Sunday, June 22, 2014

Process to remove Hypothecation

Process to remove Hypothecation - For car loan. 

This is very simple process costs only Rs225/- please do not waste money by going to brokers. Please apply with in three months of closing the car loan

Documents required:

  1. No objection Letter from Bank - Original
  2. Two Copies of Form 35 provided by Bank - Original (You have to sign in this form)
  3. RC - Original 
  4. Insurance Certificate - Copy
  5. Emission Certificate - Copy ( Better to get this during off peak hours day before you visit RTO if not plan sometime for this because only getting this took so much time for me)
Process - (Photos are from Sholinganallur RTO)

Step 1: Arrange all the document mentioned above in the same order and staple the same

Step 2: Go to counter 'SUPERINTENDENT ' (Actual Photo of  Sholinganallur RTO provided below) and    give these document and say you need to remove hypothecation
  
Step3: Superintendent will verify all the documents provided by you and will collect Rs. 100/- for flag day and will provide a receipt for the same. Affix the receipt in your NoC letter

Step 4:Go to fee counter for paying the service fee which is Rs 125/- (Actual Photo of  Sholinganallur RTO provided below)
 Step 5: They will issue two receipts (Office / Personal copy). Retain the personal copy receipt with you and paste the office copy in the NoC letter below flag day receipt

Step 6: Now you have completed all the formalities required. Go to 'DESPATCH' section to handover the document package. Despatch clerk will give you date/time when you need to collect back your RC hypothecation removed



Step 7: Go on the date / time provided to collect but plan some additional time since they took more time for me to handover RC back to me



68 comments:

  1. Thank you for sharing the information. It might be not useful for me, but will share to others.

    ReplyDelete
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  2. Thank you for sharing the needed information. It will help people from brokers and agents in paying a huge sum of money.

    ReplyDelete
  3. I did the hypothecation cancelation today at sholinganallur RTO. As described by Sivakumar make all the documents ready and visit RTO. You will pay only fee of Rs 125 and process done withing 30 min time. Do not waste your money by going to broker who may charge you around Rs 900.

    ReplyDelete
  4. Document will be ready for collection in 3 days time.

    ReplyDelete
  5. Hi, Is there any particular timing in the office hours during which this hypothecation work has to carried out. Please advise.

    ReplyDelete
  6. Excellent and useful post, Thanks and I have done the hypothecation removal yesterday.

    ReplyDelete
  7. Excellent piece of Info. Went to Sholinganallur RTO today. Followed the same documents and order as mentioned by Mr.Sivakumar paid 225 (100rs for flag day 125 rs for service). They have asked me to come after 3 days only during the evening time after 4 to collect the docs. Do not staple the flag day and fee receipt as i was asked to unstaple it and paste them with glue. Hasslefree process. Thanks a ton

    ReplyDelete
  8. can you anyone detail the process to be followed for vehicle name transfer ? I have to get it done for my car.

    ReplyDelete
  9. Collected the RC back today . :)

    ReplyDelete
  10. great article, helped a car owner like me.

    ReplyDelete
  11. Thank you for sharing such great information. It is informative, can you help me in finding out more detail on Car Loans, i am interested and would like to know more about this field and wanted to understand the basics of Auto Loans

    ReplyDelete
  12. Thanks for the useful post, information regarding the documents was very helpful. I went to the Meenambakkam RTO and was charged only ₹25. No flag day charge and the service charge was only ₹25 and not ₹125.

    ReplyDelete
  13. Very useful and helpful post, appreciate your selfless nature which helps a lot of people like me. I visited the Sholinganallur RTO and just paid Rs25. They asked me to visit one week later to collect my RC.

    ReplyDelete
  14. One small query. I have closed the car loan in SBI, Kodungaiyur branch on 27-09-2017 and have collected NOC and form-35 but when went to the RTO office they asked me to get a challan from branch which will be generated through financier login from http://tnsta.gov.in/transport/transportEngMain.do for further processing at RTO. Since this procedure was claimed to be started from October 1, 2017 all the bank staff are in a puzzled condition (since they do not have a financier login yet)leaving me still more puzzled.! When asked in RTO again they told that the financier shall possess "Trade Certificate number" which the bank seems do not possess. The bank branch staff consulted their car loan branch Anna Salai also but no clue even there.
    Please help me out with this.

    ReplyDelete
    Replies
    1. Did you get that challan from bank?. If yes, What was the procedure?

      Delete
  15. Many banks are doing their job just in a routine way. They are not able to solve any kind of their system problem.
    For example,I have given an application for closure of my SB A/V in Nationalised Bank. I am daily going to the Branch,still remain unsolved. Human should be able to dominate the system and NOT the system SHOULD NOT DOMINATE HUMAN.

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  17. I have query: Any specific time to visit the RTO, without any rush to get the job done...

    ReplyDelete
  18. Replies
    1. Very much thanks for your guidance...
      1. I went around 9.45AM in the morning today and got the pollution certificate from the near by pollution certification center @ sholinganallur RTO office. (took around 5 mins for the test but waited for 15 mins in the queue).
      2. There was so much of crowd in the RTO office, With the help of your photos, I directly gone to the guided section and completed the process in less than half an hour. (Including spent time around 15 mins to get the exact change of 25 rupees which they asked me to pay in the counter)
      3. Around 10:30 Collected the receipt, and they asked me to come back on next Wednesday to collect.

      Query: Will they provide new RC or the old one with the new correction updated.

      Once again thanks for your guidance....

      Delete
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  27. I have question, whether only the owner of the vehicle needs to visit RTO in person or an authorized person do on behalf of the owner? Its Tambaram RTO (TN 11).

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  28. This didn't work. Went to Valasaravakkam RTO and they asked for A printed Copy of Online Form 35 ( This form has a QR Code) . Apparently , bank has to email this form to RTO and We need to carry a print out of the FORM As well. No idea why they are asking us for a printout when they can retrieve it from their email !!

    ReplyDelete
  29. In Poonamalee RTO they have collected only Rs. 25 for cancellation of Hypothecation. And they also asked to attache an Envelope cover with 30Rs. postage stamp pasted on it along with the other necessary documents.

    ReplyDelete
    Replies
    1. This comment has been removed by the author.

      Delete
    2. In Poonamalee RTO they have collected Rs. 25 for cancellation of Hypothecation in two wheeler. And they also asked to attache an Envelope cover with 30Rs. postage stamp pasted on it along with the other necessary documents.

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  42. Many thanks for this wonderful post. This really helped me in requesting the hypothecation removal of my Car.

    Today (June 20 2019) visited the Sholinganallur RTO office at around 10AM with the documents listed in above by Sivakumar. As Siva mentioned, Superintendent verified all the documents and asked me to give the documents in the Despatch section as I had already paid the fee of Rs. 225 (Rs. 25 for the removal of hypothecation and Rs. 200 for Smart RC card). No other charges paid in the RTO. It is pretty simple. I was able to complete it in less than 10 minutes. When I had checked with Agents around my locality they asked me to pay Rs. 2000. I spent another Rs. 200 to get pollution under control certificate. So the total amount spent to get the job done is Rs.445 (Rs. 200 for PUC certificate and Rs. 225 for Hypothecation removal and Smart RC card).

    I paid the fee via online portal https://vahan.parivahan.gov.in/vahanservice/vahan/ui/statevalidation/homepage.xhtml

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    1. RTO people asked me to come after a week to collect the Smart RC card. Once I get it, I'll update it here.

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