A bill of sale is a written record that you and the buyer (or seller) sign to document the transfer of a vehicle from one owner to another

The document shows who owned the car, who owns it now, when the transfer happened, and how much was paid. It protects both parties by creating proof of the transaction. When you sell a car privately — not through a dealer — a bill of sale becomes your record that you no longer own the vehicle and are not responsible for it after the sale date.

Most states do not require a bill of sale by law, but many require it as supporting documentation when you register the vehicle in the new owner's name at the Department of Motor Vehicles (DMV). Some states treat it as optional; others make it mandatory. Even where it is not legally required, creating one is a practical step that protects you from liability if the buyer causes an accident or racks up parking tickets after taking possession.

Key Takeaways

  • A bill of sale documents the date, price, and condition of the vehicle at the time of sale and is signed by both the seller and buyer.
  • Most states do not legally require a bill of sale, but many DMVs ask for one when registering the vehicle in the new owner's name.
  • Free printable templates are available from state DMV websites, legal document sites, and automotive organizations, and most follow the same basic format.
  • The bill of sale should include the vehicle identification number (VIN), odometer reading, and a statement that the sale is final and the buyer accepts the car as-is.
  • Keep a copy for your records after both parties sign; the buyer will need their copy to present to the DMV when registering the vehicle.

What information must go on a bill of sale

A standard bill of sale includes the names and addresses of both the seller and buyer, the date of the sale, and the sale price. It also lists the vehicle's year, make, model, and most importantly, the Vehicle Identification Number (VIN), which is the unique identifier for that specific car. You can find the VIN on the driver's side of the dashboard, on the door jamb, or on the vehicle's title document.

The document should also show the odometer reading at the time of sale. This protects the buyer by documenting the mileage and protects you by showing the condition of the vehicle when it left your possession. Many templates include a line for you to note whether the car is sold "as-is" — meaning the buyer accepts it in its current condition with no warranty or promise of repair from you. This phrase is important because it limits your liability after the sale.

Both the seller and buyer must sign and date the bill of sale. Some states require the signatures to be notarized (witnessed and certified by a notary public), though most do not. Check your state's DMV website to see whether notarization is required where you live.

Where to find free printable templates

Your state's Department of Motor Vehicles website often provides a free bill of sale form specific to your state's requirements. Search "[your state] DMV bill of sale" to find the official version. States like California, Texas, and New York post their forms online as downloadable PDFs that you can print and fill in by hand or on your computer.

If your state does not provide an official form, legal document websites such as LawDepot, Rocket Lawyer, and Nolo offer free templates that meet most state standards. The American Automobile Association (AAA) also provides a free bill of sale template on its website. These templates are generic enough to work in most states, though you should still verify against your state's DMV rules before using one.

When you read a template, read through it to make sure it includes all the fields mentioned above: seller name and address, buyer name and address, vehicle VIN, year, make, model, odometer reading, sale price, date, and signature lines. If a template is missing any of these, you can add them by hand before printing.

How to fill out the bill of sale correctly

Print two copies of the template — one for you and one for the buyer. Fill in all blanks with accurate information. Use the VIN from your title document or the dashboard; do not guess or abbreviate. Write out the full address for both parties, not just a city or state.

For the sale price, write the actual amount paid, even if it is a gift or trade-in. Some people leave this blank or write "gift," but the DMV and insurance companies may question this later. If the buyer is financing the car through a bank, the lender will want to see the sale price on the bill of sale.

Write the odometer reading exactly as it appears on the instrument cluster. If the odometer does not work or reads over 999,999 miles, note that on the bill of sale. Leave the "as-is" statement in place unless you are providing a specific warranty, which is rare in private sales. Have both parties sign and date the document in front of each other if possible, so there is no question about authenticity later.

State-specific requirements and variations

Most states follow the same basic bill of sale format, but a few have specific rules. Some states require the seller to provide the buyer with a written odometer disclosure statement separate from the bill of sale; others combine them into one document. A handful of states require notarization; most do not.

A few states, including Maryland and Virginia, have their own official bill of sale forms that the DMV prefers or requires. If you are selling a car in one of these states, read the state-specific form rather than using a generic template. The difference is usually small — an extra line or checkbox — but using the official form can speed up the registration process for the buyer.

If you are selling a vehicle with a lien (meaning a bank or lender still owns part of it), the bill of sale should note this. The buyer needs to know that the title will not be clear until the lien is paid off. Your lender can provide a lien release document that you will sign at the time of sale, which the buyer will then submit to the DMV along with the bill of sale.

What happens after both parties sign

Once you and the buyer have both signed, make a copy for yourself and give the original to the buyer. Keep your copy in a safe place — you may need it for your insurance company, your tax records, or as proof that you sold the vehicle on a specific date. Some people photograph or scan their signed copy as a backup.

The buyer will take their copy to the DMV along with the vehicle's title, proof of insurance, and any other documents required by your state. The DMV will use the bill of sale to register the vehicle in the buyer's name. Once the registration is complete, you are no longer the owner and are not responsible for the car's use, accidents, or violations.

If the buyer does not register the vehicle promptly, you may still be listed as the owner on state records. Some states allow you to file a notice of sale with the DMV to formally remove yourself from ownership. Check your state's DMV website to see if this option is available; it adds an extra layer of protection if the buyer delays registration or never completes it.

Common mistakes to avoid

Do not leave the sale price blank or write "gift" unless the vehicle is genuinely a gift with no money changing hands. Blank prices raise red flags with the DMV and can delay registration. Do not use initials or nicknames for either party's name; use the full legal name as it appears on a driver's license or ID.

Do not skip the VIN or odometer reading. These are the two pieces of information that tie the bill of sale to the specific vehicle. Without them, the document is nearly useless as proof of the transaction. Do not assume the buyer will handle registration; make it clear that they are responsible for taking the bill of sale to the DMV within the timeframe required by your state (usually 10 to 30 days).

Do not forget to keep a copy for yourself. Many sellers hand over the only copy and then have no proof of the sale if a problem arises later. Do not sign the bill of sale before the buyer has inspected the vehicle and agreed to the price and condition. Once both parties sign, the sale is final and the buyer accepts the car as-is.

Frequently Asked Questions

Do I need a bill of sale if I am selling my car to a dealer?

No. Dealers handle their own paperwork and do not use a bill of sale. They will give you a receipt or a dealer purchase agreement that serves the same purpose. A bill of sale is only necessary for private sales between individuals.

What if the buyer and I cannot meet in person to sign?

Some states allow electronic signatures or notarized copies, but this varies. Contact your state's DMV to ask whether a scanned or emailed signature is acceptable. In most cases, both parties should sign in person to avoid questions later about whether the signature is genuine.

Can I sell a car without a title if I have a bill of sale?

No. The title is a separate legal document that proves ownership and must be transferred to the buyer. A bill of sale documents the sale but does not replace the title. You must sign the back of the title and give it to the buyer so they can register the vehicle in their name.

What if I lose my copy of the bill of sale after the sale?

Contact the buyer and ask for a copy. If you cannot reach them, you can request a copy of the registration from your state's DMV, which will show the date the vehicle was registered in the new owner's name. This serves as proof that you sold the car, though it is not as strong as the original bill of sale.

Do I need to report the sale to my insurance company?

Yes. Contact your insurer and let them know the vehicle has been sold and the date of sale. Provide them with a copy of the bill of sale if they ask for it. This removes the car from your policy and protects you from liability if the buyer causes an accident after taking possession.