When buying or selling a used car, it is wise to use an auto bill of sale form. For the seller, a bill of sale is beneficial as it provides evidence that the cars title has been legally transferred to new owner. For the buyer, a bill of sale documents the transaction and is the best way to prove ownership.
There are several things that each bill of sale form should contain. The names and addresses of both the buyer and the seller, a description of the vehicle, being sure to include the vehicle identification number (VIN). as well as the sale price should all be recorded.
Almost every state requires an auto bill of sale form to be provided in order to register any newly purchased vehicle. This law is in place for the following reasons. The first relates to the automobiles purchase price and its associated tax assessment. The second is concerned with the actual mileage of the used vehicle. By noting this at the time of re-sale, odometer fraud can be discovered at a later time if this were to take place.
It is important to use a professional auto bill of sale form that records all of the necessary information. If any of the required information is not recorded some states may not allow you to register the vehicle.
Although there are one or two states that do not require an auto bill of sale form in order to process your vehicle registration, consumers are still recommended to complete such a form for their own protection and peace of mind.
A bill of sale form can be completed in just a few minutes, but will guarantee a lifetime of protection.