There is an assertion among many motorists that providing a private installment plan for a vehicle is a rather risky undertaking, and it cannot be arranged without damage to the seller himself. This is far from true. If the whole procedure is carried out correctly, then this method of selling a car is completely feasible, completely safe and profitable. But if you do not take care in doing so and formalize the transaction as necessary, without having any knowledge about carrying out such procedures, then you may well be left without personal transport and completely lose money. In this case, it is important to know how to draw up a car purchase and sale agreement with installment payment 2017. In this publication we will present you with a sample of such a document.
Sale of cars in installments
Everyone knows that most legal entities, represented by banks and various LLCs, readily agree to arrange installment payments for purchased items, as well as cars. But sometimes it happens that installments for used cars are provided by a private individual. This mainly comes from the large oversupply in the secondary car market. And at the moment when the car owner meets a buyer who agrees to purchase it for a set price, but offers to defer payment, most sellers agree, since they will be forced to either reduce the price of their vehicle or wait for a sale for some time.
But still, car purchase and sale transactions in installments are associated with huge risks, since this product is not real estate. And, as everyone knows, for movable property during the installment plan period, the guarantee of its safety will be much lower, unlike an apartment or house. We should also not forget about cases of non-return of funds and non-payment of payments in deadlines. Based on this, this type of transaction should be resorted to only in the case of an additional sales option, of course, if the seller is not engaged in sales to receive profit on interest on car installment plans, which in turn is a dubious business for a private individual.
You should know that if the buyer or you have the opportunity to complete the transaction without installment payment, then this option will indeed be the most the right decision. In the event that the buyer does not have the opportunity to pay the entire cost of the car at once, then an installment plan will come in handy, but only when it is officially formalized and all the buyer’s documentation is in perfect order.
It should be noted that if for some reason you doubt the solvency of the buyer himself, then it is best to find another way of selling, since problems associated with non-payment of debt can be very troublesome for you.
What else should a seller know before selling a personal car? And the fact is that these transactions, like all others, are subject to taxation.
Sample contract for the sale and purchase of a car with deferred payment:
What design options exist today?
So, there are currently 3 options for concluding deals for selling cars in installments. Now we will tell you how to formalize a purchase and sale transaction involving installment plans between individuals:
- According to the loan agreement.
- According to the purchase and sale agreement.
- According to the drawn up receipt.
According to the purchase and sale agreement. This method is standard and completely safe for both parties entering into such a transaction. The main thing in this case is the purchase and sale agreement itself. (DCP), which is called a car purchase and sale agreement with installment payment. The process of selling a car according to this document is practically no different from the standard one. But as for the contract itself, it may have certain differences. Now it is worth reporting what differences this document has.
Additionally, the following paragraph has been added: The cost of the contract and the procedure for making payments. It includes terms for paying in installments and sets out their clear schedule.
In the paragraphs - Final provisions and Responsibility of the parties, main additions are included that regulate all the nuances relating to installments, force majeure, methods of collection for non-payment of debt and liability for late payments. This agreement also contains additional restrictions and conditions. According to Russian law, a purchase and sale transaction under standard contract The contract can enter into legal force immediately after signing by both parties. It does not require registration. But this only applies to the standard version.
In the case that we are considering, these rules and requirements will not contribute to the buyer’s fulfillment of his own obligations. Based on this, when applying for such an installment plan, you must:
- Notarize the purchase and sale transaction.
- Introduce an additional clause with a condition prohibiting the resale of the vehicle until the debt is repaid.
You should also include in this agreement a clause prohibiting re-registration before the payment is repaid and issuing a power of attorney with limiting powers and not carrying the new owner in the registration certificate (PTS), for complete security. But this method will not be very convenient for you. This is mainly due to the power of attorney itself: Fines and tax payments for the person to whom the power of attorney was issued will be sent to you by mail and will take up not only your personal time and money, but also your own nerves. In addition, the contract must contain clear clauses regarding actions related to an accident or car theft. IN in this case, it is necessary to include a clause on vehicle insurance (CASCO) in the contract. This is the method that many banking institutions practice when applying for a car loan.
According to the loan agreement. This option is very similar to the previous one, but a little more complicated. But it is this one that is quite reliable, unlike the first one, but still it is difficult to attribute it to a direct car sale transaction.
