How to cancel the hypothecation of my car in Andhra Pradesh?

The process of hire termination is completely online.

Need Fingerprint scanner.

Step:-1

Go to the bank and collect Form 35 and Car Loan closure certificate.

Step:-2

Required Documents: Registration Certificate(RC),Insurance,Pollution Certificate,Form35

Scan all the documents and make sure they are less than 6MB.

The RC should be scanned both sides.

Step:-3

After documents are scanned,go to https://aprtacitizen.epragathi.org

Go to Registration services→Select Hire purchase Termination→Enter your Vehicle Number and click Next.

Enter Aadhar Number of Owner of the Vehicle and provide Biometric(Finger print) of Owner and Click Agree to terms and conditions and click Next.

Upload RC front and back images, Insurance, pollution certificate, Form 35 images and enter validity of Pollution certificate “from” and "to" and click next.

Step:-4 

Proceed to Payment,Pay the amount and once payment done reciept wil be generated.

Download the reciept and give it in the bank for further procedure.

The bank will check it and forward it to RTO.

A New RC Book will be sent to your address.

If you buy a car using a car loan from a bank or financial institution, a car will be registered in the name of a bank or financial institution which lends money to buy it. Registration Certificate (RC) will have the name of the lender in it. This is what is called the hypothecation of your car to the lender. It will not be yours until you pay back the loan. Once you pay back the loan, you should get the name of the lender removed from the RC book and add your name to it. This process is called hypothecation removal or hypothecation cancellation.

Documents required

The following are the documents required for hypothecation cancellation in Andhra Pradesh.

• NOC from Bank

• Form 35

• Original Registration certificate

• Copy of Driving License

• Copy of Insurance policy

• Copy of PUC

• Copy of Owner’s Aadhaar card

• Owner’s photograph

Hypothecation Cancellation Process

Follow the below steps to get hypothecation removed from your vehicle

1. Get the following documents from a bank or financial institution which has provided you a loan for buying the vehicle.

• Get NOC stating that you have paid back the entire loan amount. This NOC is valid for a period of 45–60 days. So you have to apply for the removal of hypothecation within the same period.

• Get Form 35 stating that your hypothecation agreement with a bank can be terminated.

   Get 3 copies of these documents—one each for RTO, vehicle owner, and the insurance company.

2. Gather the following documents

• Original Registration certificate

• Copy of Driving License

• Copy of Insurance policy

• Copy of PUC

• Copy of Owner’s Aadhaar card

• Owner’s photograph

At some RTOs, you will need to provide a self-addressed envelope with a phone number, and vehicle number on it. Affix a stamp of required worth on it as per the distance between the RTO office and the place of delivery of the new RC book/card.

3. Visit the RTO where you registered your vehicle with the documents mentioned above.

• Find out the officer, who will enter all your details into the RTO computer system

• Another officer will approve the details. Visit this officer and provide your documents for approval

• Pay the hypothecation cancellation fee at the hypothecation counter. Submit all the documents along with the payment receipt to the officer who approved your document. Officer will give you a receipt. After this step, the officer will ask you to come on a specified date to collect a new RC card/book. In some states, the new RC card/book will be posted to your address as per the address provided in the self-addressed envelope mentioned above.

Time Required

The time required for the hypothecation cancellation in Andhra Pradesh is within 4 -20 working days.