Sunday, November 18, 2007

Ownership Transfer and Fees

In addition to our cover story focusing on secondhand cars, here’s a list of documents required in order to facilitate the ownership transfer. If you’re thinking of selling or buying, pay attention! These lists could save you a whole lot of running around.

Under Section 13(1) Road Transport Act 1987, transfer of ownership must be submitted to the respective state’s RTD Director within 7 days from the date of transaction. Failing which, the seller and buyer will be subjected to a fine of not more than RM1,000 or not more than 3 months imprisonment for the first offence. For consecutive offences, both will be subjected to a fine of not more than RM2,000 or not more than 6 months imprisonment, or both.

When selling a vehicle, the seller, as the registered owner of the vehicle, must inform the respective state’s RTD Director by completing Part A of JPJK3 Form. The JPJK3 Form should then be handed over to the buyer together with the following documents:

  • Completed JPJK3 Form
  • Original Vehicle Registration Card
  • Photocopy of National Identity Card for Malaysians or International Passport for non-Malaysias.
  • Release Letter of Ownership Claim(if financed by financial institution)

The documents required from the Buyer are:

  • Completed JPJK3 Form
  • Original Vehicle Registration Card
  • Photocopy of National Identity Card for Malaysians or International Passport for non-Malaysias.
  • Letter of Ownership Claim by the Financial Institution (if any)

The Seller must ensure that the ownership transfer is registered with the RTD by the buyer within 7 days from the date of transaction. Failure to do may subject you to the following offences.

  • You may be prosecuted under Section 13(1) Road Transport Act 1987.
  • You will still be responsible for any offences involving the vehicle, even though it is no longer under your ownership.

Ownership Transfer for Private Vehicle
The required documents for the transfer of ownership for private vehicles are as follows:

  • Completed JPJK3 Form signed by the old and new owner.
  • Photocopy of National Identity Card or International Passport of both parties.
  • Letter of Indemnity.
  • Original Car Registration Card.
  • Letter of Release of ownership claim by financial institution on the previous owner (if any).
  • Letter of ownership claim by the financial institution on the new owner (if any).
  • Insurance Policy/Cover Note issued on the new owner's name.
  • Ownership transfer fee as well as payment for road tax.

Ownership Transfer for Commercial Vehicle
For the transfer of Commercial Vehicles, the seller is required to surrender the following documents for cancellation:

  • Permits and letter issued by the Commercial Vehicle Licensing Board (LPKP).
  • Road Tax.
  • Special plates (for taxi or hired cars).

The seller is required to submit the following documents:

  • Approval Letter from the Commercial Vehicle Licensing Board (LPKP).
  • All necessary signage on the vehicle.
  • Inspection of the vehicle.


TRANSFER FEES

Peninsular Malaysia
The fees incurred for transfer of ownership are as follows:
  • RM100 for all vehicles (except vehicles for the disabled, motorcycles, 3-wheeled motorcycles, mobile equipments, tractors and commercial vehicles); and an additional RM50 for new ownership claim (if any).
  • RM3 for motorcycles and 3-wheeled motorcycles; and an additional RM20 for new ownership claim (if any).
  • RM40 for mobile equipments, tractors and commercial vehicles; and an addition RM50 for new ownership claim (if any).
  • Vehicles for handicap – None.
  • Pedestrian controlled vehicles – None


Sabah
  • All vehicles (except vehicles for the disabled, motorcycles, and trailers) – RM60.
  • Motorcycles – RM40.
  • Vehicles for the handicap – None.
  • Trailers – RM20.


Sarawak
  • All vehicles (except vehicles for the disabled, motorcycles, and trailers) – RM50.
  • Motorcycles – RM5.
  • Vehicles for the handicap – None.
  • Trailers » 2 wheels – RM10.
    » more than 2 wheels – RM20.
    » Pedestrian controlled vehicles – None

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