Its main essence is that the purchase and sale transaction with installment payment is replaced by debt obligations. This means that the buyer takes from you cash(they are equal total amount contract price of the car) under the loan agreement, and then pays for this loan according to the conditions assumed. What is the main difficulty? In this case, three documents must be completed:
Standard purchase and sale agreement. In such a situation, no additional installment clauses are included in it.
- Loan agreement. This is the main payment document, which sets out in great detail the terms of repayment and provision of the loan. They are similar to the additional clauses in the policy, which provides for payment by installments.
- Vehicle pledge agreement. This document is an insurance document. According to this agreement, the car being sold is legally considered collateral with basic rules for its withdrawal in the event of any difficulties or failure to make payments.
The last two agreements must be notarized. Only in this case can they reliably oblige the buyer to strictly adhere to the payment schedule. In the event of a trial, you will have an undeniable advantage.
You should also talk about payment methods under these agreements:
If payments will be made in cash, then with each loan repayment, you will need to provide the buyer with a financial receipt of the funds.
If you provide a non-cash payment for the buyer, then this method is simpler. In this case, both you and the buyer will collect payment receipts for funds credited independently.
According to the receipt. Using a completed receipt, selling a car is quite simple: you only need to complete 2 documents:
A receipt stipulating the financial obligations of the buyer himself. The following information should be included in the receipt:
- personal data of both parties to this transaction;
- detailed information about the purchased car and payment of penalties for failure to comply with the terms of the transaction.
A power of attorney for the right to drive a car is a standard power of attorney (not a general power of attorney), which does not need to be notarized. This document will only grant the right to drive vehicles. The receipt and payments will go to you personally, and the buyer will take the power of attorney and the car. After the buyer pays the entire amount for the concluded transaction, you are obliged to include the buyer in the technical passport. It should be noted that according to the legislation of the Russian Federation, a power of attorney may not be issued. It is only necessary to enter the buyer into the MTPL policy. This method of selling a car can be used as a backup option, for example in the following cases:
In the event that vehicles need to be sold in urgently, and there is no time to complete documents.
In case of some temporary difficulties related to documents or the car itself, due to which it is not possible to complete this transaction.
Of course, in the event of force majeure, the receipt, alas, will not have sufficient legal force. But if the signed agreement is accompanied by an act of acceptance and transfer, then, according to the fact that the car is legally your property, the buyer, as a rule, should not have any temptation to default on the debt. And if you apply for CASCO insurance for your car, the transaction will be completed without risk for you. As for the receipt itself, it is drawn up in any form.
Contract for the purchase and sale of a car in installments between individuals. Sample.
Three selling options
Also learn about how to create agreement for the purchase and sale of a car in installments between individuals. With options for applying for installments, everything is clear. Now we’ll tell you how to sell a car in installments. This is done in three ways:
- Own sale without intermediaries.
- Selling cars through a bank.
- Selling vehicles at a car dealership.
With the first method everything is very clear. We talked about it in the previous section. But as for the remaining two, it should be said that they are used quite rarely. This is mainly due to the fact that banking organizations do not want to carry out such small transactions, but many car dealerships and other institutions of this kind that sell used cars try to offer you a different scheme: in this case, car dealerships are preferable, since they can more competently and accurately assess the vehicle and carry out its pre-sale preparation. The car, in this case, must have a complete package necessary documents. But if the car was registered to another person, then intermediaries are unlikely to want to deal with it.
Problems with payments
Even when concluding standard transactions, problems related to payments may arise. It could also be fraudulent activity. What can be said about the riskiest ways to sell? These risks should be taken for granted because, alas, none of us are immune from this. If the buyer does not repay the loan for a car purchased in installments, does not make payments on the loan agreement or receipt, this may be due to the following reasons:
The buyer has any problems financial difficulties. Here it is best to try to avoid litigation and try to resolve this issue mutually. You can accommodate the buyer by changing the payment schedule until the situation improves.
The car got into an accident, was completely damaged, and the buyer refused to make payments for a pile of metal - in this situation there is nothing left to do but sue statement of claim, since the buyer does not want to pay the debt, and has made a final decision about it. The situation that has arisen can be resolved with the help of a pre-registered car by insurance policy CASCO.
The car was resold. This can happen if you made some loopholes when preparing documents. Various difficulties may arise in court regarding the timing of consideration. But this matter can be resolved with the help of bailiffs or lawyers.
