What is a Delaware Bill of Sale?

When purchasing or selling a vehicle, it’s important to ensure the legal rights of both parties are protected, and this is often accomplished with a bill of sale. A DE motor vehicle bill of sale serves to record the details surrounding the vehicle sale as well as outlining and verifying the transfer of ownership. Requirements vary from state to state. You may only need to outline general information regarding the seller, purchaser and vehicle, but some states have more required details, including notarizing the bill of sale.

Not only is it proof that the transaction occurred, a DMV bill of sale also serves as a receipt. It may be used to finance the vehicle, transfer the title or obtain registration. Additionally, some states may base the vehicle sales tax on information within the bill of sale, such as the make, model, mileage and year. This document will not, however, serve as a functional substitute for the car title.

Is a Motor Vehicle Bill of Sale Necessary in Delaware?

In Delaware, a motor vehicle bill of sale is not required to document the transfer of vehicle ownership. However, in order to legally protect your rights, both the seller and buyer should consider completing a DE bill of sale. If you opt not to use one, you are still required to record some pertinent information on the Certificate of Title. This typically includes the names and current contact information for both the purchaser and the seller, accurate vehicle mileage and the sale price.

Though the DE bill of sale is optional under most circumstances, if the vehicle is missing the Certificate of Title or registration, one will be required. Your local DMV can also assist you in completing the transaction to ensure that the paperwork is filled out correctly. Regardless, it is in everyone’s best interest to at least complete a generic DE DMV bill of sale, which may be easily procured online. Here are some important details you should record:

  • Buyer and seller contact information
  • Signatures by both individuals
  • Date of sale
  • Purchase amount
  • Accurate odometer reading
  • Vehicle Identification Number (VIN)
  • Other information, such as the model, make, year and series number

An additional step to consider is notarizing the DE bill of sale. All of this added documentation can prevent legal headaches later if something goes wrong with the vehicle.

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