What Is A Vehicle Bill Of Sale? (2026)
Contributor
Reviewed By Adam Ramirez, J.D.
Editor
- What Is a Vehicle Bill of Sale?
- When Do You Need a Vehicle Bill of Sale?
- Why Use a Vehicle Bill of Sale?
- What Does a Vehicle Bill of Sale Contain?
- State-Specific Requirements and Notarization
- How to Fill Out a Vehicle Bill of Sale
- Common Mistakes to Avoid When Preparing a Bill of Sale
- Find Legal Help Today
Summary
- A vehicle bill of sale offers proof of change of ownership
- Some states require a notarized bill of sale for private purchases
If you’re buying or selling a vehicle, you may need to complete several documents, such as a vehicle bill of sale. Although not all states require this document, it’s a good idea to prepare one because it offers proof of the sale. Take a closer look at how to write a bill of sale and why it’s essential.
What Is a Vehicle Bill of Sale?
A vehicle bill of sale records the transfer of ownership of a car or any other vehicle from the seller to the buyer. It’s similar to the contract you would sign at a dealership if you bought the car there.
But what is the difference between a bill of sale vs. title, then? The title is the official document proving ownership of the vehicle, while the bill of sale functions more like a receipt.
When Do You Need a Vehicle Bill of Sale?
Some states require a vehicle bill of sale whenever you purchase a car to be able to formally transfer ownership and to register it with the Department of Motor Vehicles (DMV). It’s an important document when selling or buying a vehicle privately.
Why Use a Vehicle Bill of Sale?
A bill of sale can protect you against liability in personal injury cases if the vehicle is involved in any type of accident. It’s also a helpful document for DMV registration in many states and can be useful for tax purposes. Additionally, it contains an as-is clause, which helps prevent disputes about the vehicle’s condition.
What Does a Vehicle Bill of Sale Contain?
The vehicle bill of sale generally includes the following:
- Name and address of the buyer and seller
- VIN
- Purchase price
- Date of the sale
- As-is clause
- Signatures of both parties
It should also contain a detailed description of the vehicle.
State-Specific Requirements and Notarization
Most states do not require a bill of sale, while others have you prepare one and get it notarized to be legally binding. States like Maryland require notarization, and others like New York require that the buyer sign the bill of sale even if the vehicle is a gift.
How to Fill Out a Vehicle Bill of Sale
To fill out the vehicle bill of sale as the seller, you will need to provide all of the information regarding the vehicle, including the VIN. You will have to add the exact price and all of the pertinent information regarding the buyer and seller.
Common Mistakes to Avoid When Preparing a Bill of Sale
The most common mistakes to avoid are providing inaccurate information on the parties involved and not getting signatures. Not verifying lien details is another mistake.
Find Legal Help Today
Have questions about selling a vehicle or navigating other legal concerns? Explore our resources and tools at ConsumerShield today.
Bill Of Sale Knowledge Base
Read the latest information on Bill Of Sale and find answers to your questions. Currently there are 6 topics about Bill Of Sale .
How To Transfer Title
How To Write For Car
How To Sell Car Privately
Frequently Asked Questions
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Notarization involves all parties signing the document in front of a licensed notary. It adds extra protection to the sale.
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You need two. One is for the buyer, the other for the seller.
