Do You Need a Bill of Sale in Illinois? (2026)

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Do you need a bill of sale in Illinois?

Summary

  • Licensed Illinois used vehicle dealers must give every buyer a properly executed bill of sale.
  • Illinois law requires a signed record for most sales of goods priced at $500 or more.
  • A bill of sale does not replace the certificate of title, which the seller must assign.

Handing over the keys feels like the end of a car sale. It rarely is. Weeks later, a parking ticket, a tax question or a title problem can land back on the seller. The paperwork you sign today decides how that conversation goes.

Illinois Law on Bill of Sale Requirements

Illinois does not require a private seller to create a bill of sale for every vehicle. The rule is different for dealers. Under 625 ILCS 5/5-102, all licensed used vehicle dealers must furnish each buyer with a certificate of title properly assigned to the purchaser, a statement verified under oath that the identifying numbers on the vehicle match the ones on the title, and a bill of sale properly executed on the dealer's behalf.

Court-ordered sales carry their own rule. When a vehicle is sold at a public sale by a sheriff, 625 ILCS 5/3-104 says the title application must come with the required fee and a bill of sale issued and signed by the sheriff. That document has to identify the new owner's name and address, the year model, make and vehicle identification number, the court order document number authorizing the sale where one applies, and any lienholders in order of priority.

So the short version is this. If you buy from a dealer or at a sheriff's sale, a bill of sale comes with the deal. If you sell your own car in Illinois to a neighbor, no statute hands you that protection – you have to create it.

Why a Bill of Sale Protects You

A written record matters most when memories disagree. Illinois follows the statute of frauds in 810 ILCS 5/2-201, which says a contract for the sale of goods priced at $500 or more generally is not enforceable in court unless there is a record showing the parties made a contract, signed by the party the claim is being made against or by their authorized agent or broker.

Most vehicles clear that $500 line easily. A signed bill of sale is exactly the kind of record the statute describes. It is also the cleanest proof of the date you stopped owning the vehicle, which is what you may want if the buyer collects tickets before transferring the title.

One caution worth knowing. That same statute says a record is not insufficient just because it leaves out or misstates a term the parties agreed on, but the contract is not enforceable beyond the quantity of goods shown in the record. Knowing how to write a bill of sale for a car helps here – write the terms down carefully rather than relying on a handshake.

What to Include in an Illinois Bill of Sale

There is no single state form for private sales, so build your vehicle bill of sale in Illinois around the details Illinois already asks for elsewhere in the vehicle code. Typically, a strong bill of sale lists:

  • The full name and address of both the seller and the buyer
  • The vehicle's make, year model, body type and vehicle identification number
  • The sale price and the date of the sale
  • The odometer reading at the time of transfer, and whether it is actual mileage, not actual mileage or beyond the odometer's mechanical limits
  • Any lienholders, listed in order of priority
  • Signatures from both parties, with each keeping a copy

Other Documents Needed to Sell a Vehicle

A bill of sale never replaces the title. Under 625 ILCS 5/3-112, an owner who transfers an interest in a vehicle must, at the time the vehicle is delivered, execute an assignment and warranty of title to the buyer in the space provided on the certificate of title or as the Secretary of State prescribes, then see that the certificate and assignment reach the buyer or the Secretary of State.

The buyer then applies for a new certificate of title – the step that completes how you transfer a car title in Illinois. That application goes to the Secretary of State on the prescribed form and must include the owner's name, Illinois residence or place of business and mail address, a description of the vehicle, the date of purchase, the name and address of the person the vehicle came from, any lienholders in order of priority, the current odometer reading and its status. Illinois also lets an owner name a beneficiary on that form, so ownership passes to that person if the owner dies.

Create Your Illinois Bill of Sale With ConsumerShield

A template can save time and reduce the risk that you draft an incomplete or unenforceable document. It prompts you for the vehicle identification number, the odometer reading and both signatures before anyone drives away. For help drafting yours, explore ConsumerShield's online tools and resources today.

Vehicle Bill of Sale Template

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DMV-ready vehicle bill of sale in 12 minutes. Sale, gift, or trade – includes VIN, federal odometer disclosure, smog certification, lien status, and state-specific titling for all 50 states. Instant PDF download.

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Frequently Asked Questions

No Illinois statute requires private sellers to use one. Still, state law generally requires a signed record for sales of goods priced at $500 or more, so a bill of sale is often the document that makes the deal enforceable.
It does not. Illinois requires the owner to execute an assignment and warranty of title on the certificate of title when the vehicle is delivered. The bill of sale records the terms of the sale alongside that transfer.
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