What a bill of sale does and when you need one
A bill of sale is a written record that you sold a car to someone else. It documents the date of the sale, who bought it, who sold it, what car was sold (make, model, year, VIN), and how much money changed hands. When you sign it, you are saying you owned the car and had the right to sell it. When the buyer signs it, they are saying they received the car in the condition you described.
You need a bill of sale whenever you sell a car privately — meaning directly to another person, not to a dealership. Some states require it by law before the buyer can register the car in their name. Other states do not require it but strongly recommend it, because it protects both of you if a problem comes up later. A bill of sale is your proof that you sold the car on a specific date for a specific price, which matters if the buyer gets into an accident the next day or stops paying a loan they took out to buy it.
You do not need a bill of sale if you sell to a dealership — they handle their own paperwork. You also do not need one if you are giving the car away, though some people create one anyway to document that no money was exchanged.
Key Takeaways
- A bill of sale is a written record of a private car sale that protects both the seller and buyer by documenting the date, price, vehicle details, and condition.
- Your state's DMV website usually has a free official form, or you can use a generic template from a legal document site — both are legally valid as long as they include all required information.
- You must fill in the vehicle identification number (VIN) exactly as it appears on the title, along with the make, model, year, and current mileage.
- Both the seller and buyer must sign and date the form in front of a notary public in some states, while others allow you to sign without a witness.
- Keep a copy for your records and give the original to the buyer — they will need it when they register the car at the DMV.
Where to find the right bill of sale form for your state
Start by checking your state's DMV website. Most states provide a free official bill of sale form that you can read and print. Search "[your state] DMV bill of sale" and look for a PDF or Word document. If your state does not have an official form, that means any written bill of sale will work as long as it includes the required information.
If you cannot find a state form or prefer a template, legal document websites like LegalZoom, Rocket Lawyer, and Nolo offer free or low-cost bill of sale forms. These are generic templates that work in most states. The form does not have to be fancy or official-looking — a handwritten bill of sale on plain paper is legally valid as long as both parties sign it and it contains the key details.
Some people use a form from their bank or credit union if they financed the car purchase. If the buyer is taking out a loan to pay you, their lender may also provide a form. Any of these options are acceptable.
Information you must include on the form
Every bill of sale needs the same core details. Fill in the date you are selling the car, your full name and address (the seller), and the buyer's full name and address. Then add the vehicle information: the year, make, model, body style (sedan, truck, SUV), and color. Most importantly, write the vehicle identification number (VIN) exactly as it appears on your title — copy it character by character, because even one wrong number can cause problems when the buyer registers the car.
Add the current mileage on the odometer and the sale price in dollars. If you are selling the car for cash, write the amount. If the buyer is paying part now and part later, write the total sale price and note the payment terms (for example, "$5,000 today, $3,000 on June 1"). If you are giving the car away, write "no money exchanged" or "$0" so there is no confusion later.
Describe the condition of the car honestly. You can write "sold as-is" if the buyer has seen the car and accepts any problems, or you can list specific issues ("new tires, engine runs well, passenger window does not open"). This protects you from the buyer claiming later that you hid a problem. Some forms have a checkbox for "as-is" — use it if available.
How to sign and notarize the form
Both you and the buyer must sign and date the bill of sale. Sign your name exactly as it appears on your title. The buyer should sign their name exactly as it will appear on their new title. Write the date you are signing — this is the official sale date.
Whether you need a notary depends on your state. Check your state's DMV website or call them to ask if notarization is required for a bill of sale. Some states require it; many do not. If your state does require it, you and the buyer must both go to a notary public together. A notary is available at most banks, credit unions, UPS stores, and some libraries — call ahead to confirm hours and fees, which usually run $5 to $15 per signature.
If notarization is not required in your state, you can sign the form at home or anywhere else. Some people still choose to have it notarized anyway for extra protection, even if it is not legally required. This is optional but not a bad idea if you are selling an expensive car or if the buyer is paying in installments.
What happens after you both sign
Make at least two copies of the signed bill of sale — one for you and one for the buyer. If you made a notarized copy, make copies of that version. Keep your copy in a safe place with your other car documents. You may need it later if there is a dispute about the sale date or price.
Give the original signed bill of sale to the buyer. They will need it when they go to the DMV to register the car in their name. The DMV will ask for the bill of sale along with the title, proof of insurance, and payment for registration fees. The buyer cannot complete the registration without it.
After you hand over the bill of sale and the title, your responsibility for the car ends. The buyer now owns it and is responsible for any accidents, parking tickets, or other problems that happen after the sale date. This is why the date on the bill of sale matters — it marks the exact moment ownership transferred.
Common mistakes to avoid when filling out the form
The most common mistake is writing the VIN incorrectly. Copy it slowly from your title or registration, letter by letter and number by number. A wrong VIN can delay or block the buyer's registration. The second mistake is leaving the sale price blank or writing "cash" instead of an amount. Always write a specific dollar figure, even if you are giving the car away — write "$0" so it is clear no money was exchanged.
Do not sign the form before the buyer is present and ready to sign. If you sign first and then the buyer changes their mind or disputes the terms, you have a signed document with only your signature, which can create confusion. Sign together at the same time, or at least on the same day.
Do not forget to keep a copy for yourself. Once you hand over the original to the buyer, you have no proof of the sale unless you kept a copy. This matters if the buyer later claims they never bought the car, or if the car is involved in a crime and police try to trace ownership.
What to do if you are buying a car and the seller does not have a bill of sale
If you are the buyer and the seller shows up without a bill of sale, do not complete the purchase until you have one. You need it to register the car at the DMV. Ask the seller to fill one out right then — it takes five minutes. If they refuse or seem unwilling, that is a red flag that something is wrong with the sale. Walk away.
If the seller is willing but does not have a form, you can pull one up on your phone from your state's DMV website or a legal document site and fill it out together. Make sure both of you sign and date it before money changes hands. If your state requires notarization, do not hand over payment until you have both signed in front of a notary.
Frequently Asked Questions
Can I use a handwritten bill of sale instead of a printed form?
Yes. A handwritten bill of sale is legally valid as long as it includes all the required information: date, seller name and address, buyer name and address, vehicle details including VIN, sale price, and both signatures. Handwritten is actually common and perfectly acceptable. Just make sure the handwriting is clear and both parties sign it.
What if the buyer wants to pay me in installments?
Write the total sale price and note the payment schedule on the bill of sale (for example, "$8,000 total: $4,000 today, $4,000 on July 1"). Some sellers also ask the buyer to sign a separate promissory note that spells out what happens if a payment is missed. A bill of sale alone does not may provide you will receive all the money, so consider whether you trust the buyer before agreeing to a payment plan.
Do I need to notarize the bill of sale if my state does not require it?
No, but you can if you want extra protection. Notarization costs $5 to $15 and proves that both signatures are genuine. It is optional in most states but recommended if you are selling an expensive car, if the buyer is a stranger, or if payment is being made in installments.
What if I lost my copy of the bill of sale after the sale?
Contact the buyer and ask them to send you a photo or copy of the signed bill of sale. If they will not cooperate, you can request a copy of the registration from your state's DMV — it will show the sale date and the buyer's name, which serves as backup proof that you sold the car. This is why keeping your own copy is important.
Can I sell a car without a title if I have a bill of sale?
No. A bill of sale is not a substitute for a title. You must have the original title to transfer ownership. If you have lost your title, contact your state's DMV to request a replacement before you sell the car. The buyer cannot register the car without both the title and the bill of sale.