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 it to you. It names the buyer, the seller, the vehicle (make, model, year, VIN), the sale price, and the date. Both people sign it. That's the whole document — it's not a title transfer, and it doesn't replace your state's title paperwork, but it proves the transaction happened and who owns what on a specific date.

You need one because it protects both of you. If you're selling, it shows you no longer own the car on the day you signed it — so you're not liable if the buyer gets in an accident next week or racks up parking tickets. If you're buying, it proves you paid for the vehicle and what you paid, which matters if there's a dispute later or if the seller tries to claim they still own it. Many states require a bill of sale before you can register the vehicle in your name.

A bill of sale is separate from the title itself. The title is the legal ownership document issued by your state's DMV or equivalent agency. The bill of sale is the proof of the transaction that happened between you and the other person.

Key Takeaways

  • A bill of sale records that a vehicle was sold on a specific date, names both the buyer and seller, and must be signed by both parties.
  • Your state may require a bill of sale before you can register a vehicle in your name, so check your DMV website for your state's rules.
  • A bill of sale protects the seller by proving they no longer owned the vehicle after the sale date, and protects the buyer by documenting the purchase price and condition.
  • You can use a free template and fill it in by hand or on a computer — there is no requirement to use a specific form unless your state DMV provides one.
  • Both the buyer and seller should keep a signed copy for their records, and the buyer should bring theirs when registering the vehicle.

What information goes on a bill of sale

A basic bill of sale includes the seller's full name and address, the buyer's full name and address, the vehicle's year, make, model, color, and Vehicle Identification Number (VIN), the sale price in dollars, the date of sale, and the signatures of both the buyer and the seller. Some states ask for the odometer reading on the date of sale. A few ask whether the vehicle is being sold "as-is" or with any warranty.

You do not need to include the title number, the license plate, or the registration number on the bill of sale itself — those are separate documents. You do need the VIN, which you can find on the driver's side of the windshield, on the title document, or on the registration card. Write it down exactly as it appears.

The sale price should be the actual amount paid, not a reduced amount for tax purposes. If the vehicle was a gift or trade-in, some states allow you to write "gift" or "$0" instead, but check your state's DMV rules first — a few states have minimum values they use for registration fees regardless of what you write.

Where to find a free template for your state

Your state's DMV website often provides a free bill of sale form that meets your state's requirements. Go to your state DMV's main website, search for "bill of sale," and look for a PDF you can read and print. If your state provides an official form, use that one — it's designed to work with your state's registration process.

If your state DMV does not provide a form, you can use a generic template from a legal document site. The template should include all the fields listed above: seller name and address, buyer name and address, vehicle details, VIN, sale price, date, and signature lines. You can fill it in by hand or type it into a word processor before printing.

Some states (like Texas, Florida, and Ohio) have specific bill of sale forms on their DMV websites. Others leave it to you to create one as long as it contains the required information. Check your state's DMV site first — if they have a form, that's your safest choice.

How to fill out and sign the bill of sale

Print the template or form, or use a blank piece of paper if you're writing it by hand. Fill in the seller's full legal name and current address. Fill in the buyer's full legal name and current address. Write the vehicle's year, make, model, and color. Copy the VIN exactly from the vehicle or title. Write the sale price as a number (for example, $5,500) and spell it out in words below if the form has a line for that.

Write the date of sale — the day the money changed hands and the keys were given over. Both the seller and the buyer should sign and print their names on the signature lines. Some forms ask for a witness signature, but that is not required in most states unless your state DMV specifically says so.

Make at least two copies — one for the seller and one for the buyer. The buyer will need their copy when they go to register the vehicle. Do not notarize it unless your state DMV requires notarization; most states do not. If your state does require it, the DMV website will say so, and you can have it notarized at a bank, courthouse, or notary service for a small fee.

What to do with the bill of sale after you sign it

If you are the buyer, keep your signed copy in a safe place with your other vehicle documents. Bring it with you when you go to your state's DMV or equivalent office to register the vehicle in your name. The registration office will ask for it, make a copy, or scan it into their system. You will also need the title (signed over by the seller), proof of insurance, and a completed registration process.

If you are the seller, keep your signed copy for at least three to five years. It proves you sold the vehicle on that date and are no longer responsible for it. If the buyer gets a ticket or is in an accident after the sale, you have proof that you no longer owned the car. Some sellers photograph the signed bill of sale or scan it to email to themselves as a backup.

Do not send the bill of sale to the DMV unless they ask for it. You bring it with you when you register the vehicle, or you mail it with your registration process if your state allows mail-in registration. The DMV will keep a copy on file.

State-specific requirements and variations

Most states accept a straightforward bill of sale as long as it includes the seller, buyer, vehicle details, VIN, price, and date. However, a few states have additional rules. Some states require the odometer reading. Some require a statement that the vehicle is sold "as-is." A few require notarization. A handful ask for the title number or the previous owner's name.

The safest approach is to read your state's official form from the DMV website if one exists. If your state does not provide a form, use a generic template and include all the standard fields. When you go to register the vehicle, the registration office will tell you if anything is missing — they will not reject it outright, but they may ask you to add information or sign again.

Check your state DMV website before you sell or buy. Search for "bill of sale" or "vehicle bill of sale." If you cannot find it on the DMV site, call the DMV or visit in person and ask what form they want. Having the right form ahead of time saves time at registration.

Common mistakes to avoid

Do not leave the sale price blank or write "best offer" — write the actual amount paid. Do not use a nickname or shortened name for either the buyer or seller — use the full legal name as it appears on a driver's license or ID. Do not forget the VIN or write it incorrectly — copy it character by character from the vehicle or title.

Do not sign the bill of sale before the buyer has the money or the seller has the keys — sign it on the day of the transaction, when both sides have completed their part. Do not assume notarization is required unless your state DMV says so. Do not throw away your copy after registration — keep it with your vehicle records.

Do not use a bill of sale as a substitute for a title transfer. The bill of sale proves the sale happened; the title transfer (signed by the seller and submitted to the DMV) is what actually moves ownership. Both documents are needed.

Frequently Asked Questions

Do I need a bill of sale if I'm trading in my car at a dealership?

No. Dealerships handle their own paperwork and do not use a standard bill of sale. They will give you a trade-in receipt or credit memo instead. Keep that document for your records.

Can I write a bill of sale on a piece of notebook paper?

Yes, as long as it includes the seller's name and address, buyer's name and address, vehicle year/make/model/color, VIN, sale price, date, and both signatures. A template is cleaner and less likely to be questioned, but handwritten is legal in most states.

What if the seller will not sign the bill of sale?

Do not complete the purchase. A bill of sale protects you as the buyer. If the seller refuses to sign, they may be hiding a problem with the vehicle or the title. Walk away or contact a lawyer before proceeding.

Do I need to register the vehicle within a certain number of days after signing the bill of sale?

Yes, but the timeframe varies by state — usually between 10 and 30 days. Check your state DMV website for the important date. If you miss it, you may face a late fee or be unable to register the vehicle until you pay it.

Can the buyer and seller use the same bill of sale form, or do they need different ones?

You use one bill of sale form, and both parties sign the same document. Make two copies — one for the buyer and one for the seller. Do not create separate forms.