Advertisement
Find a Car
Go!

Selling Your Car: Do You Need A Bill Of Sale?



The economic downturn has forced more Americans to sell their vehicles on their own instead of trading them in with a car dealer. Yet most of us only sell a handful of cars in our lifetime. The result is a learning curve that many of us need help with.

One of the most difficult areas for private sellers to navigate is to safely complete the paperwork when selling a vehicle privately. And one of the most common concerns in this area is the question of “Is a bill of sale actually needed?”

 It Depends…

Did you know that in most states a bill of sale does not actually transfer legal ownership of your car to the new buyer when you sell it privately? For those states, the actual transfer is done through the DMV. However, some states require a bill of sale for a private deal to be completed.

When I was researching my new book, I discovered that most experts recommend that you complete a bill of sale  whether your state requires one or not. Here is why:

  • A Bill of Sale makes the sales transaction explicit by identifying what is for sale,            any conditions attached, and the price. (FromHELP! I Gotta Sell My Car NOW!)

Selling Privately?

If you plan on selling your vehicle privately you can create your own bill of sale. Be sure to include the following:

  • The vehicle identification number (VIN)
  • year, make, and model
  • odometer reading (mileage)
  • date of sale
  • purchase price
  • be sure to include the phrase "sold as is," unless you have agreed to something else
  • names and addresses of buyer and seller
  • signatures of buyer and seller

For a small fee you can download an attorney-prepared bill of sale online that has been specifically designed for your state. Use the search terms “auto bill of sale” to see what is available and at what price.

--------------

L. James Johnson is the guy who wrote the book on how to sell your car online: HELP! I Gotta Sell My Car NOW! New Rules for Selling Your Vehicle Online! is available on Amazon.com.

Advertisement
 
Follow Us

 

Have an opinion?

  • Posting indicates you have read this site's Privacy Policy and Terms of Use
  • Notify me when there are more comments
 

Have an opinion? Join the conversation!

Advertisement
Try My Showroom
Save cars, write notes, and comparison shop with hi-res photos.
Add your first car
Advertisement
Take Us With You!
   
Advertisement

 
© 2014 The Car Connection. All Rights Reserved. The Car Connection is published by High Gear Media. Stock photography by izmo, Inc. Send us feedback.