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- What is a bill of sale?
- Is a bill of sale required in North Dakota?
- What is required in a North Dakota bill of sale?
- What should I do after I get a bill of sale in North Dakota?
- Finding affordable car insurance with Jerry
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In North Dakota, a bill of sale is not required for private vehicle sales, but it is considered best practice to draw one up—it should contain general information about the vehicle that’s changing hands, including the make, model, year, vehicle identification number (VIN), and odometer reading, as well as the names, addresses, and signatures of both the buyer and the seller.
While a bill of sale is not required in North Dakota, this document does act as a receipt for the transaction, so the car insurance app Jerry has pulled together everything you need to know about drawing up a bill of sale in North Dakota.
What is a bill of sale?
A bill of sale acts as a receipt for a private vehicle transaction. This document will contain general information about the vehicle being sold, including the make, model, and vehicle identification number (VIN), as well as the contact information and signatures of the buyer and the seller.
Do note—a bill of sale does not constitute legal ownership of a vehicle in North Dakota—only a certificate of title is considered proof of ownership.
Is a bill of sale required in North Dakota?
A bill of sale is not required for private vehicle sales in North Dakota. However, there is one exception to this rule—if you are seeking to title a vehicle that has no title credentials or record on file, the North Dakota Department of Transportation will require a bill of sale to be presented.
What is required in a North Dakota bill of sale?
If you create a bill of sale for a North Dakota private vehicle sale, it will need to include the following information:
- The names of both buyer and seller
- Contact information and addresses of both buyer and seller
- Signatures of both parties
- Vehicle description including make, model, year, VIN, and odometer reading
- Final purchase price
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What should I do after I get a bill of sale in North Dakota?
For all vehicles that are eight model years old or newer, the seller is required to fill out and deliver to the buyer a Damage Disclosure Statement (Form SFN-18609).
If the vehicle has no body or structural damage, the seller can complete section 1 and check the “NO” box. If the vehicle does have a damage history, the seller must fill out sections 2 and 3.
The seller should then complete section 4 and sign the document. The buyer must fill out section 5.
The seller will also have to fill out the Assignment & Warranty of Title (Form SFN-2877) in order to transfer the North Dakota title to the buyer. Both the seller and the buyer will need to fill out the relevant sections of the title with their names, addresses, signatures, date of sale, and odometer reading at the time of purchase.
Finally, the seller must remove the license plates from the vehicle before the buyer takes possession. Sellers are not required to turn in old plates to North Dakota’s Motor Vehicle Department—those plates can be transferred to another vehicle.
The seller should also cancel their insurance on the vehicle once it is in possession of the buyer.
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