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A Closer Look at Bike Ownership Transfer Fees

Wish

Written by Kritika Singh

Updated Oct 22, 2023

How to transfer bike ownership online and offline?

The Indian market for used motorcycles is expanding rapidly, therefore it's critical to comprehend the subtleties of bike ownership transfer. This procedure guarantees the lawful transfer of bike ownership from the seller to the buyer, whether you're buying or selling a secondhand bike. We will explore the nuances of bike ownership transfer fees in this in-depth tutorial, assisting you in navigating through this necessary but frequently perplexing process.

What is Two-Wheeler Ownership Transfer?

The formal and lawful procedure via which ownership of a motorbike or scooter is passed from seller to buyer is known as a "two-wheeler ownership transfer." The transaction is more complicated than a simple handshake; rather, it entails a number of procedures and documents that are completed before the buyer is issued a new Registration Certificate (RC). In order for the purchase to use, insure, and ultimately sell the car without running afoul of the law, this procedure is essential to establishing the buyer as the new legal owner.

The transfer of bike ownership is crucial to avoid any legal complications in the future. It safeguards the seller from any liability, post the sale, while providing the buyer with the legal right to use, sell, or claim insurance on the bike. The process is streamlined and standardized across India, with specific fees associated with each step of the process.

When is Two-Wheeler Ownership Transfer Required?

Two-wheeler ownership transfer is mandatory in the following scenarios:

  • Sale of Two-Wheeler: The most common scenario requiring ownership transfer is when a bike is sold. Once the transaction is complete, it's imperative that the seller transfers ownership to the buyer to avoid future liabilities.
  • Inheritance or Gifting of Two-Wheeler: If a bike is inherited or received as a gift, the recipient must get the vehicle's ownership transferred to their name to legally use it.
  • Buying a used Two-Wheeler: If you purchase a used two-wheeler from another person, you need to ensure that the ownership is also successfully transferred.
  • Two-Wheeler Ownership Transfer to a Different State: If a bike owner relocates to a different state for over a year, they need to get the vehicle re-registered in the new state and have the ownership details updated.

 A Closer Look at Bike Ownership Transfer Fees

Documents Required for Bike Ownership Transfer

To facilitate a smooth bike ownership transfer process, both the seller and the buyer must furnish certain documents. Here’s a list of essential documents:

  • Registration Certificate (RC): The RC is the primary document that provides details about the bike and its owner.
  • Insurance Certificate: It's mandatory to provide the insurance certificate, ensuring the vehicle is insured at the time of transfer.
  • Sale Receipt: A sales receipt or a sales letter needs to be submitted to validate the transaction between the seller and the buyer.
  • No Objection Certificate (NOC): An NOC is required from the RTO where the vehicle was originally registered, especially if the bike is being transferred to a different RTO jurisdiction.
  • Form 28: Also known as the NOC form, Form 28 is necessary for transferring the vehicle to a different state.
  • Form 29 & Form 30: These forms serve as notice and report regarding the transfer of ownership of the two-wheeler.
  • Address Proof of Buyer: The buyer needs to submit address proof to validate their residence details.
  • Passport-size Photos: Both the seller and the buyer need to provide their recent passport-sized photographs.
  • Form 31 (in case of inheritance): If the bike is inherited, Form 31 is required, along with the death certificate of the previous owner and the succession certificate.
  • ID proofs of both Seller and Buyer: Valid identification proofs are necessary for verification purposes.

Remember, having complete and accurate documentation is crucial for a hassle-free transfer process. Ensure you double-check all the provided documents for their validity and correctness to avoid any future complications or delays in the transfer process.

What are the ownership transfer fees for bikes?

The ownership transfer fee is a mandatory charge that is paid to the Regional Transport Office (RTO) during the process of bike ownership transfer. This government fee for transferring bike ownership is nominal and is primarily charged for the administrative efforts involved in the transfer process. The fees might slightly vary from one state to another due to the different tax structures and RTO policies in place.

The two-wheeler ownership transfer fees also depend on the type of vehicle, its age, and the RTO's jurisdiction where the transfer is taking place. Generally, the fees for a private two-wheeler ownership transfer range between Rs. 30 to Rs. 300. However, it is always advisable to check the exact amount with the local RTO as these fees are subject to change.

It's crucial for both sellers and buyers to be aware of these fees to ensure a smooth and hassle-free transfer process. Without paying this fee, the ownership transfer process cannot be completed, and the new buyer won't be recognized as the legal owner of the vehicle by the authorities.

Fees for Ownership Transfer of Bike in Delhi

Transferring the ownership of a bike in Delhi, like in other parts of India, involves a certain fee. It is crucial to check the most current rates, as fees are subject to change due to policy revisions or annual updates by the Regional Transport Office (RTO).

  • Ownership Transfer Fee within the Same RTO: If the transfer occurs within the same RTO jurisdiction in Delhi, the fee is approximately INR 530.
  • Ownership Transfer Fee to a Different RTO: For transfers that happen across different RTOs within Delhi, the cost might be slightly higher.
  • Late Fee: If the transfer process is initiated after the stipulated time frame post the sale of the vehicle, a late fee penalty may be imposed. This is generally charged on a weekly basis, so it’s advisable to complete the process promptly to avoid extra charges.

It’s recommended to check the official Delhi Transport Department’s website or visit the nearest RTO for the most accurate and updated fee structure.

