What an Indiana bill of sale must contain
Indiana does not have a state-mandated bill of sale form, but the document you create must include specific information for the sale to be legally recognized. The buyer and seller names, the vehicle identification number (VIN), the sale price, and the date of sale are all required. You also need the odometer reading at the time of transfer and signatures from both parties.
The bill of sale becomes important when you file for title transfer at the Indiana Bureau of Motor Vehicles (BMV). The BMV uses it to verify the sale details match what you're reporting on the title process. Without a complete bill of sale, the BMV may delay or reject your title transfer request.
You can write the bill of sale by hand on plain paper or use a template. Indiana accepts both handwritten and typed versions as long as all required information is present and both parties sign it. Keep the original for your records and provide a copy to the buyer.
Key Takeaways
- Indiana requires the seller's name, buyer's name, VIN, sale price, odometer reading, date of sale, and signatures from both parties on the bill of sale.
- You can handwrite or type the bill of sale on plain paper—Indiana has no official state form requirement.
- The bill of sale must be presented to the BMV when the buyer files for title transfer within 10 days of purchase.
- Both the buyer and seller should keep a copy of the signed bill of sale for their records.
Information to list on the bill of sale
Start with the date the sale occurs. Then list the seller's full name and address, followed by the buyer's full name and address. Include the vehicle's year, make, model, and color so there is no confusion about which vehicle is being sold.
The VIN goes in a prominent spot on the document. This 17-character number is found on the driver's side dashboard, the door jamb, or the title itself. The odometer reading at the time of sale must also appear on the bill of sale—Indiana law requires this for vehicles under 10 years old.
Write the sale price clearly. If the vehicle is being sold for cash, state the amount. If there is a trade-in involved or the buyer is assuming a loan, describe the transaction terms. Both parties should initial or sign next to the price to confirm they agree on the amount.
How to handle the signature section
Both the seller and buyer must sign and date the bill of sale. The seller's signature confirms they own the vehicle and are transferring it. The buyer's signature confirms they are purchasing it and agree to the terms listed.
If the vehicle is owned by two people, both owners must sign. If you are selling a vehicle that still has a loan against it, note the lienholder's name on the bill of sale so the buyer knows the lender must release the title before ownership transfers completely.
Signatures do not need to be notarized in Indiana, though having a notary witness the signatures adds an extra layer of verification if questions arise later. This is optional but can be useful if the sale is between people who do not know each other well.
What happens after you sign the bill of sale
Once both parties sign, the buyer has 10 days to file for a title transfer at the BMV. They will need the bill of sale, the current title, proof of insurance, and a completed process for Title (Form 130). The BMV uses the bill of sale to confirm the sale details before issuing a new title in the buyer's name.
The seller should keep a copy of the signed bill of sale for their records. This protects the seller if questions arise about the sale later. If the vehicle is involved in an accident or legal issue after the sale, the bill of sale proves when and to whom ownership transferred.
If the buyer does not file for title transfer within 10 days, the seller remains the registered owner. The seller can contact the BMV to report the sale if the buyer fails to transfer the title, which removes the seller's liability for the vehicle.
Using a template versus writing your own
You can find bill of sale templates online from the BMV website, legal document services, or general Indiana resources. These templates include all required fields and are formatted in a way the BMV recognizes. Using a template saves time and reduces the chance of leaving out required information.
If you write your own bill of sale from scratch, make sure it includes every required element: both names, VIN, sale price, odometer reading, date, and signatures. A straightforward one-page document is sufficient. Avoid adding unnecessary language or conditions that might confuse the BMV or create disputes later.
Whether you use a template or write your own, the content matters more than the format. The BMV will accept a handwritten bill of sale on notebook paper if it contains all the required information and is signed by both parties.
Common mistakes to avoid
Leaving the odometer reading blank is a frequent error. Indiana requires this information for vehicles under 10 years old, and the BMV will ask for it if it is missing. Write the exact mileage shown on the odometer at the time of sale, not an estimate.
Forgetting to include the VIN or writing it incorrectly causes delays at the BMV. Copy the VIN directly from the title or dashboard to avoid transcription errors. A single wrong digit can trigger a mismatch when the BMV processes the transfer.
Not signing or dating the document is another common issue. Both parties must sign, and the date must be present. If either signature is missing, the BMV may reject the bill of sale and ask for a corrected version.
Leaving the sale price blank or writing "as is" without a dollar amount can create problems. The BMV needs the actual sale price to calculate taxes and fees for the title transfer. If the price is unclear, the buyer may face delays when filing for the new title.
Frequently Asked Questions
Does Indiana require a notarized bill of sale?
No, notarization is not required in Indiana. Both parties straightforward need to sign and date the bill of sale. However, having a notary witness the signatures is optional and can provide extra proof that the signatures are genuine if disputes arise later.
What if I sell a vehicle with an outstanding loan?
List the lienholder's name and loan information on the bill of sale so the buyer knows the lender must release the title. The buyer cannot receive a clear title until the loan is paid off and the lienholder releases their claim. The bill of sale should note this condition.
Can I use a bill of sale from another state?
Indiana will accept a bill of sale from another state as long as it contains all required information: both names, VIN, sale price, odometer reading, date, and signatures. However, using an Indiana-specific template is simpler because it is formatted the way the BMV expects.
What if the buyer never transfers the title to their name?
The seller remains the registered owner until the buyer files for title transfer. If the buyer does not transfer the title within 10 days, the seller can contact the BMV to report the sale. This removes the seller's liability for the vehicle and any violations or accidents that occur after the sale.
Is a bill of sale the same as a title?
No. The bill of sale is a record of the sale transaction between buyer and seller. The title is the official document issued by the BMV that proves ownership. The bill of sale supports the title transfer process but does not replace the title itself.