During the operation of the car, serious defects appeared, and the buyer demands a review of the conditions.
The buyer does not contact. Both he and the car cannot be found. You should immediately contact the police and put the missing car on the wanted list.
Car purchase and sale agreement online. Sample.
In addition to all the above cases, there is also online car purchase and sale agreement. It can also be used to conclude a deal. Selling a car in installments is an extremely responsible task. In your case, you should approach this matter more prudently. If, before concluding a transaction, you try to find out in as much detail as possible about the future buyer, all the necessary information that will relate to accidents that occurred with his participation, cases of non-payment of loan payments, then you can protect yourself in the future from the occurrence of unpleasant situations.
It is best not to reduce the cost of the car in installment documents, because if force majeure situations arise, or a complete refusal to pay the debt, this may work against you - you will only be able to recover the funds indicated in the contract.
The amount of fines for late payment is set at 1.5-2% of the remaining payment amount for a certain period (week, day, month).
Sample agreement for the purchase and sale of a car in installments between individuals:
Conclusion
As you can see, it is quite possible to arrange an installment payment transaction between individuals. But it's quite troublesome. Have you tried to sell a car using this method? Did you encounter any difficulties with this? Write to us in the comments about your experience.
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And have you even found someone willing to buy it? But bad luck - he cannot pay the entire amount at once! What to do? Refuse? If you are selling your car at a price below the market price, then it is better to do so. There will be someone else who wants to buy. But if a person agrees to a price that is favorable to you, then you can think about it! After all, there is another option of installments, that is, payment in installments. In this article we will tell you how to properly sell a vehicle if the buyer cannot provide the full amount.
Selling a car this way can have many pitfalls.
How to sell a car in installments - options
There are several options for selling a car if the person who wants to buy it doesn’t have enough money.
- By receipt
The essence of the option: a receipt is issued indicating that the buyer transferred a certain amount of money to the seller to purchase the car. He undertakes to repay the remaining part within such and such terms (a debt repayment schedule is given). It is very desirable that the receipt indicates the responsibility of the person buying the vehicle in case of late repayment of the debt (for example, a penalty for each day of late payment). In exchange for a receipt, the owner of the vehicle issues a power of attorney to the buyer for the right to drive this vehicle (but without the right to sell) and gives him the registration certificate and car keys. By the way, now according to the law, a vehicle can be transferred without a power of attorney. After payment of the full amount, a purchase and sale agreement is drawn up and the registration certificate is reissued to the new owner.
Risks for the seller
The most important thing is that in case of theft or an accident it will be very difficult to obtain compensation. However, a receipt is not a contract. It has rather limited legal force. To level out this minus, it is necessary that the car be. In any case, if an unscrupulous buyer is caught, the vehicle owner will face long legal proceedings.
Buyer's risks
The seller can demand the return of his car at any time. After all, legally it belongs to him.
- According to the loan agreement
The essence of the option: A loan agreement is drawn up for an amount equivalent to the cost of the car (including the down payment). At the same time, a contract for the sale and purchase of a car and a pledge are drawn up (the second party immediately pledges the newly purchased car and if the loan is not repaid, it returns to the previous owner).
Risks for the seller
As shown Russian practice, it can be very difficult to collect the collateral due to non-repayment of the loan. In addition, since everything will be registered in the name of the buyer (including the registration certificate), he can simply hide or sell it.
Risks for the buyer
The former owner of the vehicle may demand early repayment of the loan from the current owner if the collateral is severely damaged in an accident or stolen (this is provided for by Russian legislation).
The essence of the option: an agreement for the purchase and sale of a car in installments is drawn up, that is, this document indicates the down payment, as well as a debt repayment schedule. It is also advisable, as in the first option, to indicate the buyer’s responsibility in case of failure to comply with the debt repayment schedule. Then a registration certificate is issued to the new owner of the car with the note “In installments” and he will not be able to sell the vehicle until he has fully paid the former owner and reissued the registration certificate.
Risks for the seller
If you refuse to repay the debt, you must get involved in a lengthy trial.
Risks for the buyer
What is the best way to register a car when buying in installments?
