In general, a legally acceptable used car bill of sale should include the odometer reading at the time of sale, the Vehicle Identification Number, or VIN and the vehicle make and model, explains Rocket Lawyer. Used car bills of sale typically vary by state, notes DMV.org.Continue Reading
Used car bills of sale typically include names and addresses of both buyer and seller, date of sale and purchase price of the vehicle, notes AutoCrisis. Where necessary, these documents should be notarized and copies made for record-keeping purposes. However, used car bills of sale are typically not considered definitive proofs of ownership and other documents, such as vehicle titles, may be needed. Used car bills of sale may be required when purchasing tags from state Departments of Motor Vehicles or when buying auto insurance.
Used car bills of sale provide several benefits, notes Rocket Lawyer. They ease the process of calculating taxes, clearly delineate responsibilities and thus prevent conflict, protect the rights of both buyer and seller and ease record keeping.
Bills of sale may not be appropriate in some situations, notes Rocket Lawyer. For instance, they may be unnecessary for transactions involving very small amounts of money. In addition, they cannot be used for real estate transactions or sales that involve babysitting, consulting or other services.Learn more about Buying & Selling