How to tell when buying a car that a car is financed?

[Mirr]

Hi

I am buying a used car, and I would like to know how to check if car was financed or not?

I know there is some mention of HPA, but is this mentioned somewhere in the return file or on registration book? How do I look for it, where do I look for it?

I just want to make sure car is not financed, and if it IS financed, then there is an NOC from bank, and the HPA is removed from the registration.

Can someone please help me with this
Thank you.

[capsat]

a leased / financed car always carry an HPA in the registration book card.

once the loan / lease is completed the bank issue an NOC in the name of user. User has to transfer the vehicle in his name and clear the HPA stance in the excise registration system.

a clear clean transferred vehicle file contains:

1. Original Invoice (stamped by excise registered)
2. The HPA documentation for the payee bank / dfic
3. The NOC issued by the bank / dfic in the name of 1st owner to whom it was to be transferred.

Without NOC in the file HPA clearance from excise is dubious. Excise can raise objection and suspend the transfer.

[Mirr]

Thank you for such a detailed response.

1) Just to be clear, it will mention clearly the "HPA by xyz bank" on the smart card or the registration book? And this will be mentioned in the NAME section or somewhere else?

2) Because the car was registered in Lahore in September 2021 I would assume it has a smart card, and not a book. Am I correct?

3) In addition to the invoice, I believe the return file will also contain the "sales certificate" and another document related to tax? I am asking to get a clearer picture of what documents I will receive and should receive when buying the car.

[capsat]

better verify it from excise dept. visit excise office hire an agent to obtain vehicle data. will cost you under Rs. 1000 to get complete excise print out with print date & time over it. Thats the most authentic way to know vehicle status.

[Mirr]

Do I really need to pay agent? I can't just fill a form and make payment and do it myself at their office?

[capsat]

that will be best approach if time is not an issue. agent will take 15 minutes, you may have to wait longer.

[Mirr]

form

Is there a specific name for this report so that I don't look stupid when I ask them?

[capsat]

why not pay a visit and check with your local excise office how to get vehicle status report available for sale.

honestly punching keyboard for such query is more stupid then paying a visit and making query in person.

[Mirr]

I went to ETO office near Allahu chowk in Lahore, and they looked at car details, and then said is showing HPA with UBL. It will have to be changed. So I asked well only owner can do that, and he said yes. Then he said 10 seconds later that it's not a problem you bring it wie will do it for you, which sounded a bit too much like JUGAAR.

Owner is saying he has done all due diligence and NOC from bank is clear and he has done all things in ETO, but in the online ETO record available through MTMIS, it still mentions the following.

Vehicle
Application Tracking

                                                Application Type:
                                                HIRE PURCHASE AGREEMENT TERMINATION


                                                Challan Paid Date:
                                                N/A


                                                Application Current Status:
                                                PENDING FOR APPROVAL


                                                Card Status:


                                            

                                            
                                                Inspection Date

I don't know what to do other than to take owner with me to ETO office and do the transfer process there and if any issue then I can forget about it.

[capsat]

it is a good news, Thank you for making an effort for yourself.

You can strike a conditional deal with seller / owner for payment, take him along to the excise office and process the transfer,. hold an agreed amount for xx no of days till such time you receive the document acknowledgement and receipt / file under your name.

all the best & good luck.