Selling your car yourself to a direct buyer guarantees you the most financial returns but it takes time and comes with a little paperwork hassle. And When selling to a direct buyer, you'll need to advertise on a tested and proven advertisement platform like sgCarMart.com.
But sgCarMart.com isn't just a proven advertisement platform. It's also one that helps sellers and buyers with essential documents. Here are some steps, and what documents to have, that you should take note of.
The seller should always have the potential buyer sign an indemnity form before heading out on a test drive
Step 1. Indemnity Form for Test Drive
Before going for the test drive, the seller will need to get the indemnity form signed by the interested party who wishes to test drive the car.
This form indemnifies the seller from any liabilities should there be damage to the vehicle, as well as death or personal injury that is sustained by the buyer during the test drive.
Step 2. Signing the Sales Agreement Form
Once the price has been agreed upon, both the buyer and seller will proceed to endorse the sales agreement form. The buyer will have to place a deposit to confirm the purchase.
Step 3. Issuance of Receipt
After the deposit has been placed, the seller should issue a receipt for the deposit collected. This receipt serves as a confirmation for the receipt of the deposit given by the buyer to the seller.
A receipt prevents potential disagreements by serving as a confirmation of the deposit given by the buyer
Step 4. Source for Loan Facilities & Insurance
Unless the buyer is paying cash in-full for the car, he/she will need to source for any loan facilities on his own accord. Once approval for loan has been given, the buyer can then notify the seller. The seller can then demand to see the documents as proof of the approval for the loan.
The buyer is expected to source for and activate a motor insurance under his name, which is necessary in order to do the transfer of ownership of the vehicle at a later stage.
Step 5. Full Settlement of Existing Loan
If the vehicle is still under financing, the seller is to check on the outstanding loan amount and to make the necessary payment to the finance company before the ownership of the vehicle can be transferred to the buyer.
Upon full settlement of the existing loan, the ownership of the vehicle is now ready to be transferred.
Step 6. Transfer of Ownership
To transfer the ownership of a vehicle, both seller and buyer will need to log in to One.Motoring using their SingPass or CorpPass with 2FA Authentication.
But sgCarMart.com isn't just a proven advertisement platform. It's also one that helps sellers and buyers with essential documents. Here are some steps, and what documents to have, that you should take note of.
Step 1. Indemnity Form for Test Drive
Before going for the test drive, the seller will need to get the indemnity form signed by the interested party who wishes to test drive the car.
This form indemnifies the seller from any liabilities should there be damage to the vehicle, as well as death or personal injury that is sustained by the buyer during the test drive.
Step 2. Signing the Sales Agreement Form
Once the price has been agreed upon, both the buyer and seller will proceed to endorse the sales agreement form. The buyer will have to place a deposit to confirm the purchase.
Step 3. Issuance of Receipt
After the deposit has been placed, the seller should issue a receipt for the deposit collected. This receipt serves as a confirmation for the receipt of the deposit given by the buyer to the seller.
Step 4. Source for Loan Facilities & Insurance
Unless the buyer is paying cash in-full for the car, he/she will need to source for any loan facilities on his own accord. Once approval for loan has been given, the buyer can then notify the seller. The seller can then demand to see the documents as proof of the approval for the loan.
The buyer is expected to source for and activate a motor insurance under his name, which is necessary in order to do the transfer of ownership of the vehicle at a later stage.
Step 5. Full Settlement of Existing Loan
If the vehicle is still under financing, the seller is to check on the outstanding loan amount and to make the necessary payment to the finance company before the ownership of the vehicle can be transferred to the buyer.
Upon full settlement of the existing loan, the ownership of the vehicle is now ready to be transferred.
Step 6. Transfer of Ownership
To transfer the ownership of a vehicle, both seller and buyer will need to log in to One.Motoring using their SingPass or CorpPass with 2FA Authentication.
The seller is to initiate a transfer of ownership request via One.Motoring.
After which the buyer will have to accept the request via One.Motoring within five days (a transfer fee levied by LTA will be applicable).
Upon acceptance by the buyer, the ownership of the vehicle will be transferred to the new owner.
To transfer the ownership of a vehicle both seller and buyer will need to log in to One.Motoring using their SingPass or CorpPass with 2FA Authentication
Step 7. Balance Payment to Seller
If the buyer does not take a loan to pay the outstanding balance of the vehicle, he will have to make payment to the seller in the form of cash or cashier’s order. The seller should issue a receipt upon collection of payment to serve as a confirmation for the receipt of the balance payment.
If the buyer is taking a loan, he can complete the transaction with the help of sgCarMart Connect to ensure a hassle-free process.
Step 8. Signing the Hand-Over Form
Once the ownership transfer has been done, the vehicle is now ready to be handed over to the buyer.
This hand-over form specifies the official hand-over of the vehicle. The buyer now bears the responsibility for any fines, summons or any claims relating to the vehicle from the date and time of hand-over.
sgCarMart Connect provides free settlement for loans, insurance and paperwork for both buyer and seller
Note : Steps 6 through 8 should be concluded within the same day.
To save yourself the hassle, sgCarMart Connect can facilitate this tedious process and ensure you have a smooth transaction.
sgCarMart Connect can help the buyer of your car apply for a loan, settle your outstanding loan, if any, apply for an insurance refund, draft legal documentation, and do the LTA ownership transfer for both parties. And this service is free for all cars advertised on sgCarMart.
sgCarMart Connect can be contacted at 6744 3540 or through Whatsapp at 8686 3540.
We provide transactional services for direct buyer and seller deals. All paperwork done by us so you don't have to! FREE for all cars listed on sgCarMart.
*This article was updated on 26 November 2018.
After which the buyer will have to accept the request via One.Motoring within five days (a transfer fee levied by LTA will be applicable).
Upon acceptance by the buyer, the ownership of the vehicle will be transferred to the new owner.
Step 7. Balance Payment to Seller
If the buyer does not take a loan to pay the outstanding balance of the vehicle, he will have to make payment to the seller in the form of cash or cashier’s order. The seller should issue a receipt upon collection of payment to serve as a confirmation for the receipt of the balance payment.
If the buyer is taking a loan, he can complete the transaction with the help of sgCarMart Connect to ensure a hassle-free process.
Step 8. Signing the Hand-Over Form
Once the ownership transfer has been done, the vehicle is now ready to be handed over to the buyer.
This hand-over form specifies the official hand-over of the vehicle. The buyer now bears the responsibility for any fines, summons or any claims relating to the vehicle from the date and time of hand-over.
Note : Steps 6 through 8 should be concluded within the same day.
To save yourself the hassle, sgCarMart Connect can facilitate this tedious process and ensure you have a smooth transaction.
sgCarMart Connect can help the buyer of your car apply for a loan, settle your outstanding loan, if any, apply for an insurance refund, draft legal documentation, and do the LTA ownership transfer for both parties. And this service is free for all cars advertised on sgCarMart.
sgCarMart Connect can be contacted at 6744 3540 or through Whatsapp at 8686 3540.
We provide transactional services for direct buyer and seller deals. All paperwork done by us so you don't have to! FREE for all cars listed on sgCarMart.
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- Get your car listed until it is sold!
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*This article was updated on 26 November 2018.