First, we will look at the above options from the seller's point of view. All three options involve litigation if the buying party violates its obligations. We know how long court cases can last in our country, and how much nerve-wracking it will cost. Therefore, when selling a vehicle in installments, approach this decision very responsibly. Collect as much information as possible about the person to whom you decide to sell your iron horse. And if he is from another city, then we would not recommend selling the car in this way at all, no matter how tempting this option may seem to you. But if you choose the lesser of three evils, we would still recommend choosing a receipt. For the simple reason that until the buyer fully pays the other party, he will not be able to register the vehicle in his name. And this is a significant incentive to fulfill your obligations.
From the buyer's point of view the best option- second. With it, he receives a technical passport without any notes and has the right to completely dispose of the car.
You should always be aware of additional paperwork costs
It should also be understood that this is additional expenses for paperwork. In the first option, this means notarization of the receipt plus possible costs for fixing debt payments. The second option involves notarization of loan and pledge agreements. And again, possible costs for fixing debt payments. In the third option - re-issuance of the registration certificate and the same fixation of payments.
So, in this article we have covered everything possible options how to sell a car in installments. Showed them weak spots. Which option to choose is up to you.
Please evaluate the accuracy and completeness of the agreement. I am also interested in the advisability of adding the details of a couple of witnesses present during the execution of the contract.AGREEMENT
purchase and sale of a car with installment paymentDate and place of signing
We refer to__ hereinafter as the Seller, acting__ on its own behalf, on the one hand, and _________________, hereinafter referred to as the Buyer, acting__ on its own behalf, on the other hand, have entered into this Agreement as follows.
1. THE SUBJECT OF THE AGREEMENT1.1. The Seller undertakes to transfer ownership to the Buyer, and the Buyer undertakes to accept and pay for the following vehicle (hereinafter referred to as the car):
Identification number (VIN) ____.Make, model of vehicle _________________.
Name (vehicle type) ____________.
Year of manufacture of the vehicle is ______________.
Model, engine N ______________.
Chassis (frame) N ___________________.
Body (cabin) color _____________.
Engine power, l. With. (kW)__.
Engine displacement, cubic meters cm _.
Engine's type ____________________.
Environmental class ______________.
Permitted maximum weight, kg ____________________________.
Weight without load, kg ___________.
Organization - vehicle manufacturer (country) ________________________.
Country of export ____________________.
Series, N TD, TPO _________________.
Customs restrictions ___________.
Vehicle passport (series, number, date of issue): _______________________.
Name of the organization that issued the passport ____________________.
Passport issue date _____________.
Government number ____________.
Mileage ___________________________.
Other _______.
(individual features: holograms, inscriptions, etc.)
1.2. The car is handed over fit for use, in good condition, along with all its accessories and all documents (technical passport and others).
1.3. The Parties carry out vehicle registration in accordance with clause 24 of the Rules for registration of motor vehicles and their trailers with the State Safety Inspectorate traffic Ministry of Internal Affairs Russian Federation(approved by Order of the Ministry of Internal Affairs of the Russian Federation dated November 24, 2008 N 1001 “On the procedure for registering vehicles”).
1.4. From the moment the car is handed over to the Buyer and until payment is made, the car is recognized as being pledged to the Seller to ensure the Buyer fulfills his obligation to pay for the car.
2. GUARANTEES, OBLIGATIONS OF THE PARTIES2.1. The seller guarantees:
- he is the legal owner of the car;
- taxes and obligatory payments related to the ownership of the car were paid by him before the transfer;
- the car is free from any rights of third parties and other encumbrances.2.2. Ownership of the car passes to the Buyer from the moment the car is transferred to him by the Seller, about which a corresponding Act is drawn up (Appendix to this Agreement).
2.3. The Parties undertake to maintain confidentiality with respect to all information received in connection with the implementation of this Agreement; they are prohibited from providing any persons in any manner with access to information and documents received by them in connection with the fulfillment of obligations under this Agreement, unless otherwise provided legislation of the Russian Federation.
3. PAYMENT PROCEDURE3.1. Car price: ______ (__________) rubles.
3.2. The buyer pays the price of the car (non-cash) in installments within _____________ from the date of execution of the Transfer Certificate.
