The Motor Vehicles Act of 1988 set up and started the Motor Vehicles Department which is designed to make and pass the various transportation rules in the country. In India, there are multiple Regional Transport Offices or RTOs in every city of every state and they deal with the local issues faced by the people. Everything from vehicle tax collection to pollution checks, and even the sale of used cars goes through the RTO. As we already know, selling a used car legally requires the seller and the buyer to follow certain procedures. These processes usually involve filling out forms and submitting certain documents to the specific RTO. The forms required for selling a car can be easily found online through the Parivahan Sewa website or from the RTO directly.
Here we are going to take a closer look at some of the forms required for selling a used car in India.
In order to get a No Objection Certificate (NOC) from the registering authority, you will have to download and fill Form 28. This form confirms that there are no pending taxes, Challans, criminal records, or any kind of liabilities on the vehicle that can stop you from selling it. To sell a used car, you will have to keep 3 copies of Form 28 ready when submitting it to the RTO.
When you sell a used car to a third-party buyer, the RTO from where the car was initially registered has to be reported. Form 29 helps in this process. You will require 2 copies of Form 29 for submission at the RTO and in it, it should explain how all the documents during the sale such as the Pollution Under Control (PUC), Registration Certificate (RC), and insurance have been submitted to the buyer.
Form 30 is required after Form 29 has been submitted to the RTO. Once you report to the RTO that the vehicle has been sold to a buyer, Form 30 lets the RTO know that the transfer of ownership should be done urgently. In the form, it mentions that all the forthcoming legalities that are concerned with the vehicle should be transferred to the new buyer. Form 30 has to be submitted to the RTO within 14 days after the car has been sold. In order to complete the sale, you need 2 copies of Form 30.
While Form 28 serves as a NOC from the RTO, Form 35 serves as a NOC from the bank from which the car was financed on purchase. This form is only required if the car was purchased with the help of a bank loan and is compulsory for completing the selling process. Once Form 35 is filled and submitted to the RTO, the ‘Hypothecation’ will be eliminated from the RC of the vehicle. If you have a car that you wish to sell, you will require Form 28, 29, 30, and 35 immediately. Without these forms, you will be unable to legally complete any sale. As mentioned earlier, Form 28, 29, 30, and 35 can be acquired offline through any RTO closest to you. Alternately, these forms can be found and downloaded online through the Ministry of Road Transport and Highways website called Parivahan Sewa. Once the forms are correctly filled in, they have to be submitted, along with the requested documentation, to the RTO from where the vehicle was first registered. Once all the documents and forms are verified, the sale can go ahead smoothly.