As in most countries, buying a new car in Dubai involves registering the vehicle under your name. But what if you are planning to purchase a secondhand car instead? In this case, you will have to transfer ownership of the vehicle under your name as well.
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Transferring ownership of a secondhand vehicle under your name is necessary. If you don’t, you will have to pay a fine of AED 3,000 when caught by the Dubai Police! So don’t forget!
Guide to Transferring Ownership of Car to Another Person
Before transferring ownership of a secondhand car under your name, take note of these prerequisite conditions, required documents, and procedure first:
- The buyer must be a UAE resident.
- Both buyer and seller must be present during the transfer.
- The seller should have paid all outstanding fines.
- The seller should have terminated his/her insurance policy or transferred it to the buyer.
NOTE: In any case, the buyer needs to pre-arrange insurance (valid for 13 months) for the vehicle.
The buyer should bring:
- Resident ID
- Passport with residence visa (original and photocopy)
- UAE driving license (original and photocopy)
- Insurance certificate (original)
- Transfer fee of AED 400 for a light vehicle or motorcycle
The seller should bring:
- Resident ID
- Passport with residence visa (photocopy)
- Vehicle registration card (original)
- Settled loan certificate from finance company (if any)
- Both buyer and seller proceed to the Dubai Traffic Police Headquarters or RTA Licensing Centre.
- Go to the typing counter, where the clerk shall assist in accomplishing a Vehicle Permit Application Form for the buyer.
- Submit all required documents at the registration counter.
- The seller should pay all outstanding fines (if any).
- The buyer pays the transfer fee.
- The new registration card shall be issued after five to 10 minutes.
- The buyer gives a copy of the new registration card to the insurance company and to the finance company (if applicable).
- The seller keeps a copy of the new registration card for record-keeping purposes, as proof that the vehicle has been sold and ownership was transferred.
As long as the buyer and seller stick to these guidelines, ownership transfer is actually a quick and smooth process. Either way, as motorists, they should always be aware of Dubai’s traffic rules and regulations to avoid committing violations and getting slapped with penalties!