Hypothecation Deletion/Removal from RC

I visited Sheikh Sarai RTO (Delhi) to submit my application for “Deletion of Hypothecation” i.e. is required after completion of motor vehicle loan. Following details my experience and application process.

As part of the application, you need to submit the following documents (in order):

  1. Original RC.
  2. NOC from bank for no dues. Please not that the NOC from the bank is valid only for a specific time which varies across the banks (mostly one month). So, please check for the validity of the NOC if its more than a month old.
  3. Duly filled Form 35(Attested by bank) in original.
  4. Copy of Insurance.
  5. Copy of PUC (Pollution under Control) certificate.
  6. Copy of Address proof of owner.
  7. Copy of PAN Card.

*All copies should be attested by Notary or a Gazette Officer.

Though not asked, Please carry respective originals of all documents.

Reach the authority at 08:30 to avoid rush and do as described below:

  1. Climb to 3rd floor and enter Room No. 322.
  2. Head to Counter No.4.
  3. Submit file and pay Rs.350. Collect receipt.
  4. Head to counter No.5 and show receipt. The executive will give you your file.
  5. Please check all documents and personal details in the file.
  6. Sign a disclaimer attached with file.
  7. Collect receipt.

The application can be submitted on behalf of owner as well. For that, you need to attach the following additional documents:

  1. Application: Written application by owner authorizing the person to submit application. This application must have the “Authorized Person” signature attested by the person who is authorizing. I was submitting application of my dad’s behalf, so application contained both mine and father’s signature.
  2. Copy ID/Address Proof of the “Authorized Person”.

You can collect RC after 21 days by showing the receipt.

I will share my experience after I collect RC next month.

Update: Collected my RC today i.e. 29-Jan-2013. Just head to the “enquiry” counter on 3rd floor at sheikh Sarai RTO. Officer will ask for receipts (These were given to you on file submission). He will keep the receipts and return RC. Incase your RC is not available here, please head to room No. 322 and ask for your RC status from Counter No. 3. There is a possibility of a delay and hence i suggest you to collect your RC after a months time.

Checkout other posts on Indian Govt. Processes here.

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39 thoughts on “Hypothecation Deletion/Removal from RC

  1. Pingback: CNG Cylinder Compliance Plate |

    • Very useful information. Helped me today to file my application to remove HP. The only problem was that the babus who were supposed to come at 8am on their desks came at 9am. You have to go to counter 3 in room 322, a lady checks your papers, then you pay the HP removal amount of Rs. 100 on counter 4, and then go to counter 5 where you pay Rs. 370 + service tax = Rs.416. In all it costs Rs. 516.

    • Congrats & Thanks for the appreciation Deepanjan.
      Please feel free to add if something has changed in the process.

  2. thanx a lot dear for all this info. was of immense help. i got all the procedure done for removal of hypothecation in less than half an hour.

    IMP: in case vehicle is in the name of company/proprietorship, u need Address proof of the company /proprietorship firm(read- not the proprietor) and a request on company/firm letterhead for removal of hypothecation.

  3. have a Delhi registered Indica from Sheikh Sarai RTO but presently have got transfered to Kolkata,
    Do have a local PUC from Kolkata,would that be acceptable ??

    • My guess is , “If its transferred to Kolkata; then you can apply for hypothecation deletion at that RTO. Should not be a problem.”
      Not sure though. You can visit the office once and enquire.
      All the best. 🙂

  4. I visited the Sheikh Sarai RTO office this morning to get my bikes hypothecation removed. The information on this page was immensely helpful in saving time and energy. Let me thank you guys for sharing your experiences. Let me briefly share my experience.

    1) Be at the Sheikh Sarai office by 8.30 to avoid the queue and save your time.
    2) At counter 4, submit your documents – RC, NOC, Form 35 along with attested copies of insurance, PUC, address proof, & pan card. Please write your mobile number on top of form 35. The person at the counter will collect your documents, and ask you for the fee (150 rupees). Pay 150 rupees and collect the receipt. After verifying your documents, the counter person will forward your documents to another person at counter 5.
    3) Go to counter 5. At counter 5, the person will re-check your documents and will staple a fresh receipt to your set of documents. Collect your documents and go to counter 6.
    3) At counter 6, submit your documents and pay 416 rupees for new smart card (RC). Collect your receipt and visit after after a month.
    4) Within two hours you will receive an acceptance message on your mobile.

    I will update after collecting my new RC.

    Thanks guys.

    Keep sharing your experiences and make this country a better place.

    Kapil

    • Kapil,
      Congratulations on successfully submitting the application.
      All the best for collection of RC.
      Thanks for the kind words of appreciation. We try to post all our experiences with government offices. Share across the blog with others for magnifying the knowledge sharing.
      Thanks again and all the best…:-)

  5. Thanks for the detailed procedure. I have to get my hypothecation removed from Sheikh Sarai Kale Khan too. Unfortunately since I am managing my own supply business, I can only reach there after attending to the business around 12 pm. Till what time do they accept applications?

