Selling a car takes more time than buying one. Whether the vehicle is a four-wheeler or two, the buyer and the seller must go through a lengthy process to buy or sell a car. On top of that, transferring its ownership is another job both the buyer and seller must do.
So, if you think that once you get a potential buyer and that person pays off the money, your job ends here, think again. You have to transfer the ownership to the buyer as well. To put it simply, with the transfer of ownership of a vehicle, you transfer the ownership of the car to the seller.
How to do that? You shall find that out below. We have mentioned small details, so you do not get confused in the future.
When is Car/Bike Ownership Transfer Required?
Whether you sell a bike or a four-wheeler car, transfer of ownership is mandatory. But when should you do that? Let’s find out!
- Normal Sale: Suppose you want to sell an old bike to someone; in that case, you must apply for a transfer of ownership. In simple words, for selling any vehicle, you have to go through the ownership transfer process.
- Public Auction: If you sell a car or a used bike in a public auction, you must go through the transfer of ownership process.
- Death of the Owner: If the actual car owner dies, the new owner must apply for the transfer of vehicle ownership process.
But whatever the reason is, both the buyer and the seller must submit some documents to the RTO to finish the ownership transfer process. Check out what those documents are.
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Circumstances of Vehicle Ownership Transfer:
There are mainly three reasons why a vehicle ownership transfer is required. Those are mentioned below:
- Resale – If a seller wants to reasale a vehicle to someone, the transfer of vehicle ownership is necessary. According to the Indian Regulation Act 1988, transferring vehicle ownership is mandatory.
- Demise of the vehicle owner – If the vehicle owner dies for any reason, and one of the family members wants to resale the vehicle, transferring the vehicle’s ownership is mandatory. But to that, issuing a succession certificate from the regional court is mandatory as well.
- Public Auction – If the buyer buys a car from public auction, then transferring the vehicle’s ownership is mandatory.
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Documents Required for Car/Bike Ownership Transfer:
- Registration Certificate: The original registration certificate possessed by the car seller. It can also look like a smart card.
- PAN: If you sell a second-hand bike worth more than 50000/-, the buyer and seller must submit the PAN card.
- Insurance Certificate: It is the insurance certificate of the vehicle.
- PUC Certificate: The valid Pollution Under Control (PUC) certificate.
Note: Remember that if the car seller has bought the car before 2010, the PUC certificate needs to be renewed every three months. But, if the seller bought the vehicle after 2010, the Pollution Under Control certificate must be renewed yearly.
- Form 28: It is an application for a No Objection Certificate. It is mandatory in case of interstate ownership transfer.
- Form 29: Notice of transfer of ownership
- Form 30: Application for the transfer of ownership of a vehicle.
- Form 31: To buy a bike or any other vehicle, the application of transfer of ownership in the name of the new owner is mandatory.
- Form 32: Application of transfer of ownership only if the seller sells the vehicle in a public auction.
- Form 35: Form 35 is necessary only if the vehicle is hypothecated to a bank.
- Form 60: If required
- Form 61: If required
- Address Proof: Copy of the address proof of the buyer.
- NOC Certificate: If the seller has bought the car through a loan and the loan continues, the seller has to provide a No Objection Certificate. It is also mandatory in case of an interstate ownership transfer.
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Documents to Submit If the Vehicle Owner Dies:
If the vehicle owner dies, the buyer needs to submit the following documents to the RTO:
- Form 30: Application for the transfer of ownership.
- Form 31: If the vehicle owner dies, this form will prove that the vehicle belongs to the buyer.
- Death Certificate: Death certificate of the past owner.
- Registration Certificate: Original registration certificate of the vehicle
- Insurance Certificate: The purchased vehicle’s insurance certificate.
- Tax-Payment Receipt: Road tax calculator of the purchased vehicle.
Car/Bike Ownership Transfer Cost:
The cost of ownership transfer of a vehicle is not fixed. The cost of car/bike ownership transfer depends on the state you live in.
Step-by-Step Guide to Transfer Car/Bike Ownership:
How To Transfer a Vehicle’s Ownership Offline?
You can transfer the vehicle’s ownership to the buyer using offline and online processes. We have mentioned the offline process below:
- Step 1: Firstly, the seller has to make the sale agreement. Here, the seller has to mention the payment mode and the status of the ownership transfer. The agreement should include:
- The condition
- Mode of payment
- Registration Certificate
- Step 2: Once the buyer pays the money to the seller, both of them have to sign Form 29 and Form 30 to apply for transfer of ownership. Remember, both parties must sign two copies of Form 29 and one copy of Form 30. If the purchased vehicle is under hypothecation, the seller must apply for a No Objection Certificate from the bank.
