Bill Of Sale For Financed Vehicle Template for Philippines

The Bill of Sale for Financed Vehicle is a crucial document in Philippine vehicle transactions where financing is involved. It serves as a comprehensive agreement that protects the interests of all parties - the seller, buyer, and financing institution. This document is specifically designed to comply with Philippine legal requirements, including regulations from the Land Transportation Office (LTO) and banking regulations from Bangko Sentral ng Pilipinas (BSP). The document is used when a vehicle purchase involves financing arrangements, combining elements of a traditional bill of sale with financing terms and security interests. It includes detailed vehicle information, payment terms, ownership transfer conditions, and financing provisions, ensuring compliance with Republic Act No. 4136 (Land Transportation and Traffic Code) and relevant consumer protection laws. The document is essential for both new and used vehicle sales where financing is involved, providing clear documentation of the transaction terms and protecting the rights of all parties involved.

1. Parties: Identification of the Seller, Buyer, and Financing Institution with complete details including names, addresses, and contact information

2. Background: Brief context of the transaction, including the intention to sell and finance the vehicle

3. Definitions: Definitions of key terms used throughout the document including 'Vehicle', 'Purchase Price', 'Financing Amount', 'Security Interest', etc.

4. Vehicle Description: Detailed description of the vehicle including make, model, year, color, VIN/chassis number, engine number, plate number, and current registration details

5. Purchase Price and Payment Terms: Total purchase price, down payment amount, financing amount, interest rate, and payment schedule

6. Transfer of Title and Ownership: Terms regarding the transfer of ownership, subject to financing conditions and security interest of the financing institution

7. Seller's Representations and Warranties: Seller's declarations regarding vehicle ownership, condition, and absence of undisclosed liens

8. Buyer's Obligations: Buyer's responsibilities including maintenance, insurance, registration, and compliance with financing terms

9. Security Interest: Details of the financing institution's security interest in the vehicle until full payment

10. Default and Remedies: Consequences of payment default and available remedies for all parties

11. Governing Law and Jurisdiction: Specification of Philippine law as governing law and jurisdiction for disputes