not match the title, the DMV will reject the registration. Double-check the VIN against the title document and the vehicle itself before signing.
Do not sign the bill of sale before both parties have reviewed it and agreed to all the terms. Once signed, it is a binding record of the sale. If you discover an error after signing, cross out the mistake, write the correction above it, and have both parties initial the change. Do not use white-out or tape, as it can raise questions about whether the document was altered after the fact.
Do not assume the bill of sale transfers ownership. Only the title document, signed by the seller and submitted to the DMV by the buyer, transfers ownership. The bill of sale is evidence that a sale occurred, but it is not the legal transfer itself. The buyer must complete the DMV registration process for the ownership change to be official.
Frequently Asked Questions
Do I have to notarize a California bill of sale?
No. California does not require a bill of sale to be notarized. A notarized bill of sale is not more valid than an unnotarized one in the eyes of the DMV. However, some buyers or sellers choose to have it notarized for extra protection, and a notary public can verify the signatures for a small fee if you want that added layer of documentation.
What if the seller will not sign the bill of sale?
If you are the buyer and the seller refuses to sign, do not complete the purchase. A bill of sale protects you by proving you bought the car and at what price. Without it, you have no written record of the transaction. If you are the seller and the buyer refuses to sign, you should not hand over the keys or the title until they do.
Can I use a bill of sale if the car still has a loan on it?
Yes, but note it on the bill of sale. Write something like "Vehicle subject to existing lien with [Lender Name]" so the buyer knows the title will not be clear until the loan is paid off. The seller is responsible for paying off the loan; the buyer should not assume they will receive a clear title until the lender confirms the debt is satisfied.
Is a bill of sale the same as a title?
No. The title is the legal ownership document issued by the DMV. The bill of sale is a record of the transaction. You need both: the bill of sale proves the sale happened, and the title (signed by the seller and submitted by the buyer) transfers ownership to the buyer at the DMV.
What if I lost the bill of sale after the sale?
If you are the seller, losing your copy does not affect the buyer's ability to register the car — they have their copy. If you are the buyer and lost your copy before registering, you can ask the seller for another signed copy, or you can contact the seller and ask them to sign a duplicate. The DMV will accept a duplicate bill of sale as long as both parties have signed it.