About

HP termination refers to an application for making an entry of termination of agreement of hire purchase, lease or hypothecation agreement in the certificate of hypothecation.

Guidelines
  • Apply for making an entry of hire-purchase, lease or hypothecation agreement in the certificate of registration of a motor vehicle in Form 35, duly signed by the registered owner of the vehicle and the financier
  • Confirm whether it is the case of termination due to failure to make repayment to financier
  • If all dues are cleared then provide certificate of due clearance from financier
  • Pay appropriate fee as specified in rule 81 of the Central Motor Vehicle Rules 1989
  • If the termination is due to failure of repayment by the financer then the RC should be issued in the name of financier.

Issuance of RC in the name of financier
  • Apply for the issue of a fresh certificate of registration in Form 36
  • Provide allotment letter of the vehicle
  • Provide the insurance certificate
  • Pay appropriate fee for transfer of ownership as specified in rule 81 of the Central Motor Vehicle Rules 1989
  • A notice will be issued to the registered owner of the vehicle if he refuses to deliver the certificate of registration to the financier or absconds

Documents required
  • Application in Form 35
  • Certificate of registration
  • Allotment letter of the vehicle
  • Valid insurance certificate
  • Proof of address*
  • Pollution under control certificate*
  • R.C.Book*
  • Attested copy of PAN card or Form 60 and Form 61(as applicable) *
  • No Objection Certificate from financier*
  • Chassis & Engine Pencil Print*
  • Signature Identification of owner*

Reference
  • The Motor Vehicles Act 1988 (Section 51 of Chapter IV)
  • The Central Motor Vehicles Rules 1989 (Rule 61)
  • State transport official websites
Documents marked with asterisk (*) may be required in some states.