Friday, January 03, 2014

Remove Car Hypothecation – Easy Guide

This is based out of Bangalore in the KR Puram RTO.

Have you taken a car loan and the loan repayment has been completed. Here are the series of steps to remove car hypothecation from the RC book in the RTO office.


Request the following from the bank

1) 1 or more copies of the NOC letter : This letter states that you have repaid the entire amount and the loan account is closed.

2) 2 copies of Form 35 duly signed and stamped by the bank officer.

In my case it was SBI branch which wonderfully via email mailed me these documents. They are awesome.

Next I went to a concierge desk who asked for 900 Rupees to get this done, I decided to try it myself.

I went to the RTO office, KR Puram and got the job done in less than 30 minutes. Several agents standing outside the RTO office demanded 900-1000 Rupees for the same. But I decided to do it myself and trust me the RTO office rocks, the helpdesk / reception on the ground floors guided me to the right department.


Here are the papers you need to have

1) Recent Emission test copy

2) Active Insurance copy

3) Original RC Book / Card : This goes into the plastic pouch from 5.

4) 100 RS receipt from the cash counter of the RTO: Cash counters close by 1:30 PM.

5) Paper File + Plastic Pouch + Tag + Envelope with stamps : All available as a kit for about 30 Rupees in the stores next to the RTO. Also write your address on the envelope where you want to receive the papers.

6) NOC letter from the bank

7) 2 Copies of Form 35 : Duly signed by you.


Give all these to the right department, they check validate sign the set, then they enter the application number in a big book and give you an acknowledgement sheet which contains details of all the papers that you have submitted.


You are supposed to get one copy of the form 35 and the new RC book / card back in 30 days via the envelope you gave.

Total time at the RTO : 30 minutes

Total cost : 150 RS

I never thought it would be so easy to get this done, but yes the RTO office and team rock.

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