PROCEDURES FOR BUYING AND SELLING USED VEHICLES UNDER CURRENT REGULATIONS

On July 1, 2023, the Minister of Public Security issued Circular No. 24/2023/TT-BCA on the issuance, revocation, and registration of vehicle licence plates, effective from August 15, 2023. This circular replaces Circular No. 58/2020/TT-BCA and amends certain articles of Circular No. 15/2022/TT-BCA on vehicle registration (hereinafter referred to as Circular No. 24). The registration and issuance of license plates for cars and motorcycles have undergone significant changes compared to previous regulations in the procedures for buying and selling used vehicles.

Article 13 of Circular No. 24/2023/TT-BCA stipulates the cases of registration for name change and vehicle relocation as follows:

"Cases of registration for name change and vehicle relocation

1. When transferring the ownership of a vehicle or changing the registered office or residence from one centrally-governed province or city to another (hereinafter referred to as "original owner relocation"), the vehicle owner must complete the withdrawal procedure at the agency currently managing the vehicle's records.

2. Organizations or individuals receiving the transfer of vehicle ownership, and vehicle owners (in the case of original owner relocation) shall carry out the procedures for vehicle registration transfer or relocation at the vehicle registration agency as prescribed in Article 4 of this Circular.”

Therefore, in cases of used vehicle transactions under Circular No. 24/2023/TT-BCA, the buyer must complete the procedures of vehicle registration transfer at the vehicle registration agency, while the seller must complete the vehicle registration withdrawal procedures at the agency managing the vehicle's records.

Procedures for cancelling registration for the used car seller

Firstly, the seller must complete sale procedures of the used vehicle. 

Step 1: The former vehicle owner (seller) shall declare the vehicle registration and license plate withdrawal on the public service portal; submit the withdrawal application and receive a notification of the registration result as prescribed.

Step 2: The former vehicle owner (seller) provides the online vehicle registration file code.

Step 3: The former vehicle owner (seller) submits the withdrawal application as prescribed and receives a notification of the registration result as prescribed.

Step 4: After verifying the vehicle's records, the vehicle registration agency issues a certificate of registration withdrawal and license plate, as prescribed (with a sticker bearing the engine and frame numbers, stamped and sealed by the vehicle registration agency on the sticker)

One copy is given to the former vehicle owner.

One copy is kept on file. In the event of loss of the vehicle registration certificate, verification procedures shall be carried out as prescribed.

Vehicle registration cancellation paperwork

Vehicle registration and license plate withdrawal declaration

Vehicle owner's documents:

- One copies of the engine and frame number impression 

- Vehicle registration certificate

- License plate

- Copy of the vehicle ownership transfer document

- Vehicle registration transfer and relocation procedures

Therefore, when conducting a used vehicle transaction, as per Circular 24/2023/TT-BCA, there are two procedures to be followed. The seller must first complete the vehicle registration and license plate withdrawal procedure and receive the certificate of registration and license plate withdrawal. This certificate is then handed over to the buyer to proceed with the vehicle ownership transfer and relocation procedures.

Step 1: The buyer completes the vehicle registration declaration.

Step 2: The vehicle is brought for inspection, and the online vehicle registration file code is provided.

Step 3: The vehicle ownership transfer and relocation application is submitted.

Step 4: After verifying the vehicle's records and physical condition, the registration authority issues a new license plate.

Step 5: The applicant receives a notification of the result, pays the registration fee, and receives the license plate (if eligible under point a, clause 2, Article 12 of Circular 24/2023/TT-BCA). If the owner wishes to receive the registration result via public postal service, they must register with a public postal service provider.

Step 6: The vehicle registration certificate and license plate are received at the registration authority or from the public postal service provider.

- Vehicle ownership transfer and relocation documents

- Vehicle registration declaration

- Vehicle owner's documents

- Vehicle ownership transfer document

- Prior registration tax certificate

- Certificate of registration and license plate withdrawal

Therefore, when conducting a used vehicle transaction, as per Circular 24/2023/TT-BCA, there are two procedures to be followed. The seller must first complete the vehicle registration and license plate withdrawal procedure and receive the certificate of registration and license plate withdrawal. This certificate is then handed over to the buyer to proceed with the vehicle ownership transfer and relocation procedures.

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