- Step 3: The next step is to submit the necessary documents to the RTO. Whether it is a new bike or a four-wheeler you are selling, the documents are the same. Those documents are insurance certificates, Pollution Under Control certificates, valid Registration certificates, etc. But you do not have to submit the vehicle’s invoice.
- Step 4: Now, the buyer has to perform the next part of the job. The buyer needs to apply for a clearance certificate from the RTO. To do that, the buyer has to send a requisite letter to the RTO to get the clearance certificate. The buyer needs to attach the self-addressed envelope with stamps and documents from the seller.
Note: This process may differ depending on which state you live in or if it is an interstate ownership transfer.
- Step 5: Once the buyers collect all the necessary documents, they must submit them to the RTO head.
- Step 6: After the submission, the RTO office will provide the buyers with an acknowledgement form as proof that the buyers have submitted the documents.
- Step 7: Once the RTO office verifies all the documents, the buyer will receive a clearance certificate via email.
- Step 8: After receiving the clearance certificate from the RTO, the buyer needs to pay for the ownership transfer certificate to the RTO. The RTO office will provide the buyer with two payment receipts.
- Step 9: Next, the buyer will have to pay for the following documents: insurance certificate, PAN card, registration certificate, clearance certificate, address proof, form 30, Pollution Under Control certificate, Passport-sized photograph, self-addressed envelope attached with stamps, two copies of form 29.
- Step 10: Once the buyer submits the documents, the RTO office will send another acknowledgement form.
- Step 11: Then the buyer will receive the new registration certificate via email, and that is it. Following this process, the seller can transfer the vehicle ownership to the buyer.
How To Transfer a Vehicle’s Ownership Online?
If you do not want to perform the vehicle ownership transformation offline, then do not worry. You can do the same online as well. All you need to do is go to the ParivahanSewa website run by the Ministry of Road Transport and Highways.
But remember, even though it is an online process, you will still have to follow some steps that require your physical presence. Follow the steps mentioned below:
- Step 1: Firstly, open the ParivahanSewa website on your device.
- Step 2: Once you open the website, you will see the Online Services tab. Click on that.
- Step 3: Once you click on Online Services, you will see an option called Vehicle Related Services. Select that option.
- Step 4: After selecting the Vehicle-Related Services option, you will get a box. Provide your vehicle’s registration number in the box.
- Step 5: Right below it, you will get a button named Proceed. Tap on that.
- Step 6: Click on the Misc (TO/CoA/HPA/HPS/HPT/DupRC).
- Step 7: The website will provide you with another box. Here you will have to provide your mobile number.
- Step 8: Once you enter the mobile number in the provided box, you will get a Generate OTP button. You need to click on the button to get the OTP.
- Step 9: Now, once you get the OTP via SMS, enter the OTP. Sometimes the OTP has the autofill feature. In that case, you do not have to enter the OTP. The system will do that for you.
- Step 10: After entering the OTP, click on Show Details.
- Step 11: Here, you will get an option called Application Selection. Once you click on that option, you will get another option named Transfer of Ownership. Click on that.
- Step 12: In the Transfer of Ownership box, enter the details about the new vehicle’s new owner. Here you have to provide details like the current address of the new owner, insurance, permanent address, etc.
- Step 13: Once you provide all the details, click on the Payment option to pay the fee essential for the vehicle’s ownership transfer.
- Step 14: Once you provide the fee, the system will generate two payment receipts, Form 29 and 30.
- Step 15: Take a printout of Forms 29 and 30 and the payment receipts.
- Step 16: The seller and the buyer have to sign the forms.
- Step 17: After completing all these, submit the original registration certificate, a copy of the insurance certificate, PUC certificate, and other necessary documents to the RTO office. You can go to the RTO office or email the documents. That is it. After the verification, the buyer will get the vehicle’s new registration certificate.
What are the Consequences of not Transferring Car/Bike Ownership?
Since transferring a vehicle’s ownership is mandatory according to the Indian Regulation Act, if a someone uses a used car without transferring its ownership, that person may have to face the following consequences:
- You may face legal charges if the buyer violates any traffic rule.
- Selling a car without transferring ownership is illegal in India.
- If the car causes any accident, you will face legal charges.
What Else is Required Along With Car/Bike Ownership Transfer?
