What a 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 that a car has changed hands. It shows the date of the sale, the vehicle details, the price paid, and the signatures of both parties. When you sell or buy a car privately — not through a dealership — a bill of sale protects both of you by creating proof of the transaction.

Many states do not require a bill of sale by law, but your state's Department of Motor Vehicles may ask for one when you register the vehicle in the new owner's name. Even if your state does not require it, having one on file prevents disputes later: if the buyer claims they never paid, or the seller claims they never transferred the title, the bill of sale is your evidence of what actually happened.

A bill of sale also documents the condition of the car at the time of sale. If you note that the vehicle has a dent, a check-engine light, or mechanical issues, you are protecting yourself against claims that you hid defects. The buyer cannot later say the problem was your fault if they signed a document acknowledging it was already there.

Key Takeaways

  • A bill of sale is a signed document between buyer and seller that records the vehicle details, sale price, and date — and protects both parties if disputes arise later.
  • You can find free printable templates online through your state's DMV website, legal document sites, or by searching "[your state] bill of sale template."
  • The bill of sale should include the vehicle identification number (VIN), odometer reading, sale price, and signatures of both the buyer and seller, dated on the day of the sale.
  • Keep one signed copy for your records and give the other to the buyer; if you are the seller, also bring a copy when you transfer the title at the DMV.
  • Some states have specific bill of sale forms or requirements — check your state DMV website before you print to make sure your template meets local rules.

Where to find a free printable bill of sale template

The fastest source is your state's Department of Motor Vehicles website. Most states publish an official bill of sale form or a list of what information must be included. Search "[your state name] DMV bill of sale" or "[your state name] motor vehicle bill of sale form" and look for a PDF you can read and print. If your state has an official form, use that one — it will meet all local requirements.

If your state does not publish a form, legal document websites like LawDepot, Rocket Lawyer, and Nolo offer free templates you can print. These are generic forms that work in most states. Search "free bill of sale automobile" or "free car bill of sale template" and filter for your state if the site offers that option. read the PDF, print it, and fill it in by hand or on your computer before printing.

You can also ask your state's DMV directly — call or visit their website and ask whether they have a recommended template or whether any specific language is required. Some states have no formal requirement, which means any clear, signed document showing the sale details will work. Others require specific fields or wording, and the DMV can tell you what those are.

What information to include on the bill of sale

Start with the basics: the full legal names and addresses of both the buyer and the seller. Include the date of the sale. Then add the vehicle information: the year, make, model, color, and most importantly, the Vehicle Identification Number (VIN), which appears on the driver's side of the dashboard and on the title document. The VIN is the single most important piece of information because it proves you are talking about the same car.

Record the odometer reading on the day of sale — the number of miles shown on the dashboard. This protects the buyer by documenting the mileage at the time of purchase. Include the sale price in words and numbers (for example, "One thousand five hundred dollars ($1,500)"). Note the condition of the vehicle: note any dents, mechanical issues, warning lights, or damage that both parties have observed. You can write "as-is" if the buyer is taking the car in its current condition, but listing specific issues is clearer.

Add a line stating whether the seller still owes money on the car (a loan balance). If the car is paid off, write "No lien" or "Paid in full." If there is still a loan, write the lender's name and the approximate balance. This tells the buyer whether the title will be clear or whether the lender must be paid off before the title transfers. Both parties should sign and date the document at the bottom.

How to fill out and sign the bill of sale

Print two copies of the template — one for the seller and one for the buyer. Fill in all the blanks with a pen or type the information before printing. Use the vehicle's title document to copy the VIN and current owner name accurately. Write clearly so there is no confusion later about what was agreed to.

Both the buyer and seller must sign and date the document in front of each other. Some states require the signatures to be notarized (witnessed and stamped by a notary public), though most do not. Check your state DMV website to see whether notarization is required. If it is, you can get a document notarized at most banks, UPS stores, or through a notary service — the cost is usually $5 to $15 per signature.

Do not leave any blanks. If a field does not explore (for example, if there is no lien on the car), write "N/A" or "None" so it is clear the information was not forgotten. Once both parties have signed, each keeps one copy. The seller should keep their copy for their records. The buyer will need their copy when they go to the DMV to register the car in their name.

