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How can I remove car loan hypothecation after repayment?
You can remove the hypothecation from the car only after repaying the entire loan to the bank. After paying all the EMIs, ask your bank for a no objection certificate (NOC). This document will state that no dues are pending on the loan. The bank will send the NOC to you by post.
What is the process after completing car loan?
After completing the repayment of your car loan, there are five important things that you need to do as we explain below:
- Take final payment receipt.
- Take a No Objection Certificate.
- Get your repayment statement.
- Remove hypothecation.
- Update your car insurance policy.
What is the procedure to cancel hypothecation?
Step One – Obtain the required documents Furthermore, you need to have two copies of Form 35. Finally, please note that the NOC is mostly valid for only 90 days and hence, you must submit your application to the RTO days before the document expires.
What is the process of RTO after car loan closure?
Below, we have discussed the steps for car’s hypothecation removal after loan closure from the RC at the RTO, in detail:
- Step 1: Receive Documents from the Lender/Bank.
- Step 2: Documents to be taken to the RTO.
- Step 3: Submit the Hypothecation Removal Application.
- Step 4: Process to Receive the RC Smart Card.
How do I get a hypothecation removed from MY Rc?
Staple all the papers up together. Then, carry out the following steps to get the hypothecation removed from your RC book: Get all the documents checked by an officer. Ask around to know who the verification officer is (easy to find). Get these details entered into the RTO computer system (e.g. counter #31 at the Pune RTO).
How to pay hypothecation cancellation fee at RTO?
Submit all your documents to the verification officer at the RTO. The officer will enter the details into the system. Another officer will approve the details entered into the system. Then, you need to go to the payment counter to pay the hypothecation cancellation fee.
What are the documents required after the RTO closes a loan?
Note that procedures are more or less the same for other RTOs too. Your bank or Financial institution would give you the following documents after Loan closure: Bank Letter stating Closure of Loan – Standard format on their letterhead. No Objection Certificate : 2 or 3 copies of the NOC (1 each for the car owner and the RTO).
How to remove hypothecation from a car loan?
How to Remove Hypothecation from your car RC. 1 Collect the Documents. You first need to head to your bank or the loan provider upon your loan’s closure. The most important document you need to 2 Submit your application to remove hypothecation from RC. 3 Getting the documents checked. 4 Receive the New RC.