3.3. Payment procedure (settlement procedure taking into account Article 489 of the Civil Code of the Russian Federation):
3.3.1. The Buyer pays the amount of __________ rubles by ________________.
3.3.2. The Buyer pays the amount of __________ rubles by ________________.
3.3.3. The Buyer pays the amount of __________ rubles by ________________.
3.4. In the event that the Buyer, who received the car, does not fulfill the obligation to pay for it within the period established by the Agreement, the Seller has the right to demand payment or return of the car.
3.5. In the event that the Buyer does not fulfill the obligation to pay for the transferred car within the period established by the Agreement, interest is payable on the overdue amount in accordance with Article 395 of the Civil Code of the Russian Federation from the day when the car should have been paid for under the contract until the day the Buyer pays for the car.
(The contract may provide for the Buyer’s obligation to pay interest in an amount corresponding to the price of the car, starting from the day the car is transferred by the Seller.)3.6. When the Buyer does not make the next payment within the period established by the Agreement for a car sold in installments and transferred to him, the Seller has the right to refuse to fulfill the Agreement and demand the return of the sold car (except for cases where the amount of payments received from the Buyer exceeds half the price of the car.)
3.7. The buyer undertakes at his own expense and at his own discretion, but no later than ____ days from the date of receipt of the car in in the prescribed manner register it (change registration data).
4. RESPONSIBILITY OF THE PARTIES4.1. The parties bear responsibility in accordance with this Agreement and the legislation of the Russian Federation.
4.2. For late payment in accordance with this Agreement, the Buyer shall pay the Seller a penalty in the amount of ____% of the amount of the unpaid payment for each day of delay.
4.3. If a Party violates its obligations under this Agreement, the other Party has the right to demand early termination of this Agreement.
4.4. The Party that violated its obligations shall compensate the injured Party for the losses caused thereby.
4.5. The Party is released from liability for partial or complete failure to fulfill obligations under this Agreement and damages caused if its actions or inaction were caused by force majeure or other circumstances, the occurrence of which it could not foresee, prevent or overcome (earthquakes, floods, other natural disasters ), including military actions, local conflicts, states of emergency, and other extreme situations.
5. DURATION OF THE AGREEMENT5.1. The Agreement comes into force from the moment it is signed and is valid until the Parties fully fulfill their obligations.
5.2. This Agreement may be terminated early in the following cases:
- by agreement of the Parties;
- at the initiative of one of the Parties - in case of violation of contractual obligations by the other Party;
- in other cases provided for by the legislation of the Russian Federation.
6. DISPUTE RESOLUTION6.1. All disputes and disagreements in connection with the implementation of this Agreement are resolved through negotiations between the Parties. If no agreement is reached during the negotiations, the dispute is subject to consideration in a court of general jurisdiction at the location of the Seller.
7. FINAL PROVISIONS7.1. Changes and additions to this Agreement are made in writing and are issued additional agreements signed by the Parties.
7.2. This Agreement is drawn up in two copies having equal legal force, one for each Party.
8. ADDRESSES AND PAYMENT DETAILS OF THE PARTIES
Today I will tell you how to sell a car in installments, what risks there are and whether it is worth getting involved with it at all.
There is an opinion among motorists that private installment payments for a car are prohibitively risky and cannot be arranged with conditions without damage to the seller. It is a myth. If everything is done correctly, then this method of selling a car is quite acceptable, safe and even profitable.
But if you neglect caution and carry out the sale “on your knees”, with superficial knowledge about the peculiarities of such transactions, then you can be left not only without a car, but also without money for it, with no chance of compensation.
It is common knowledge that many legal entities(banks, various LLCs, etc.) willingly agree to installment payments for purchased items, including cars. But there are situations when a private seller is forced to provide installment plans for a used car.
This is primarily due to an oversupply in the secondary car market. And when the owner comes across a buyer who agrees to his price, but offers to make payments in installments, many agree, because otherwise they will have to either reduce the price or wait for sales indefinitely.
However, auto purchase and sale transactions with installment payments do have an increased risk. After all, a car is still not a house, and for movable property the guarantee of its safety during the installment plan period is much lower. And cases of non-payments, including non-refundable ones, also cannot be discounted.
Therefore, such transactions should be considered mainly as additional sales options, unless a person is purposefully engaged in such sales to earn money on auto installment interest, which is a very dubious business for a private individual.
Important! If you, and especially the buyer, have the opportunity to conduct a transaction without installment payment, then this is exactly what you should do, even if you are persistently asked to the contrary.
