What a New Jersey bill of sale is and why you need one
A bill of sale is a written record that you and the buyer (or seller) sign to document the transfer of a car. In New Jersey, it serves as proof that money changed hands and that ownership moved from one person to another. The state does not require a bill of sale to register a vehicle, but it protects both parties by creating a dated, signed record of the transaction — who owned the car, who bought it, what they paid, and when the deal closed.
If you are selling a car, a bill of sale protects you by showing that you no longer own the vehicle on a specific date. If you are buying one, it documents what you paid and confirms the seller's identity. Without it, disputes over price, condition, or who is responsible for the car after the sale can become difficult to resolve.
Key Takeaways
- New Jersey does not have a state-mandated bill of sale form, so you can use a template from the Motor Vehicle Commission website, a generic template, or create your own as long as it includes the required information.
- Both the buyer and seller must sign and date the bill of sale, and it is wise to have the signatures witnessed or notarized, though not legally required.
- The bill of sale should include the vehicle identification number (VIN), the sale price, the date of sale, and the printed names and signatures of both parties.
- Keep a copy for your records; the buyer will need their copy when they register the vehicle with the New Jersey Motor Vehicle Commission.
What information must go on the bill of sale
New Jersey law does not dictate the exact format of a bill of sale, but certain details must be present for it to be useful and legally sound. The vehicle identification number (VIN) is essential — it is the unique identifier that ties the document to the specific car. Include the year, make, model, and color as well, so there is no confusion about which vehicle the sale covers.
The sale price must be stated clearly. Write out the dollar amount in both numbers and words (for example, "One Thousand Five Hundred Dollars ($1,500.00") to prevent later disputes. Include the date the sale occurred, the full legal names of both the seller and buyer, and their addresses. Both parties must sign and print their names on the document. If the seller is not the registered owner — for instance, if a spouse or co-owner is also on the title — that person should sign as well.
Some sellers and buyers also note the odometer reading and the condition of the vehicle (for example, "as-is" or "with warranty"). While not required, these details can prevent misunderstandings later.
Where to find a bill of sale template
The New Jersey Motor Vehicle Commission does not publish an official bill of sale form, but several reliable sources offer templates. The MVC website itself may link to sample forms or guidance on what a bill of sale should contain. Many online legal document services offer free New Jersey bill of sale templates that you can read and print.
You can also create your own bill of sale from scratch using a word processor, as long as you include all the required information listed above. Some people prefer to write it by hand on plain paper and have both parties sign it. The format matters less than the content — what matters is that the document clearly records who sold what to whom, for how much, and when.
How to sign and execute the bill of sale
Both the seller and buyer should sign the bill of sale in front of each other, ideally at the time of the sale. Each person should print their name below their signature. While New Jersey does not require the signatures to be witnessed or notarized, having a third party witness the signing — or having the signatures notarized — adds a layer of protection and can be useful if a dispute arises later.
If you choose to have the bill of sale notarized, you will need to visit a notary public with both parties present and with valid identification. The notary will verify your identities and watch you sign the document. This costs a small fee, usually between five and twenty dollars, but it creates an official record that the signatures are genuine.
Make at least two copies: one for the seller and one for the buyer. If the bill of sale is notarized, ask the notary for certified copies. Keep your copy in a safe place — you may need it for your records, your insurance company, or to resolve a future dispute.
When the buyer needs the bill of sale
The buyer will need the bill of sale when they register the vehicle with the New Jersey Motor Vehicle Commission. The MVC does not require you to submit the bill of sale with the registration process, but the buyer should have it on hand as proof of ownership and as documentation of the purchase price. Some insurance companies also ask to see the bill of sale before they will insure the vehicle.
If the buyer is financing the car through a bank or credit union, the lender may also request a copy of the bill of sale. The document helps the lender confirm that the buyer paid a reasonable price and that the transaction is legitimate.
What happens if there is no bill of sale
If a sale occurs without a bill of sale, the buyer still owns the car once they pay and take possession, but proving that ownership and the terms of the sale becomes harder. If the seller later claims the car was stolen or disputes the sale price, the buyer has no written record to fall back on. Similarly, if the buyer refuses to pay after taking the car, the seller has no documentation of the agreed-upon price.
The absence of a bill of sale does not prevent the buyer from registering the vehicle, but it may slow the process or raise questions at the MVC. For these reasons, creating a bill of sale costs nothing and takes only a few minutes — it is a practical step that protects both parties.
Frequently Asked Questions
Can I use a bill of sale from another state?
Yes, a bill of sale from another state can work in New Jersey as long as it contains all the required information: VIN, sale price, date, and signatures of both parties. However, using a New Jersey-specific template is simpler and avoids any question about whether an out-of-state form meets state expectations.
Do I need to register the bill of sale with the Motor Vehicle Commission?
No. The bill of sale is a private document between the buyer and seller. You do not file it with the MVC. The buyer will use it as supporting documentation when they register the vehicle, but the MVC does not keep a copy on file.
What if the seller's name on the bill of sale does not match the name on the title?
This can create problems when the buyer tries to register the car. If the names do not match, contact the MVC to find out what additional documentation you will need — for example, a marriage certificate or legal name change document. Resolve this before the sale if possible.
Is a bill of sale enough to prove I own the car?
A bill of sale shows you bought the car, but the title is the official proof of ownership in New Jersey. The buyer must transfer the title into their name at the MVC to be the legal owner. The bill of sale is a supporting document, not a substitute for the title.