Bike Ownership Transfer Online: A Step-by-step Guide

Transferring bike ownership has been simplified with the introduction of online services. Here’s a step-by-step guide for online bike ownership transfer:

  1. Visit Parivahan Sewa's official website: Start by visiting the official website of Parivahan Sewa, which is the Ministry of Road Transport and Highways' online portal.
  2. Select ‘Online Services’: On the homepage, hover over the ‘Online Services’ tab and select ‘Vehicle Related Services.’
  3. Enter Vehicle Details: Fill in the necessary vehicle details like registration number and last five characters of the chassis number.
  4. Choose ‘Transfer of Ownership:’ Select the ‘Transfer of Ownership’ option and complete the form with relevant details.
  5. Upload Necessary Documents: Scan and upload all required documents in the specified format.
  6. Pay Transfer Fee: Proceed to pay the applicable ownership transfer fee online.
  7. Appointment for Vehicle Inspection: Schedule an appointment for vehicle inspection at the nearest RTO.
  8. Confirmation: After successful verification and inspection, the ownership will be transferred, and you'll receive a confirmation.

How to Apply for Two-Wheeler Ownership Transfer Offline?

For those who prefer offline methods, the process is slightly different but straightforward:

  1. Prepare the Documents: Arrange all the necessary documents, including the duly filled forms 28, 29, and 30.
  2. Submit to RTO: Submit these documents to the RTO where the vehicle was originally registered or the local RTO, depending on your jurisdiction.
  3. Vehicle Inspection: The RTO officials will conduct a vehicle inspection to ensure it adheres to the provided information and legal standards.
  4. Pay the Fees: Pay the applicable fees for the ownership transfer at the RTO counter.
  5. Receive Acknowledgement: You’ll receive an acknowledgement receipt. The updated RC with the new owner’s details will be sent to the registered address.
  6. Collection: In some cases, you might need to collect the updated RC physically from the RTO office.

The offline process might take longer compared to the online method. Therefore, it’s crucial to start the procedure well in advance to avoid riding with expired documents. Choose a method that best suits your convenience and ensures a smooth transition of vehicle ownership.

Tips to Keep in Mind

If you are planning on transferring the ownership of your bike, here are a few tips to keep in mind: 

  • Prompt Process: Begin the ownership transfer process immediately after the purchase to avoid late fees and legal complications.
  • Document Verification: Ensure all documents submitted are valid and accurate. Double-check all forms for errors or omissions to avoid delays.
  • Buyer Verification: As a seller, verify the credentials of the buyer to avoid any future legal hassles.
  • Insurance Transfer: Don’t forget to transfer the insurance policy to the new owner. The policy should be transferred within 14 days from the date of transfer of the vehicle.
  • No Objection Certificate (NOC): If the vehicle is being transferred to an RTO outside the jurisdiction of the original RTO where the vehicle was registered, obtain an NOC from the original RTO.
  • Keep a Copy: Retain a copy of all submitted documents for your records and future reference.
  • Online Services: Consider using online services for a hassle-free and quicker process if you're comfortable with it.
  • Vehicle History Report: Buyers should obtain a comprehensive vehicle history report to ensure the bike doesn’t have a shady past or pending legal issues.

By being diligent and proactive, both sellers and buyers can ensure a smooth and legal transfer of bike ownership. This can prevent hassles in the future. 

Final Thoughts

The procedure of transferring bike ownership in India may appear complicated at first, but it may be simple and hassle-free if you have the necessary information and are ready for it. Either an online or offline process can be made simpler by being aware of the necessary paperwork, the associated costs, and the key advice provided in this article. Always check the official websites of the transport departments or speak with the Regional Transport Office (RTO) that is closest to you for the most recent and accurate information. In addition to protecting the interests of the buyer and seller, a clear and lawful transfer procedure guarantees the smooth transfer of the cherished two-wheeler from one set of hands to another.

FAQs

  1. What is the primary purpose of bike ownership transfer?

   - The primary purpose is to legally change the ownership details of the bike from the seller to the buyer in the official records.

  1. How long does the bike ownership transfer process take?

   - The process usually takes around 15 to 30 days, but it might vary depending on the specific RTO and the accuracy of the submitted documents.

  1. Can I ride my bike without completing the ownership transfer process?

   - It is illegal to ride a bike without completing the ownership transfer as the vehicle is still legally owned by the previous owner.

  1. Can ownership transfer be done without the bike insurance policy?

   - No, an active insurance policy in the name of the buyer is mandatory for ownership transfer.

  1. Do I need to be physically present during the ownership transfer process?

   - While the online process might not require physical presence, the offline process may necessitate the presence of both the buyer and the seller at the RTO.

  1. How much does it cost to transfer bike ownership in India?

   - The cost varies from state to state but generally ranges between Rs. 30 to Rs. 200. Some states might have additional charges.

  1. What happens if I don't transfer the ownership of my bike after purchase?

   - Riding a bike without transferring ownership is illegal, and you might face legal issues or fines if caught.

  1. Is a No Objection Certificate (NOC) necessary for all bike ownership transfers?

   - NOC is crucial if the vehicle is being transferred from one state’s jurisdiction to another.

  1. Can the ownership transfer process be expedited?

   - There isn’t a standardized expedited process, and it largely depends on the specific RTO’s policies and procedures.

  1. What to do if there is an error in the ownership details after the transfer?

    - In case of errors, you should immediately contact the respective RTO and get the mistakes corrected to avoid future complications.

Wish

Written by Kritika Singh

Kritika Singh is a marketing professional with over 10 years of work experience in the field of insurtech, health, FMCG, renewables, and public policy. KrRead More

Disclaimer

This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.
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