If the buyer really does not have the opportunity to pay the entire amount at once, then an installment plan is quite suitable, but only if it is formalized and the buyer’s documents are in order.
By the way, if there are any doubts about the buyer’s solvency or honesty, it is better to look for another option because the problems of non-payment in this case, although they can be solved, will be very troublesome for you.
What else should you know beforehand? The fact that such transactions are the same as ordinary ones, if the case itself is subject to taxation.
Three design methods
There are three ways to purchase a car in installments, not counting additional options its sales, which I will discuss in the third section.
So, here’s how in this case you can arrange an installment plan between individuals:
- According to the purchase and sale agreement;
- According to the loan agreement;
- According to the receipt.
According to the purchase and sale agreement
It is direct, legal and completely safe method for both the seller and the buyer. Its basis is a purchase and sale agreement (SPA), called “Agreement for the purchase and sale of a car with installment payment (between individuals).”
At the same time, the car must have a full set of necessary documents, and if it is registered to another person, then intermediaries are unlikely to want to get involved with such a car and under a similar scheme.
Problems with payments
Even with ordinary transactions, there are problematic cases with payment up to , what can we say about more risky sales schemes?
This risk must be taken for granted, no one is insured against it, and even you yourself, if you were in the place of the buyer on an installment plan, would hardly be able, hand on heart, to guarantee that nothing would happen and you would pay the entire amount with a probability of 100%.
If you are not reimbursed for your loan or are not paid in installments according to the policy or receipt, then these may be the following common reasons:
- The buyer has banal financial difficulties– here it is better not to bring the matter to court and solve everything humanely. Fortunately, you are not a bank and can freely change the rules and payment schedule at your discretion until the situation normalizes;
- The car got into an accident, was completely destroyed, and the buyer changed his mind about continuing to pay for scrap metal - here a claim should definitely be filed, since the buyer decided not to pay and will insist on it. This situation can be perfectly solved with the help of a CASCO policy issued in advance;
- The car was resold, if you made such loopholes in the documentation - here, most likely, there may be problems in court regarding the timing of consideration, but the matter itself can also be resolved with the help of lawyers and bailiffs (Article 309 of the Civil Code of the Russian Federation);
- During operation, serious hidden defects, and the buyer insists on reconsidering the terms - a transfer and acceptance certificate will help here, and if there is none, then a detailed independent examination;
- The buyer went missing along with the car - you need to put the car on the wanted list, contact the owner and find out the reasons for the damage. If a professional fraudster purchased a car from you, then traces of it (as well as the car) will be very difficult to find.
In general, in this case, the severity of almost all problems is proportional to the detail and foresight of the installment terms specified in the documentation. Therefore, it makes sense to hire a specialized lawyer who has experience in such matters to prepare the paperwork.
- It would be very prudent on your part if, before applying for an installment plan, you take a little time and find out as much detailed information as possible about your future car borrower, especially about road accidents with his participation, cases of loan defaults and lawsuits.
- It is better not to underestimate the cost of the car in the installment documentation because this, in the event of force majeure or payment refusals, will work against you - you will have the right to recover only what is stated in the documents.
- The amounts of fines for late payments are usually set at 1-2% of the balance of the payment amount for any period (day, week, etc.).
Conclusion
As you can see, it is quite possible to conclude transactions on the basis of installment payments between individuals and it is not so difficult, although more troublesome, of course.
Have you sold cars this way? Did you encounter any difficulties? If yes, then tell me which ones and how you solved them. If you describe your experience, that will also be useful. I am waiting.
Let's take a break. Watch the video “Top 5 Most Talented People in the World”", there is something to see there.
True, top 5 is a strong word, but the magician number 3 (in the third minute) generally works wonders. I couldn’t understand how he does all this: the only explanation is that the jury participates in magic tricks.
But number one also went to a magician, but all his tricks, although spectacular, are understandable and obvious tricks. The third number creates real magic!
Probably the first number made a fuss and handed over a bribe for his place, in general, look and judge for yourself:
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On October 15, 2013, Order No. 605 of the Ministry of Internal Affairs of Russia dated August 7, 2013 approved a new administrative regulation, according to which before selling a car it is not necessary to deregister it, and also to obtain Transit registration plates. The buyer of a car can re-register the vehicle without the seller (all documents must be prepared properly).
