Tips for Buying a Used Car: Avoiding Legal Repercussions
You don’t buy a car everyday. Therefore, if you decide to take the plunge, do so after careful deliberation. Although, people tend to be extremely cautious while purchasing a new car, used car buyers have a tendency to become careless and ignore important legal car ownership transfer laws. This may, however, be very detrimental, resulting in grave legal repercussions, such as fines and even imprisonment.
Checklist for Buyers during Transfer of Ownership
The first thing to find information about while purchasing a second-hand or used car is its registration paper and details. A registration defines the area within which the car may be driven. If a car transfer takes place within the same state, the ownership transfer process is very simple, provided the original registration papers are in order. However, transferring car ownership to another State in India may be a tedious procedure as it is subject to an entry tax.
Other considerations to bear in mind for making a lawful purchase of a used car are:
Ensure the payment status of RTO tax
The RTO tax is a one-time payment that is made by the first time owner of a car. The receipt of this payment is provided by the transport department of the concerned state. It is necessary to ensure that the RTO tax has been paid duly as an unpaid tax could accumulate in thousands. If the seller of the used car has lost or misplaced the RTO tax receipt, ask him/her for the receipt number to apply for a duplicate.
Validate the position of insurance payments
The insurance policy is a critical document for any vehicle. According to Indian laws and Road Transport Authority, a vehicle can not ply on roads if its owner does not have insurance. This makes it imperative to take possession of insurance papers while buying a used car. Also, ensure that the insurance premiums dues on the car till the date of sale are duly paid by the seller.
Check original car invoice
The original car invoice contains complete details about the vehicle, including:
- Dealer’s name
- Date of delivery
- Car finance details
- Engine and chassis number
Having knowledge of these details will help you ensure that the car as well as its parts is not stolen or fake.
That's right. Buying a car needs a thorough deliberation. It needs precautions and further checking on your prospect dealer. It is much better to get a lawyer or any counsel that can help you in dealing with you purchase. As long as you can find any vehicle that is less prone to accidents, I think that car would be sufficient enough to be chosen.
i bought a 6 year old chevrolet optra and put about 800 kilometers on it and then it broke down, when we took it, it was in a good condition but we didnt know that engine will develop a problem, now the seller dosent want to return our money. we have already signed the papers and transfered ownership as well. is there a way out of it even though we signed the papers. he says that we signed the document stating that the car was in a good condition at the time of delivery. what do we do about it?
Dear User,
Thanks for showing trust in LawIsGreek to solve your query.
We request you to enter your query by using the "Ask for Legal Advice" section on the site. That will help us direct this to the most relevant lawyers.
Legally yours,
LawIsGreek team
Post new comment