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Useful Info

The following information is provided by Transport Department:
 
Vehicle Transfer
Within 72 hours on the change of ownership of a vehicle, a notice of transfer on form TD 25 must be lodged with the Transport Department licensing office, as proof that the transferor and transferee agree to the transaction. The new owner should deliver the original of the notice to the Transport Department, and the former owner the duplicate. There were cases in which transferees failed to take this procedure, thus, no transfer is registered, and the vehicle remains registered in the name of the former owner, to whom all fixed penalty tickets are sent. Therefore, it is advisable that the former owner should call at the licensing office together with the new owner to hand in both portions of the notice of transfer (duly completed and signed) so as to effect the transfer immediately. A former owner should not hand over the vehicle registration document to the new owner until the Transport Department has registered the transfer. The new owner's original identification documents should be produced.
When applying for transfer of ownership, the former owner and the new owner should also declare the transaction price of the motor vehicle on form TD 25. If the declared transaction price is greater than the last taxable value, the value of exempted accessories (if any), the value of unexpired portion of a warranty other than a manufacturer's warranty (if any) plus the first registration tax paid, the former owner should apply to the Hong Kong Licensing Office on application form TD 468 for approval and should pay the additional tax before the transfer of ownership is effected.
It is equally important for a prospective transferee to ensure that there are no outstanding penalties or possible license suspension in respect of the vehicle. There are numerous cases whereby a transferee finds himself legally liable to payment of fixed penalty tickets, or the vehicle license is suspended because the former owner has failed to disclose such information. To guard against this, a new owner is advised before acquiring a vehicle to apply to a licensing office for the relevant Certificate of Clearance. The Certificate, issued free of charge, is valid for 72 hours and certifies that the vehicle is free of outstanding penalties and is not liable to license suspension.
Enquiries
Application forms for registration and licensing of vehicles are available at the licensing offices of the Transport Department, the Home Affairs Department's public enquiry service centres and post offices. Application forms can also be obtained through the fax-on-demand service of the Transport Department Customer Service Hotline or Transport Department website.Please dial the Transport Department Customer Service Hotline 2804 2600 (24-hour service) or visit the Transport Department websitehttp://www.td.gov.hk/.


Transport Department forms and contact information:
                
Application for Certificate of Clearance 
Notice of Transfer of Ownership of A Vehicle
Licensing Offices address & office hours
Licensing Offices Locations and Contact 

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FAQ:

The buyer should first get an insurance policy on the car once a car trade has been agreed upon. If the seller is unwilling to provide a copy of the relevant vehicle registration document, the buyer should record details of the vehicle identity number, engine number, year, brand and model number as listed on the vehicle registration document and use those to apply for an insurance policy and to obtain a temporary vehicle insurance certificate.  After verifying there is no outstanding fines and records of traffic regulation violations on the car, the car can arrange to meet with the seller to proceed with the payment, ownership transfer and car handover.

 

For the seller, it is important to ensure completion car ownership transfer after full payment collection to avoid legal liabilities after the car trade.

Buyers and sellers often have to meet at a parking lot or at the side of a road to look over a car and to discuss terms of the trade.  They lack the right equipment to check out the car.  By choosing the Onsite Meeting and Car Look-Over Service, they will be able to meet at a safe and well-lit indoor environment and to look at the car chassis by using the car lifts there.  The buyer should ask the seller for the vehicle registration document to verify the owner's identity, the vehicle identification number, and to check the chassis number match that on the car. Before the transaction, the buyer can choose the Car Inspection Service to clearly understand the car condition.

The personal data of both parties will be recorded on the transfer document of the Transport Department. If the buyer and the seller do not wish to exchange copies of personal data at deal closure, they meet at the Transport Department together to process the car sale there, and to confirm that the car has no outstanding fines on it and that its licence has not been suspended.  The buyer and the seller may choose to use the Transaction Settlement Service and separately sign the car sales and purchase agreement and the relevant documents to car ownership transfer required by the Transport Department.  DCH Quality Used Car will keep all personal data on a confidential basis.

settle the outstanding loan to redeem the vehicle registration documents from financial institution before he or she can sell the car.

If the seller chooses the Transaction Settlement Service, DCH Quality Used Car will collect full payment from the buyer upfront on the seller’s behalf and then redeem the vehicle registration document for the seller. Thus, the seller does not need to come up with cash or use personal line of credit loan so that unnecessary cash use and finance charges can be avoided.

You may ask your relationship banks for updated financial products and services. A buyer can choose the Transaction Settlement Service, DCH Quality Used Car will provide details of interest rate and repayment plan and assist in getting car loan from selected banks and financial institutions.

The risks to the buyer and seller of a car trade are different.  The biggest risk to the buyer is getting a car different what the buyer bought for after full payment is made. Or, vehicle parts have been secretly swapped out.  In the Transaction Settlement Service process, the buyer can check the car condition before car ownership transfer.  Once acceptance of car conditioned is confirmed, the car can be parked free of charge at a designated location until transaction completion.

 

The biggest risk the seller is not getting paid after handing the car over and ownership transferred to the buyer.  The seller can opt for the Transaction Settlement Service of DCH Quality Used Car to eliminate the risk. If the buyer fails to make full payment after signing the contract, the vehicle registration document that the seller provided will be returned.  Once full payment is confirmed, car ownership transferred, and car delivery made, the seller receives a check issued by DCH Quality Used Car.

Those vehicles labelled "V" passed the Information verification procedure.  Meaning, on the day of check, the following details were checked against those listed on the vehicle registration document: (make, model, cylinder capacity, body color, first registration date, number of previous owners as posted on the website); chassis number/vehicle identification number on the car, full name of the owner and identification document number.