When you sell a vehicle to someone, transferring your vehicle’s ownership is not the only thing you need to take care of. You need to hand over the vehicle’s insurance certificate to the new buyer as well. You might have to apply to transfer the insurance certificate to the new buyer. We suggest you talk to the RTO to get clear insight about this.
Check How To Transfer Ownership Of Vehicle In Different Cities:
Selling a car to someone is more complicated than buying one. Transferring the vehicle’s ownership to the buyer is another story. But since it is mandatory under the regulation act of 1988, both the buyer and the seller must take care of it. But if you are confused about transferring your vehicle’s ownership to someone, follow the steps mentioned above.
No, transfer of ownership is not essential for rented cars. It is only applicable for selling a second-hand car.
Yes. You can face legal charges for not transferring vehicle ownership.
When you sell your second-hand car to someone else, apply for transfer of vehicle ownership to the RTO office.
You can check the status of your vehicle ownership transfer online in the official website of Parivahan Sewa.
The local RTO that provides the registration certificate to the vehicle owner issues a NOC certificate for the vehicle registration process.
It takes nearly a month to transfer car/bike ownership in India.
The Motor vehicle regulation Act, 1988 governs the vehicle ownership transfer in India.
No. You cannot carry out the entire vehicle transfer process online. However, you can apply for the new Registration certificate online. To get the new Registration Certificate, you need to go to the RTO office and submit the necessary documents.
The validity of a vehicle’s registration certificate is five years.
If you have taken a car loan from a bank, you need to repay the loan first and then sell it. However, if you have obtained a personal loan to buy a car, you can sell it whenever you want.
The fees for RC transfer within a state vary depending on which state you live in.
No. The presence of the concerned vehicle at the RTO is not mandatory for RC transfer.
Yes. The vehicle’s insurance policy is required for RC transfer.
Yes. You can change your name on your vehicle’s RC.
You need to go to the official website of Parivahan Sewa and apply for your vehicle's RC transfer.
Yes. You can apply for a new RC book online through the Parivahan Sewa website. After the verification, you will get the RC book either by post or email.
The RTO fee for processing the vehicle’s transfer of ownership or the cost to transfer car registration is different for various states.
No. If your car is under hypothecation, you need to remove it first and then start the process of ownership transfer.
If you want to transfer a car from one person’s name to another person’s name, you need to apply for a new Registration Certificate to the RTO. You can do it both online and offline.
You need to talk to the previous owner of the vehicle and apply for a new Registration Certificate at the RTO office.
Yes. You can register your vehicle in a different district than the one where you purchased the vehicle. But for that, you need to submit the NOC to the RTO.
Yes. According to the Motor vehicle Act, 1988, you can transfer the car’s insurance policy to the new owner at the time of selling.
You need the vehicle’s insurance certificate, PUC, NOC(in case of interstate ownership transfer), PAN card, address proof, registration card, succession certificate(in case the car owner is dead), tax payment receipt, and Form 28, 29, 30, 31, 35, 60, 61 (whichever required).
The answer to this question is unavailable right now. Before you transfer a passenger vehicle to a differently-abled person, talk to the RTO office.
The seller needs to issue a succession certificate to the regional court and after that, applying for ownership transfer is possible if the owner/permit holder has died.
You can go to Parivahan Sewa's official website to check the date of the car ownership transfer.
To move a vehicle to a different state, the car owner or the seller has to apply for a NOC. Anyone, the buyer or the seller can pay the fees for issuing the NOC.
The process of transferring ownership of a vehicle is the same even if you purchase a car from an auction. But you must show the government’s permission for the auction and the proof that the car has been sold to you.
There is no online method available to apply for a road tax refund. But you can submit your vehicle’s necessary documents to the RTO to apply for a road tax refund.
There is no answer available to this question. But it is better not to take the vehicle out of the registration state because it can be considered as breaching the Motor vehicle law.
You need to keep renewing the RC of a private vehicle every five years.
You can check the vehicle transfer date through Parivahan Sewa's official website.
Yes. You can transfer both the vehicle and its insurance policy to the new owner.
It takes around three to four working days to transfer the ownership of a bike purchased from CSD.
Usually, the new owner gets the car insurance at the time of purchasing the car from its previous owner. But the new owner may need to apply for the transfer of insurance policy once the previous owner sells the car.
The seller needs to submit the valid documents to the RTO to initiate the process of car ownership transfer. Talk to the RTO office for further details.