Can We Buy a Used Car from Another State in India?

What Are the Reasons to Purchase a Car Out of State

Buying a used car from another state may seem like an impractical choice at first, but it has various advantages. People generally make interstate car purchases for the following reasons:

You can find good cars at a significantly lower price in certain states due to lower regional demand, local pricing trends, and other similar factors. It can help people save money.  

You can find rare or specific car models in another state that aren’t readily available in your local market. Hence, anyone looking for vintage car models or those in limited supply can explore interstate options. 

Anyone open to the idea of buying used cars from another state will have access to a broader range of options, even for rare models that are not easily available locally.  

Some states have excellent climate and road conditions that preserve vehicle quality by reducing wear and tear. Hence, you can get a used car that looks and operates like a brand-new one.  

Considerations When Buying an Out-of-State Vehicle

If you’re wondering, ‘Can I buy a used car from another state?’ The answer is yes. However, be aware of the following consideration points for a smooth experience.

No matter what state you're buying the car from, be sure to carefully check all the important paperwork, like the insurance papers, the Pollution Under Control (PUC) certificate, the Registration Certificate (RC), and so on.

Inspecting the car’s history is a non-negotiable part of the process. It will help you know the car’s ownership status, working condition, previous records of traffic violations, instances of road accidents, and other crucial factors that matter.

While challenging, this one step can help you choose the right car. Get the vehicle thoroughly inspected by a professional mechanic. 

Make sure you know what the rules are in your state for things like automobile sales, taxes, and registration, since they can be different in each state. You have to have a smooth purchase process.  

Inspecting the car’s history is a non-negotiable part of the process. It will help you know the car’s ownership status, working condition, previous records of traffic violations, instances of road accidents, and other crucial factors that matter. 

While challenging, this one step can help you choose the right car. Get the vehicle thoroughly inspected by a professional mechanic. 

Different states have varying regulations regarding vehicle sales, taxation, registration, etc., so ensure you’re aware of the relevant compliance requirements. It’s a must to experience a smooth buying process.

Step-by-Step Guide to Buying a Car from Another State

If you’re new to interstate vehicle purchases, it’s natural to have a lot of questions around ‘how to buy a secondhand car from another state.’ In this section, we provide a step-by-step guide to help you follow a reliable purchase path.

1. Find used cars from other states through online platforms, classified ads, dealerships, etc. Then, shortlist a few based on your requirements. 
2. Verify all seller credentials, and then request that they provide relevant vehicle documents for verification. 
3. Make arrangements for a physical inspection of the car you decide to purchase.
4. Negotiate the final price and make the payment to finalise the deal.
5. Obtain an NOC from the seller’s state Regional Transport Office (RTO).
6. Bring the car to your home state via a professional carrier. If it isn’t far away, you can also drive the vehicle to your home state or hire a driver for a long drive. 
7. You must submit an application to your local RTO in order to register the vehicle in your name once it arrives in your home state.

 

Pros and Cons:

Keep in mind that buying a used car from another state in India has both advantages and disadvantages.

Pros

• Access to better deals
• Wider range of options to choose from
• Ease of finding vintage and other rare car models
• The possibility of finding cars in excellent working condition 

Cons

• Complex paperwork and legal complications
• Plenty of secondary costs that indirectly increase the purchase value
• Logistical challenges
• Limited to no after-sales support

What are the Legal Requirements for Interstate Used Car Purchase?

Buyers must fulfil the following legal requirements for a successful interstate car purchase. 

Obtain an NOC from the seller’s state Regional Transport Office (RTO) as it’s required to shift the car’s registration from one state to another. 

The buyer must re-register the car they bought with their home state's RTO after getting a NOC. You should see changes to the RC within a few days after sending in all the necessary paperwork.

Make sure the car's insurance policy lists you as the policyholder. If the seller is putting their car insurance in your name, tell them to call their insurance company. You might also call your insurance company and ask them to cover the car under a new policy.

Pollution Under Control (PUC) standards may be different in each state, so make sure you follow your local state's rules for emissions.

When you acquire a car in another state, you have to re-register it in your home state. This means you have to pay the road taxes that state requires.

How to Sell a Car Across State Lines Without Any Problems

• If you're new to buying a used car from another state and want to know how to do it without any problems, follow the guidelines below.
• Understand state-specific regulations for both the seller’s state and your home state before proceeding
• Always get the vehicle checked by a professional mechanic to avoid future disappointments
• Verify all documents thoroughly
• Crosscheck the car’s chassis and engine numbers with the ones listed in RC to avoid legal or insurance complications
• Maintain an organised record of all transaction proofs, NOCs, road tax payments, etc.
• If the process feels overwhelming, hire an RTO consultant or agent to simplify paperwork

What are the Costs Involved in Purchasing a Car Out of State?

Besides paying the vehicle cost, you’ll also have to make additional payments, such as road tax in your home state, NOC charges, reregistration fee, vehicle inspection charges, transportation charges, etc. Estimates are challenging to calculate unless you have full details of the vehicle’s proposed cost, the distance between the two locations, state-specific road taxes, and other details. 

How to Ship a Car from Out of State?

You can book a professional carrier service to securely transfer the car from the seller’s state to your home state. Alternatively, you can drive the car yourself (if feasible) or hire a professional driver for long-distance travel. Pick an option that matches your convenience, preference, and budget. 

Conclusion

Purchasing a used car from another state is a great option for anyone seeking budget-friendly options. While it is possible, the process requires plenty of legal, logistical, and verification consideration. If you can handle the paperwork, logistics, legal compliance, and other aspects discussed in this blog, then you can proceed with an interstate purchase. 

If the car has expired insurance, then you can secure it under Car Insurance policies provided by Shriram General Insurance. Our insurance provides greater coverage, faster claim settlement, and customer support.   

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