Auto Bill Of Sale

Why You Need An Auto Bill Of Sale Form

If you are thinking of selling your car or plan to buy a used one, then you should ensure that the sale is recorded with an auto bill of sale form. A bill of sale gives the seller proof that the title for the vehicle has been legally transferred to a third party. For a buyer, an bill of sale form is a record that the purchase of the vehicle did in fact occur. There are several things that each bill of sale form needs to contain. The names and addresses of both the buyer and the seller, a description of the vehicle as well as the purchase price should all be documented.

Nearly all states require a bill of sale form to be produced before registering any newly purchased vehicle. This law is in place for the following reasons. The first has to do to the automobiles purchase price and its associated tax assessment. The second is concerned with the odometer reading of the used vehicle. By noting this at the time of purchase, odometer fraud can be detected down the track if this were to take place.

A bill of sale form that does not provide all the stated information will in many cases not be accepted and the vehicle will not be able to be registered.

Even though there may be one or two states that do not require a bill of sale form in order to finalise your vehicle registration, consumers are still advised to complete such a form for their own protection and peace of mind.

An auto bill of sale form can be written in just a few minutes, but will provide a lifetime of protection.