The process of transferring vehicle ownership in India is crucial to ensure that the car or two-wheeler’s registration certificate (RC) reflects the new owner’s name. Until this transfer is completed, the seller remains the legal owner, responsible for any fines, taxes, or liabilities associated with the vehicle.
Importance of Timely RC Transfer
It is vital for both the buyer and seller to finalize the RC transfer promptly after the sale. The vehicle continues to legally belong to the person whose name is on the RC. Thus, any incidents, including traffic violations or accidents, remain the seller’s responsibility until the RC is updated.
Buyers should note that the vehicle’s insurance policy is automatically transferred with the sale, but they need to contact the insurer within 14 days to have it registered in their name. Sellers must clear all pending challans and ensure there are no unpaid tolls before the sale. Additionally, any existing loans on the vehicle should be settled, and the FASTag linked to the vehicle should be closed or removed.
Required Documentation for RC Transfer
Transferring a vehicle’s ownership involves submitting several documents. The seller needs to file Form 29, which notifies the registering authority of the sale. The buyer must submit Form 30, the RC, and the insurance certificate. Additional documents may include a Pollution Under Control (PUC) certificate, PAN card or Form 60, address proof, chassis and engine pencil print, proof of the buyer’s date of birth, a passport-size photo, and a tax clearance certificate.
In special cases, extra paperwork is necessary. Vehicles registered in another state require a No Objection Certificate (NOC) from the original RTO. If the owner has passed away, the legal heir must apply using Form 31 along with the death certificate. Government auction purchases require Form 32, a sale certificate, and the government’s authorization for the auction. For bank auction purchases, a sale letter and NOC from the lender are needed, following the same RC transfer process as government auctions.
Costs and Deadlines for RC Transfer
The RC transfer must be applied for within 14 days if the vehicle remains within the same state, and within 45 days if it is from another state. In the event of the owner’s death, the legal heir has 30 days to inform the RTO and three months to apply for the transfer. Auction buyers have 30 days from possession to complete the transfer.
Fees for RC transfer are set under Rule 81 of the Central Motor Vehicles Rules, amounting to half the vehicle’s registration fee, such as Rs 150 for motorcycles and Rs 300 for private cars. Late applications incur an additional fee of Rs 300 per month for motorcycles and Rs 500 per month for cars. Additional penalties may apply in some states for delays.
Options for Applying for RC Transfer
Applicants can opt to apply for RC transfer online via the Vahan portal, where they can fill in necessary details and pay required fees. This online process provides a trackable application number, with the application then processed by the relevant RTO. Some states allow document uploads and online appointment bookings, while others require in-person submissions.
Handling the process personally at the RTO involves no extra cost beyond the official fee, but it may require significant time and effort. Alternatively, hiring an agent can simplify the process, especially for inter-state transfers involving an NOC and re-registration. While this method offers convenience, it comes at a cost and requires handing over original documents.
Source: Autocar India
