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How to Sell A Car of a Deceased Person?

how to sell car of a deceased person

Getting apart from the deceased person’s things is painful because of fond memories. But, due to different reasons living heirs have to make some tough decisions, one of which is selling a departed person’s car. But, the question is how to sell a car of a deceased person? Is it as easy as selling a vehicle of a living person, or has some complexities?

The answer is, if there is a deceased person’s will or a common consensus among the living family members, it is permissible to sell a vehicle. Check here the best way to sell a car after a person’s demise. 

Steps for Selling a Deceased Person’s Car

The following are the easy steps and documentation required when selling a deceased’s vehicle:

1) Legal Authority 

The first step for selling a deceased person’s car is to obtain its legal authority. A family member or a legal heir can approach the court with a will and death certificate issued by the municipal administration to get legal authorization of the car before the sale. Once this happens, a person can sell the vehicle and ensure that the buyer does not run into any car ownership issues later on. Keep the copies of both documents to prove the legitimacy whenever required.

2) Clear Dues

Now once the inheritor receives legal authorization of the vehicle second step is to check if there is any pending loan. It is mandatory to clear dues or any running auto loan before selling a deceased’s car. For that, an inheritor can contact the bank/financing agency to get the NOC (Non-Objection Certificate) and other relevant documents. 

Additionally, HY(Hypothecation) removal from the RC is also necessary. HP is written in the RC when it is a financed car which shows that the ownership of the vehicle still lies with the financing agency/bank. 

3) Car Insurance Policy

A vehicle insurance policy is transferred to the legal successor’s name (assuming the policy is still valid) when a person passes away. Furthermore, if the nominee is specified in the auto insurance policy, but the nominee and the legal heir are not the same, the policy will be transferred to the nominee’s name. But, if the nominee is not present, the legal heir will get ownership of the policy. 

So, it is essential to check if the vehicle insurance coverage has expired or is valid for selling a deceased person’s car. If it has some validity, the heir has to apply for a car insurance policy transfer with a new RC to sell the vehicle. Moreover, if exhausted, it is necessary to communicate the same to the new owner. 

4) Documentation

The last and most crucial step is documentation. The following is a list of documents required to sell a deceased person’s car:

  • Death Certificate
  • Registration Certificate(RC)
  • Address Proof of the Seller
  • Pollution Under Control Certificate (PUC)
  • A copy of PAN/Adhaar card
  • A valid car insurance policy, if applicable
  • No Objection Certificate (NOC) from the bank for clearance of dues
  • Succession Certificate
  • RTO Forms 28, 29, 30 & 31

The legal heir of the deceased policyholder will have to submit the following documents to the buyer to close the deal successfully. 

Also Read: Documents You Need To Sell Your Car

Things to Remember

When you take the car of the departed person in the inventory to sell, there are a few things you have to be aware of:

  • Don’t forget to include all of the vehicle’s original documents, as well as the title and ownership. 
  • Keep the copies of the certificates and letters for future reference.
  • Intimation to the RTO and getting the NOC is mandatory to sell the car.
  • Keep the car in good condition to attract buyers.
  • Check and fix any dents, scars, or tear.

The Bottom Line

Coping with the grief of losing someone is hard, but this guide on how to sell a car of a deceased person can make things simpler for family members. In addition, trusted auto eCommerce platforms are also helpful because getting the buyer for the car whose owner has passed away is difficult. These classifieds help to get several genuine buyers.

Be it those cumbersome paper formalities, RC transfer, or to get the best price, all things are available under one roof. Thus, the legal successor must complete above mentioned formalities for selling a deceased person’s car hassle-free.

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