Understanding the Registration Process for Used Cars in Faisalabad

When buying a used car in Faisalabad, one of the most important steps after the purchase is completing the registration process. Properly registering the vehicle in your name ensures legal ownership and compliance with the law. Here’s a step-by-step guide to help you understand the registration process for used cars in Faisalabad, so you can avoid delays, penalties, or legal issues.

1. Gather Required Documents

Before you start the registration process, ensure you have all the necessary documents in order. Missing paperwork can slow down the process, so it’s important to collect these ahead of time:

• Original registration book: This is proof of the vehicle’s original registration.
• Sales deed/transfer letter: This document indicates that the vehicle has been sold and ownership is being transferred.
• CNIC of both buyer and seller: You’ll need to provide photocopies of both parties’ Computerized National Identity Cards.
• Vehicle file (if available): This contains the history of the vehicle, including previous ownerships and records.
• Payment receipt of token tax: Ensure all taxes are up to date before transferring ownership.

Why It Matters:

Having all the necessary documents in advance will prevent complications at the Excise and Taxation Office (ETO) and allow for a smoother registration process.

2. Verify Token Tax and Previous Payments

Before completing the registration process, check that the car’s previous owner has paid all outstanding token taxes. In Faisalabad and Punjab, token tax is an annual vehicle tax. You can verify this information through the Punjab Excise and Taxation Department’s online portal by entering the vehicle’s registration number.

Why It’s Important:
If there are unpaid taxes, you will need to settle them before proceeding with the registration. Failure to clear outstanding taxes can result in penalties.

3. Complete the Sale Agreement (Transfer Deed)

Once you’ve verified the documents and token tax, you and the seller need to complete the sale agreement or transfer deed. This is a crucial step in officially transferring ownership of the car.

• Include essential details: Make sure the sale agreement includes details such as the vehicle’s registration number, chassis number, engine number, and both parties’ CNIC numbers.
• Get it signed and attested: Both buyer and seller must sign the transfer deed, and it should be attested by a notary public or an Oath Commissioner.

Why It’s Essential:
The sale agreement acts as proof of the transaction and is necessary for the ownership transfer process.

4. Visit the Excise and Taxation Office (ETO)

Once the sale deed is complete and you have all the necessary documents, visit the Faisalabad Excise and Taxation Office to begin the registration process. You will need to submit the documents, along with an application for the transfer of ownership.

• Faisalabad ETO Address: It’s important to know the exact location of the ETO for submission. The ETO for Faisalabad is located in the city’s administrative district.

Documents Required for Submission:

• Original vehicle registration book
• CNIC copies (buyer and seller)
• Transfer deed/sale agreement
• Paid token tax receipts
• NOC (No Objection Certificate) if applicable (required if the car was registered in another city)

Why It’s Necessary:
All vehicle registration and ownership transfers are handled by the ETO, and the vehicle cannot be legally driven in your name without completing this step.

5. Pay the Transfer Fee

During your visit to the ETO, you will be required to pay the transfer fee. The fee amount varies depending on the engine size of the vehicle and whether it is a locally assembled or imported car.

Common Fees:

• 1000cc and below: Lower transfer fees are usually applicable to smaller cars.
• 1001cc to 1800cc: Mid-range cars will incur higher fees.
• Above 1800cc: Luxury or larger cars attract higher transfer fees due to engine size.

How to Pay:
You can pay the transfer fee at the designated bank counter inside the ETO or through authorized bank branches.

Why It’s Required:
The transfer fee is mandatory for legal registration. Ensure you retain the payment receipt, as it will be needed to complete the transfer process.

6. Biometric Verification

Since July 2022, biometric verification has become a mandatory requirement for transferring ownership of vehicles in Punjab, including Faisalabad. Both the buyer and seller need to provide biometric verification, either at the ETO or through an authorized NADRA e-Sahulat center.

What You Need:

• CNIC of both parties
• Presence of both buyer and seller, or if unable to attend, using NADRA’s biometric app for remote verification.

Why It’s Important:
Biometric verification is essential to prevent fraud and ensure the legitimacy of the transaction.

7. Collect the New Registration Book

Once all the paperwork, verification, and fees are processed, the ETO will update the registration details. You’ll then receive the new registration book in your name.

How Long It Takes:
The process usually takes a few weeks. Be sure to follow up if there are any delays.

What’s Included:

• Your name will be listed as the new owner.
• Any previous owner’s details will be removed.

Why It Matters:
This is the final step to officially become the legal owner of the car. Ensure that all the details in the registration book are accurate.

8. Keep a Copy of All Documents

After completing the registration process, it’s a good idea to keep copies of all relevant documents for future reference. These include:

• The new registration book
• Sale agreement/transfer deed
• CNIC copies
• Token tax receipts

Why It’s Important:
Having a full set of documents helps in case of future issues like selling the car, proving ownership, or for insurance purposes.

Conclusion

Understanding the registration process for used cars in Faisalabad is key to ensuring that the vehicle you purchase is legally yours and that there are no hidden complications. By following the correct procedures—collecting necessary documents, verifying taxes, completing the sale agreement, and fulfilling biometric verification—you can smoothly complete the registration and avoid any legal troubles.