In South Dakota, a bill of sale is an acceptable proof of purchase. It includes information about your vehicle, such as the make, model, year, title number, and purchase price—as well as basic information about the buyer and seller.

Every state has different requirements surrounding bills of sale, but it’s usually a good practice to complete one whenever you buy or sell a vehicle. In South Dakota, you are required to show proof of purchase for out-of-state cars—such as a bill of sale.

To ensure your following state guidelines, the

car insurance

comparison and broker app

Jerry

has assembled a guide for completing a bill of sale in South Dakota.

What is a bill of sale?

Similar to a receipt you’d receive at a grocery store, a bill of sale documents the private purchase of a vehicle. Along with the selling price, this document contains information such as the vehicle’s make, model, year, and odometer reading. It also includes the names, signatures, and addresses of both the buyer and seller.

Notably, a bill of sale will not transfer the ownership of a vehicle in the same way a

title transfer

would. Instead, a bill of sale is the ultimate proof of purchase for your car, as it records the sale and outlines specific aspects of the agreement.

Is a bill of sale required in South Dakota?

South Dakota does require the seller to complete a bill of sale during the private transfer of a vehicle. If you're purchasing a car from outside the state, you’ll need to show proof of purchase when registering it—the same goes for when a purchaser wants to complete a title transfer.

While a bill of sale won’t always need to be looked at by the DMV, we strongly recommend you complete one. This document is required by law and can assist you in keeping good tax records and protecting you from legal action regarding the sale of the vehicle.

What is required in a South Dakota bill of sale?

If you plan on completing a bill of sale in South Dakota, the easiest method is to download the following

form

—a complete bill of sale from the South Dakota Department of Revenue.

You can also draft your own document. But if you choose this more hands-on route, be sure to include the following.

Make

Model

Year

Title number

The purchaser's name

The seller’s signature and address

The final purchase price

Once completed, you can submit your bill of sale to any South Dakota DMV while registering your vehicle.

What should I do after I get a bill of sale?

After completing a bill of sale, you will also have to transfer the vehicle. In this instance, remember that a bill of sale only documents the purchase—like a receipt—and does not initiate a transfer.

After completing a bill of sale, your next step should be to complete a title transfer and register your vehicle. A title transfer will make the change of ownership official, while registration will solidify you as the owner—and let you legally hit the road.

If you’ve purchased a vehicle from out of state, you’ll need to demonstrate a bill of sale whenever you begin to register the car. If this isn't the case, it’s always good to keep this document on hand (for both the buyer and seller)—to isolate you from legal consequences if they arise.

How to find affordable car insurance

A bill of sale can prove the purchase of a vehicle. But if you need proof that you're overpaying on car insurance, try

Jerry

Jerry is a personal insurance broker that lives in your pocket. But don’t worry about buying tiny office furniture, Jerry is an app. Once you download Jerry, just answer a handful of questions that will take you roughly 45 seconds to complete and you’ll immediately get car insurance quotes for coverage similar to your current plan.

The best part? Jerry users save an average of $879 a year on car insurance!

“I had a great experience using
Jerry
for the first time. Once my boyfriend buys his new car, we’ll use Jerry together to make sure he doesn’t end up overpaying on new insurance!” —Stephanie S.

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