What to do with the bill of sale after the sale

If you are the seller, keep your signed copy in a safe place for at least a few years. You may need it if a question arises about the sale or if the buyer later claims they never received the car. Some sellers also photograph or scan their copy as a backup. When you transfer the title at the DMV, bring your copy of the bill of sale — the DMV may ask to see it, and having it on hand speeds up the process.

If you are the buyer, bring your signed copy of the bill of sale to the DMV when you register the vehicle. The DMV will ask for proof of purchase, and the bill of sale is that proof. You will also need the title document from the seller, a completed registration process, and proof of insurance. The DMV will use the bill of sale to confirm the sale price and vehicle details match the title.

Keep your copy of the bill of sale with your vehicle records — in the same folder as your registration, insurance documents, and maintenance records. If you ever sell the car yourself, you can reference it to confirm details like the mileage and condition at the time you bought it.

State-specific requirements and variations

A few states have specific rules about bills of sale that differ from the standard template. For example, some states require the bill of sale to be on a specific form, while others allow any written document as long as it includes certain information. A handful of states require notarization; most do not. Your state DMV website will list any special requirements.

Some states ask for the odometer reading to be certified as accurate by the seller — meaning the seller signs a statement that the mileage shown is correct to the best of their knowledge. This protects against odometer fraud. If your state requires this, the template will include a line for it. If you are using a generic template and your state requires it, add a sentence like "The seller certifies that the odometer reading of [number] miles is accurate to the best of their knowledge."

A few states have separate forms for private sales versus dealer sales, or for sales between family members. Check your state DMV website to see whether a special form applies to your situation. If you cannot find the answer, call the DMV directly — they can tell you in a few minutes whether your template is acceptable or whether you need a different form.

Common mistakes to avoid

The most common mistake is leaving the bill of sale blank or incomplete. Every field should be filled in, even if the answer is "none" or "N/A." Blank spaces create doubt about whether the information was forgotten or intentionally left out. A blank VIN field, for example, could raise questions later about which car was actually sold.

Another mistake is signing the bill of sale before both parties have agreed on all the details. Do not sign until the price, condition, and vehicle details are all written down and both parties have read and approved them. Once signed, the document is a legal record, and changing it afterward looks suspicious.

Do not assume the buyer will handle the DMV registration. As the seller, your job is to sign the title and the bill of sale and hand them to the buyer. But if the buyer does not register the car promptly, you may still be liable for parking tickets or accidents involving the vehicle until the title is officially transferred. Some sellers ask the buyer to show proof of registration within a set time frame, or they keep a copy of the bill of sale as evidence they sold the car on a specific date.

Frequently Asked Questions

Do I need a bill of sale if I am selling a car to a family member?

Yes. Even though you trust the buyer, a signed bill of sale protects both of you. It documents that money changed hands (or that the car was a gift), and it proves the sale date. If the family member later has an accident or gets a parking ticket before registering the car, the bill of sale shows you are no longer the owner.

What if the buyer and I cannot agree on the sale price?

The bill of sale must show the actual price both parties agreed to. If you are negotiating, settle on a price before you print and sign the document. The price on the bill of sale is what the DMV will use to calculate sales tax and registration fees, so it must be accurate and agreed to by both parties.

Can I use a bill of sale instead of transferring the title?

No. The bill of sale documents the sale, but the title is the legal proof of ownership. The seller must sign the title document and give it to the buyer. The buyer then takes both the title and the bill of sale to the DMV to register the car in their name. Without the title transfer, the seller remains the legal owner.

What if I lost the bill of sale after the sale?

If you are the seller and you lost your copy, contact the buyer and ask for a copy of theirs. If you are the buyer and you lost your copy, you can ask the seller for another signed copy, or you can go to the DMV and explain the situation — they may allow you to register the car with just the title and proof of purchase, though requirements vary by state.

Do I need to have the bill of sale notarized?

Most states do not require notarization. Check your state DMV website to see whether it is required where you live. If it is, you can get the document notarized at a bank, UPS store, or notary service for a small fee. If it is not required, a straightforward signature from both parties is enough.