    Thanks and regards,

    Sajeev

    • Sajeev,
      I think it should be till 1 at least.
      Not sure about this.
      You can try and share feedback.
      It will help others.
      All the best.:-)

    • The timing for docs submitting is Monday – Friday between 8:30 am to 12:30 pm but try being there before 10 am to avoid long queues.

  6. Hi – Awesome information. Got the application submitted without any issue in under 1 hour. Just to confirm that neither the counter numbers nor the fee amount has changed.

    Thanks again.

  7. Hi All,

    Guidance available here is absolutely correct and appreciate the same.
    There have been few changes in the room / counter at Sheikh Sarai RTO.

    Now, for Removal of Hypothecation at Sheikh Sarai RTO,
    1. Directly head to Counter # 18 at Ground Floor itself.
    2. Submit all the necessary and relevant documents as specified already above.
    3. Submit the Fees(350 Rs) and get the receipt.
    4. Go to Counter # 19.
    5. Person will verify the documents and will handover a disclaimer to sign and return.
    6. That’s It! Come and collect the New RC after 30 days from counter # 14 by showing the receipt.

    Thanks!

  8. in case vehicle is in the name of company/proprietorship, u need Address proof of the company /proprietorship firm(read- not the proprietor) and a request on company/firm letterhead for removal of hypothecation.

    how to write letter

  9. Hi,
    Thanks for the informative website – your description & comments are very helpful!

    Just two questions
    1. is the Sheikh Sarai RTO open on Saturday?
    2. if yes, then are timings same on Saturday?

    Thanks!
    Ajay

    • Hi,
      Thanks for the kind words.
      I do not have idea on timings.
      Always prefer going on weekdays and before time to get things done at government offices.
      All the best.

  10. Collecting new RC after 30 days of submitting documents and old RC..how is one going to manage driving without an RC for one month? What if there is a surprise police barricade while driving at night and u are caught without an RC during that time?

    • Amit,
      There is an acknowledgement receipt that the authority people give when you submit the documents.
      Per them, it can be shown if someone asks for the RC…

      • Thanks a lot for answering my queries. By the way good job in writing such an informative article. I got to know from my dealer today that my car’s RTO would be Vasant Vihar (DL12). Tried to find a similar article for that RTO in team-bhp.com. I see one post where its written that address proof is only needed if the address has changed. Is it true? I took the car loan in May 2012 and my address then and now are the same.

        • Also, one more query – I read about lot other requirements on team-bhp like a file to collect all the stapled documents, a stamped envelope so that RTO posts the new RC back to us, a plastic cover to keep the RC in and attestation of photocopies to be mandatorily done by notary advocates and not self. Can you advise on this too? God, can’t they keep things simple? 🙁

          • Not sure about posting the rc… But, notary attestation is required… It was the case when I had applied….

        • Thanks for the kind words.
          I am not sure about the proof if address cha changed…but no harm in carrying extra documents… I always carry entire file to make sure I get the job done in one shot…

          • Thanks again for your help. One last question – my insurance expires on 21st May but I have already received the renewed insurance document effective from 22nd May onwards. Do I need to get both the copies of the insurance document?

          • Amit, it will not do any harm if you carry both copies… Good to be prepared with all docs.
            All the best.

  11. Hi,

    I have a Delhi no. registered car with an old address mentioned on the RC where I no longer live. I am now residing in Gurgaon since last 6 years and need to get hypothecation deleted from my RC. I have all necessary documents except the old address proof for Delhi. With my new Gurgaon address, what process would I need to follow to get my job done and also if I would be required to re-register my car to a Gurgaon plate to complete the process. Please advice.

  12. Today I went to sheikh sarai rto for deletion of hypothecation. One or two things I would like to share. Reach at rto early around 8-8:15 because I reached at 8:30 and already there were 40-50 people clinging to d gate. Mind it there are two gates. Better if u follow back side gate u ll reach quickly to counter no 18 at ground floor. Do carry fresh Insurance policy if ur current policy is lapsing within one month. At d counter person ll ask u to produce copy of fresh insurance .it took me 2:30 hours to complete d whole process. So better get there early.

  13. I visited RTO office Shiekh Sarai today (22-Sept-2015) to remove HP from my RC.

    You will now need to first go to window 19 or 20 for Data Entry and document verification.
    Then the operator will give you a form to sign. Sign it and then submit all your documents alongwith that new form to window 18 and pay the desired fees. In my case it was Rs 350/- (I have Wagon-R CNG, company fitted). All the counters are on ground floor now. The payment counter returned me a slip which will act as the RC meanwhile.

    The documents needed:

    – NOC from bank, original
    – Form 35, stamped by Bank, original
    – PUC Certifcate, photocopy
    – Car Insurance, photocopy
    – ID Proof, e.g. passport, Votercard, etc, photocopy

    You will need to attested the PUC + Insurance + ID Proof by either notary or a gazzetted officer. There are many notary just outside the RTO office. They charge Rs 20/- per copy, so I paid Rs 60. It took around 1 hour in the queue and deposit the fees.

    Now, I will get the new RC from window 14 after 1 month by showing the copy

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