What Is a Vehicle Bill of Sale?
A Vehicle Bill of Sale is a contract that documents the transfer of a vehicle from its current owner to the buyer. It is usually completed by the seller and includes vehicle details, as well as information on both parties of the transaction, and is believed to be an important addition to the title transfer contract acting as a receipt. This form - otherwise referred to as a Sales Slip - only shows when and where the sale was effected and does not prove ownership. A title transfer is a document that serves the purpose. Moreover, completing a title transfer is a legal requirement in a number of states.
- Car Bill of Sale;
- Motor Vehicle Bill of Sale.
A better option would be to create a Sales Slip of your own. Using the tips given below, it will be easier for you to make this document yourself. Fill out our Vehicle Bill of Sale template to create a personalized Sales Slip designed specifically for your needs.
Do You Need a Bill of Sale When Selling a Vehicle?
Wondering how to sell a car? Depending on the state where you are planning to sell or buy your car, a Vehicle Bill of Sale can be required by the state law. The rules for completing the form also vary: in some states, the forms have to be signed by both parties. In others, it has to be notarized (for example the Department of Motor Vehicles (DMV) of Louisiana, Maryland, Wyoming, or Nebraska will require your bill to be notarized). At the same time, some states do not ask for any of this.
Even if a Sales Slip is not obligatory for making a deal in your area, it is still a good idea to have one, as it might be beneficial for both parties. Primarily, as the form is completed, it proves that the seller no longer carries responsibility for the vehicle.
The bill also provides important details for the buyer, such as the price and date of the transaction, odometer reading, the seller's contact information, etc. Notarizing the document benefits both parties as well, especially in case of disagreements, and it carries more legal weight after being signed by a witness.
How to Get a Bill of Sale for a Car?
There are several ways of getting a Bill of Sale for a vehicle. You can go to your local DMV office (or other state motor vehicle agency) to collect one, as well as visit a DMV website and download a sample. You may also hire an attorney to write this document for you, or perform a sale through a legal dealer. If the latter is the case, you will not need to do any paperwork yourself.
Do not download sample sale slips from the Internet unless you are sure they meet all the requirements of your state law and are absolutely legit.
How to Write a Vehicle Bill of Sale?
If you decided to sell a car and wonder how to write a Bill of Sale, here are some tips for you:
- Decide on what type of vehicle you are about to sell and specify the vehicle type on your form;
- Don't forget to include your vehicle information, such as make, year, model, odometer reading and its identification number (VIN);
- A Sales Slip of any type should include information on both parties: name, address, mobile phone number and, of course, a signature;
- Never omit the purchase price and the date box;
- If the vehicle is supposed to be a gift, creating the form is still a must. Just indicate the fact that it is a present in your Sales Slip;
- Include warranty information if your agreement so requires. If your sale is considered to be “as is” (which means there is no warranty), leave this box blank;
- Consider having to notarize your transaction;
- Check and double-check whether the information entered is accurate;
- Read the document before signing it and don't forget to keep a copy after the deal is completed.
What Should a Vehicle Bill of Sale Include?
A Car Bill of Sale must cover, at the very least, the following points:
- Vehicle type.
- Specific vehicle information.
- Buyer's contact information.
- Seller's contact information.
- Purchase price.
- Purchase date.
- Property location.
- Sales tax.
- The form of payment.
- Other terms and conditions.
- Enough place for two (or three, in case you have decided to get the deal notarized) signatures.
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