How to Draft a Vehicle Bill of Sale

Written by michael o. smathers
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A vehicle bill of sale is a written contract between you, as the seller of a used vehicle, and the buyer, someone purchasing the vehicle from you. A bill of sale is necessary to provide legal proof of the transaction and to provide a binding contract for a payment plan between you and the buyer, should you negotiate one. A fully completed bill of sale requires you to have complete information about the vehicle.

Skill level:
Moderately Easy

Things you need

  • Vehicle information
  • Computer with word processor

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  1. 1

    Gather all information about the vehicle to be sold, such as the VIN---Vehicle Identification Number---and the make and model. This data typically can be found on your vehicle title.

  2. 2

    Write the introduction to your bill of sale. Although the exact wording can vary, you should include your information---name and address---as well as the buyer's information and a complete description of the vehicle. According to the Connecticut DMV, the vehicle description should include an odometer reading at the time of purchase. For example, you could write, "I, (your name) do hereby fully transfer all rights of ownership and use of (description of vehicle) to (buyer)."

  3. 3

    Describe the vehicle by make, model and colour. Add details about its condition and mileage and add a note that it is sold "as-is."

  4. 4

    Write the dollar amount of the transaction in the same manner as you would a check, followed by the numerical amount in parentheses. For example, if you were selling your car for £1,950, you would write, "The above stated rights of ownership and use shall be granted in return for the payment of three thousand (3,000) dollars."

    If you and the buyer have negotiated a payment plan, include the details: "This amount is to be paid via an initial payment of fifteen hundred (1,500) dollars, followed by three subsequent payments of five hundred (500) dollars per month thereafter."

  5. 5

    Sign and date the document. Add a blank space for the buyer's signature.

  6. 6

    Print two copies of the document and have the buyer sign both of them. Keep one copy for your records.

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