Selling your car can be an exciting step, especially when you’re looking to buy a car that’s a perfect fit for your next adventure. But before you hand over the keys and wave goodbye, it’s crucial to navigate the change of ownership process carefully. Skipping essential steps or making common mistakes can lead to serious headaches, from unpaid fines to legal liabilities.
At Weelee, we believe in empowering you with knowledge. We’ve compiled this guide to help you avoid the most common pitfalls when transferring car ownership in South Africa.
1. Neglecting the notification of change of ownership (NCO) form
This is the biggest and most common trap. As the seller, you are responsible for submitting the NCO form (also known as the “yellow form”) to your local registering authority within 21 days of the sale. Many sellers mistakenly hand this form to the buyer, assuming they’ll handle it.
Why it’s a trap: If the NCO isn’t filed correctly, the vehicle remains legally registered in your name. This means any speeding fines, traffic violations, or even accidents incurred by the new owner could come back to haunt you.
Avoid it: Always, always, always submit the NCO form yourself. Get a confirmation receipt as proof. Peace of mind is priceless!
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2. Skipping the roadworthy certificate
While not always legally mandatory for the sale, a valid Roadworthy Certificate is essential for the new owner to register the vehicle in their name.
Why it’s a trap: If you sell without an RWC, the buyer will likely expect you to cover the costs and hassle of obtaining one, or they might even pull out of the deal. It can also lead to delays and complications for them, eroding trust.
Avoid it: Get your RWC in order before you put your car on the market. It demonstrates transparency and ensures a smoother transfer for the buyer.
3. Not settling outstanding fines
Any outstanding traffic fines linked to the vehicle must be paid before the change of ownership can be finalised.
Why it’s a trap: Unpaid fines can delay or completely halt the transfer process, leading to frustration for both parties and potentially impacting your ability to sell.
Avoid it: Before listing your car, check for any outstanding fines on platforms like PayCity or directly with your local licensing office. Clear them all to ensure a clean slate.
4. Overlooking a formal sale agreement
While a written sale agreement might seem like extra paperwork for a private sale, it is your best friend.
Why it’s a trap: Verbal agreements are hard to prove. Without a written contract, disputes about the car’s condition, agreed-upon price, or accessories can become messy and complicated to resolve.
Avoid it: Draft a comprehensive sale agreement that includes all details: vehicle specifics, selling price, date of sale, and the responsibilities of both buyer and seller. This protects both parties.
5. Incomplete or incorrect documentation
From certified ID copies to proof of address, it is vital to ensure that all required documents are in order and correctly completed.
Why it’s a trap: Missing or incorrect paperwork is guaranteed to cause delays and multiple trips to the licensing department, frustrating everyone involved.
To avoid it, create a checklist of all necessary documents for both seller and buyer (IDs, proof of address, vehicle registration certificate, NCO, RLV, etc.). Double-check everything before meeting the buyer.
Selling your car doesn’t have to be a stressful ordeal. Proactively avoiding these common change-of-ownership traps ensures a smooth, legal, and hassle-free transaction.
Ready to sell your car the smart way? At Weelee, we handle all the tricky bits for you, from getting the best offer to assisting with the paperwork for a seamless change of ownership. Experience the convenience and peace of mind when you sell your car with us.
