All queries about Loan NOC, RC Entry and Hypothecation removal

[samsag12]

Hello fellow members i have a question regarding the hypothecation of my old car Premier Padmini S1. It was financed way back in 1995 by Citibank and the loan was cleared in 5 yrs though the loan clearance certificate was not obtained at that time. Also not to mention the RC book containing the information on the same.
Almost a year back i received a letter from the CA of the Citibank that there are some dues pending. Now what can be done to prove that all the dues have been paid. Should i ignore the letters. I may find the last cheque details. Can it help me.

[paragsachania]

Originally Posted by sushrutha

Got the Clearence Certificate for my car last weekend.
The process is like this,
Original RC Book, along with Insurance copy of the vehicle have to be submitted with Form -29(For issuing clearence certificate) attached and filled with the buyer address.
Vehile is not required for inspection,
RTO officers will check if there's any loan , case against the car, If not you get the NOC within hours.
For me it took almost half a day, cos of numerous signatures/verifications from different officials

Thanks for the update Sushrutha. Surprising since almost exactly one year before when I was helping my relative to get an NOC for a Spark which was being sold to a buyer (KA-01 to KA-03), I had to visit the Police Commissioner's office to get a clearance letter further to which I was issued the NOC from the RTO and for me, It took exactly a day more.

[GTO]

Originally Posted by samsag12

Almost a year back i received a letter from the CA of the Citibank that there are some dues pending. Now what can be done to prove that all the dues have been paid. Should i ignore the letters. I may find the last cheque details. Can it help me.

Never ignore such letters. Adopt a step-by-step approach; first, call them and find out what exactly these dues are (perhaps, some marginal incidental charges). If they throw out dues which have already been paid by you, furnish Citi with proof of the same (cheque numbers etc.).

And yes, this time, close the matter by procuring a Citibank NOC.

[libranof1987]

Someone from Gurgaon will perhaps know the answer for my query best.

The loan for my (Gurgaon) Corsa was over in Oct. so we initiated the process of hypothecation removal 2 weeks ago. My dad did not want to undergo the process so we found an agent who'd do it.

I sent a PUC certification that was valid at least for the next 2 months and the original RC page and Insurance policy. The agent asked for 1000 and asked for 2-3 weeks.

A couple of days ago, he got the job done but the RC is still a page and the only difference is that the place below the "Hypothecated to" is blank.

We got the hypothecation for our (Pune) Zen removed in Pune through an agent and when it was done, a smart card was issued as the RC.

So, does Haryana (Gurgaon) RTO still issue the glossy 1 page RC or it does issue smart cards? In which case, the agent has kept the extra money to be paid for the smart card for himself.

[guptavis]

Originally Posted by libranof1987

So, does Haryana (Gurgaon) RTO still issue the glossy 1 page RC or it does issue smart cards? In which case, the agent has kept the extra money to be paid for the smart card for himself.

I got hypothecation removed from Panchkula (HARYANA) last november and got the old card board type RC. No chip or magnetic strip on the card.

[Chopper]

I have submitted my documents to remove hypothecation at KR Puram RTO (KA 53). They charged me around 270. This included the charge for smart card too. I have given self addressed envelope in which I will be getting the updated RC via post. Lady in the counter said, it will take 15 days. Address in RC and my postal address are same.
Time taken – 1 hour
Documents submitted:
1. Form 35(2 copies)
2. NOC from Bank
3. RC
4. Insurance copy
5. PUC certificate
6. Self addressed envelope

[hallik9]

Should we submit the originals of all these or copies would do?

[libranof1987]

Originally Posted by hallik9

Should we submit the originals of all these or copies would do?

Yes - originals of all documents :
- RC
- PUC (valid for at least the next 2 months)
- Insurance policy
- Form 35
- NOC

- photocopy of the DL of person in whose name the car is registered.

[Motoringlover]

Team - We have a (gurgaon Registered) Wagon R - for which we have lost the RC documentation, since the car is no longer used, I might as well sell it, could you please advise us on the next steps, we do have the photocopy of the same. Any advise on procuring the RC will be helpful, the car is still in Hypothecation. Please advise.

[GTO]

Originally Posted by Motoringlover

Team - We have a (gurgaon Registered) Wagon R - for which we have lost the RC documentation, since the car is no longer used, I might as well sell it, could you please advise us on the next steps, we do have the photocopy of the same. Any advise on procuring the RC will be helpful, the car is still in Hypothecation. Please advise.

Link to related thread (RC card lost!! what to do? HELP!)

[Motoringlover]

Thanks GTO.

Best

[meonbhp]

I need urgent help.

My father had taken an auto loan from SBI a year back. He died suddenly a couple of months back. I am going to prepay his loan and close it. My questions are:

1. What documents should I demand from SBI? (CC I guess)
2. As the car is registered in my father's name, what is the procedure for removal of hypothecation, transferring and registering car in my name?

[NetfreakBombay]

Talk to loan department, you will need to "transfer" the loan to your name and then pay it off.

If they agree, they have option of accepting a cheque from your account towards loan account, that would leave just one EMI and loan account would be closed automatically.

At the closure of loan account, system would automatically generate NOC for Hypothication removal in a week's time.

[shankar.balan]

We need to have the hypothecation removed on a car this coming month (April 2011).

Is this the correct procedure to follow?

1. Pay up final instalment of loan
2. procure NOC/ clearance/ no dues certificate from the banker. (typically I understand this takes about 25-30 days after final instalment payment and loan closure.)
3. Approach RTO with the original RC Book, the vehicle itself and all the relevant papers including the address proof, id proof, insurance certificate (up-to-date) and of course, the said NOC/clearance certificate from bank etc.
4. Fill up an application form for removal of hypothecation and provide all the relevant documentation in support of the same. (which application form exactly??)
5. Pay the fees (how much would this be say in Chennai??)
6. have the hypothecation/ liability removed from the RC Book
7. Get the above fact endorsed on the RC book with sign and seal from RTO

This is my understanding of the process and typically can be achieved by visiting the RTO personally. Else one can get this done through an Agent and/or Automobile Association or someone like that on payment of a fee.

Please shed light on the exact process in case the above impression is incorrect.

thanks

[samsag12]

@ shankar.balan: Regarding your point no. 4 the form which you have to fill is FORM NO. 35, a specimen of which is here. http://www.transportindia.in/pdfforms/form35.pdf