Alabama Vehicle Bill of Sale Form

In case you reside in Alabama and wish to sell your motor vehicle, it’s recommended to use the Alabama Vehicle Bill of Sale Form – a legal document composed as a proof of the transfer of ownership. The bill of sale is used to record the sale or purchase of a motor vehicle between individuals or a business entity and an individual.

To become a legal document, the bill of sale template should be filled in to include the purchase price of the vehicle, personal data of the seller and buyer, and the vehicle’s technical details. Once it is complete, the bill of sale should be signed by the seller, authorized by a notary public, and then presented to the buyer as evidence of the complete sale. The vehicle should then be registered at the Division of Motor Vehicle (DMV) in the Alabama Department of Transportation within 20 days after the transaction.

Alabama bill of sale forms – check out some other bills of sale used in Alabama.

Registering a Motor Vehicle in Alabama

The bill of sale form should be submitted for registration no later than 20 days after the transfer of ownership has taken place. The procedure of registration depends on whether the title was delivered from another state or was sold inside Alabama.

For vehicles registered in the state of Alabama for the first time, the Vehicle Identification Inspection (VIN verification) procedure should be undertaken to confirm the registration details and origin of the vehicle and its parts. Upon VIN verification, the MVT-5-10 form is completed and legally notarized by a licensed representative. The process of first-time registration can be undertaken in your local office depending on the county where you reside.

Documents required for the registration of a vehicle include the active liability insurance (required since 2013), the vehicle’s title, and the fee payment receipt. If the owner has no title, the latter can be requested at the Alabama Department of Revenue’s Public Title Portal. The user should register or login to the system for filing the title replacement application.

As for the fees to be paid for the motor vehicle registration, they differ depending on the vehicle type. For instance, standard vehicles like passenger cars, motorcycles, or pickups require the fee of $15-23 and an additional fee of $50, while trucks and truck tractors are charged depending on their weight, from $35 standard fee from an 8,000-10,000-pound truck to $815 standard fee from a 73,281-80,000-pound truck or tractor. Other fee categories include motor homes, dealer/dealer transit vehicles, buses, taxis, vintage vehicles, military and governmental vehicles, trailers, and farm equipment. Since January 2016, an additional fee of $5 was introduced for distinctive plates.

The transfer of title ownership is registered at the Alabama Drivers License Office Location when the new owner provides the following documentation:

  • A complete bill of sale form with all relevant details of the transaction.
  • The buyer’s ID.
  • Proof of the insurance.
  • Title.
  • The results of VIN inspection.
  • An Odometer Disclosure Statement (composed in line with the Alabama Department of Revenue’s Administrative Code, Chapter 810-5-76 on odometer disclosure).

Once these documents are compiled and presented, the vehicle‘s registration is regarded as complete.

Template Preview
Download your fillable Bill of Sale template in PDF, .doc, or .odt formats

How to write Alabama Vehicle Bill of Sale

The details listed here are centered around our sample bill of sale template. Nevertheless, if there is a form provided by your local authorities, it is recommended to use it during the transaction.

Step 1: Specify the document’s creation date.

Step 2: Enter the seller’s and buyer’s details:

  • Name
  • Address: Street, City, State, Postal code
  • Contact information: Telephone number, Email address

Step 3: Describe the vehicle being sold:

  • Make
  • Model
  • Vehicle’s body type
  • Year of manufacture
  • Miles (odometer reading)
  • Color
  • Identification Number (also known as VIN)

Step 4: Now, you will need to indicate the way in which you will be given money for the vehicle.

This step also involves specifying the exact date of the purchase and the complete sum approved by each party of the transaction. Then, select one sale method:

  1. One-time payment. One of the more simple methods: within the same day, the buyer gets the motor vehicle transported to them and pays off the whole amount of money.
  2. Trade-in. Using this choice, the property owner agrees to trade their automobile for the purchaser’s vehicle with an extra payment from the purchaser. In such a case, the document should also have the buyer’s motor vehicle specifics.
  3. Several payments. With this method, you must indicate the dates when the buyer has to deliver the first and the final payments, along with their sums.

After that, decide on one transaction method:

  • Cash
  • Check
  • Cashier’s check
  • Money order

Lastly, indicate whether the purchase price includes all applicable taxes.

Step 5: Read through the miscellaneous provisions.

These typically say that the buyer obtains the property in “as-is” condition and is liable for it once the purchase is finished.

Step 6: Put your signature(s) in the appropriate areas.

The consumer’s signature is typically not required. Nevertheless, you will be more protected from legal troubles if all sides sign the document. You could additionally have one or several witnesses verify the transaction.

Step 7: Notarize the document

Notarization is usually not needed, but it is a great approach to add an additional layer of legal safety to the transaction.

The original document copy must be presented to the buyer as they’ll require it to acquire a title to their new motor vehicle. There are two ways here: you need to either prepare and sign two identical bills of sale or make a copy for the seller to store.

Published: Sep 16, 2020