The only exception when the seller will have to contact the traffic police is if the seller wants to transfer license plates from the car being sold to another car.
The purchase and sale agreement does not need to be certified by a notary.
Additional samples of car purchase and sale documents
Most people formalize the car sale transaction as a transfer of ownership under a general power of attorney. However, if you want to arrange everything as expected and become the full owner of your car, it is worth concluding a purchase and sale transaction. The purchase and sale of a car in installments is regulated.
Features of drawing up a contract
What you need to pay attention to
Before buying a car, you need to pay attention not only to its technical characteristics, but also to other points related to registration of ownership of it, namely:
- Debts, or rather the lack thereof. All taxes must be paid in full or you will become an assignee.
- The seller's ownership of the car you are buying. Ask the seller for a technical inspection certificate and a technical passport of the car, as well as a general power of attorney or a purchase and sale agreement, on the basis of which the car belongs to the seller. Study them carefully; the information in them must correspond to the characteristics of the car being sold.
In addition, the seller receives the right to demand full repayment of the debt -. If the parties do not come to a mutual agreement, then the case of violation of contractual obligations is considered by the court. Moreover, if the terms of the concluded agreement in any way contradict the current legislation, then the norm of the law, not the agreement, is applied.
The agreement comes into force from the moment of its signing -. If the terms of the contract do not provide for the conclusion of a transfer and acceptance certificate for the car, then it is transferred immediately after signing the contract.
From the moment the buyer receives his car, the risk of accidental loss or damage to property passes to him.
Completed sample document
Car purchase and sale agreement with installment payment
(between individuals)
Citizen(s) of the Russian Federation (by whom, when) (full address), hereinafter referred to as the "Seller", on the one hand,
and citizen of the Russian Federation (Full name) (day, month, year of birth), (place of birth), passport series ______ N ________, issued (by whom, when), living at the address: (full address), hereinafter referred to as the “Buyer”, and together referred to as the “Parties”, have entered into an agreement as follows:
1. The Subject of the Agreement
1.1. Under this agreement, the Seller undertakes to transfer ownership to the Buyer, and the Buyer undertakes to accept and pay for the car.
1.2. Specifications vehicle:
brand, model ________
registration number ________
identification number (VIN) ________
year of issue ________
engine number ________
chassis number ________
body number ________
color ________.
1.3. The car alienated under this agreement belongs to the Seller by right of ownership, which is confirmed by a vehicle registration certificate of series ______ N ________, issued by the State Traffic Safety Inspectorate ________, a vehicle passport of series ______ N ________.
2. Contract price and payment procedure
2.1. The parties valued the car at ________ (________) rubles.
2.2. Payment for the car is made in installments.
2.3. The Buyer undertakes to make the payment indicated in the price of the car by transferring money to the Seller within the following terms:
- in the amount (in figures and words) of rubles until “___” ________ 20__;
- in the amount (in figures and words) of rubles until “___” ________ 20__.
2.4. The buyer has the right to fulfill payment obligations ahead of schedule.
3. Responsibility of the parties
3.1. If the car is seized from the Buyer by third parties on grounds that arose before the execution of this agreement, the Seller is obliged to compensate the Buyer for losses incurred by it.
3.2. The Seller is responsible for defects in the goods that arose before its transfer to the Buyer or for reasons that arose before that moment.
3.3. In case of delay in the next payment under the contract, the Buyer pays the Seller a penalty in the amount of _____% of the payment amount for each day of delay.
4. Final provisions
4.1. The Seller undertakes to put his signature on the PTS in the section “Signature of the previous owner” and transfer it to the Buyer on the day of signing this agreement. The seller also undertakes to transfer to the Buyer other Required documents(vehicle registration certificate, ________).
4.2. The seller undertakes to hand over the car on the day of signing this agreement. Upon transfer of the vehicle, a transfer and acceptance certificate is drawn up.
4.3. The risk of accidental loss or accidental damage to the car passes to the Buyer from the moment it is transferred by the Seller to the Buyer.
4.4. Before the conclusion of this agreement, the car being sold has not been sold, has not been pledged, is not in dispute and is not under arrest.
4.5. This agreement has been drawn up in three copies having equal legal force, one for the Seller, one for the Buyer and one for submission to the State Traffic Inspectorate when registering the car by the Buyer.