Transfer Of Ownership Of A Used Car

By | April 17, 2016

Transfer Of Ownership Of A Used Car

Design Credits: Vishnu Madhav

The used car market has been booming.  More and more people are buying used cars as they are undoubtedly cheaper to buy than a new one. There’s a wide variety of choice and the depreciation value is less. The best part? Most banks offer Used Car Loans these days at attractive interest rates.

But, what is the process for transferring your car’s ownership to someone else? What are the documents that need to be handed over to the new owner? Remember, even if you are selling a used car, you need to follow the proper transfer procedure to avoid any conflicts in the future.

Here’s the complete process for transferring the ownership of your used car.

What documents should you transfer?

When transferring the ownership of your used car, these are the documents you need:

  • Registration Certificate (RC)
  • Insurance papers
  • Pollution Under Control Certificate
  • NOC documents from the bank if the vehicle has been bought with a loan
  • Road tax receipt that has been paid to the RTO
  • Copy of the car purchase invoice

Apart from these mandatory documents, you can hand over any additional documents you might have which pertain to the ownership of the car.

Used car RC transfer process (same state)

In order to transfer the RC of your car into the new owner’s name, you need to follow these steps:

  • Submit the original RC book to the RTO.
  • If you purchased the car with a loan, you need to provide an NOC from the bank along with the RTO Form Number 35 and submit this at the RTO office.
  • Two copies of the RTO Form Number 29 and 30 need to be filled and signed by the buyer and seller.
  • A printed copy of the Vehicle Identification Number needs to be provided.
  • Attested copies of the address proof of both the buyer and seller should be presented.
  • Attested copies of the PAN Card of the buyer and
  • Attested copies of the insurance and PUC certificates should also be provided.

Note: If you are planning to transfer the RC from one state to another, additional documents will be required.

Additional Reading: You can renew car insurance online in easy steps and enjoy policy benefits.

Why do you need to transfer the ownership of your used car?

It’s essential to transfer the ownership of your used car to the new buyer for the following reasons:

  • In case of any insurance dispute, the new owner will face problems if the insurance documents are not in his name.
  • If the new buyer wishes to resell the car in the future, it needs to be in his name.
  • In case of an accident, the original owner will be detained if the ownership hasn’t been transferred.

If you are the buyer of a used car, ensure that you check all the documents thoroughly. The RC copy, insurance papers, bank’s NOC papers and other documents should correctly reflect your name and address.

Remember, it’s always better to double check the documents and follow the correct process of transferring the ownership of your vehicle to the new buyer to avoid any hassle or conflict in future.

Now that you know a little more about the process of transferring the ownership of your used car, how about checking out some financing options to buy one?

All information including news articles and blogs published on this website are strictly for general information purpose only. BankBazaar does not provide any warranty about the authenticity and accuracy of such information. BankBazaar will not be held responsible for any loss and/or damage that arises or is incurred by use of such information. Rates and offers as may be applicable at the time of applying for a product may vary from that mentioned above. Please visit for the latest rates/offers.

8 thoughts on “Transfer Of Ownership Of A Used Car

  1. Haseen Khan

    i want to purchase one used car but i am not a local resident of the city then what are the alternate method to register the car on your name??

    1. Team BankBazaar

      Hi Haseen, One can certainly register a car in one’s name even if one’s not a local resident. Only when you change your residence to another state will you have to get the car registered in that state. Cheers, Team BankBazaar.

  2. Poonam

    I bought used car having loan how can i get that loan transfered to my name

    1. Team BankBazaar

      Hi Poonam, As a buyer, the loan transfer application should be approved by the loan lender and you should also pass their credit check to get the loan transferred to your name. Cheers, Team BankBazaar

      1. Manish

        I am the 3rd owner of the car. Can i sell my car to another person and he becomes the 4th owner. Is there any problem transferring documents and registration to 4th owners ? this is for the state of Maharashtra.

        1. Team BankBazaar

          Hi Manish,

          We don’t think there will be any problem in transferring the registration in another buyer’s name. Please do check with your RTO.

          Team BankBazaar

  3. Rajeev

    I bought a car at bank auction in west bengal, now i want to get it registered at orissa.
    Kindly let me know the registration procedure, documents required and approx cost of registration.

    1. Team BankBazaar

      Hi Rajeev,

      Thanks for stopping by. Firstly, you’ll need to obtain a No Objection Certificate (NOC) from West Bengal RTO to the effect that it has no objection for assigning a new registration mark to the vehicle. In addition, the RTO needs to verify that no case of theft of the motor vehicle has been registered or pending and that no amount with respect to the vehicle is due.
      The road tax/lifetime tax will have to be paid by you again and this will depend on the depreciated value of your car. After that, you’ll have to get the reimbursement of the paid road tax from the previous state by submitting the new road tax receipt. Once that’s done you’ll have to follow the re-registration regulations of the new state.
      For detailed information about the registration procedure and documents required, please click here.
      The charges of re-registration depend on the price of the car. In Odisha, if the price is less than Rs. 5 lakhs, you’ll have to pay 6% road tax. Likewise, you’ll need to pay 8% tax if the price is in the range of Rs. 5-10 lakhs. For a car that costs over Rs. 10 lakhs, you’ll need to pay 10% road tax.
      We hope this helps!

      Team BankBazaar


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