How do you sell a car on behalf of someone else?

By Lawrence Minnie

Selling a car on behalf of someone else adds a layer of complexity to an already complicated sales process. We take a detailed look at what the Road Traffic Act has to say on the matter.

A triangle shaped headache

For whatever reason, you may find yourself the third wheel in a transaction, where there are a few things you should know.

In order for any transaction to take place you will need a Letter of Authority (LOA). This is a declaration made by the vehicle’s owner, declaring you to be operating as their proxy. This may need to be accompanied by an affidavit from the police station, and you will also more than likely need certified copies of all parties’ ID documents.

If the vehicle owner is deceased, you will need a copy of the death certificate, and a LOA from the estate, declaring you the beneficiary or executor of the estate.

By now your folder should be getting pretty full of paperwork, but there is still more that you will need.

Next up, you will need to have a finance settlement letter from the relevant finance house, declaring that the estate has settled the vehicle finance, or that the vehicle in question is no longer under a finance agreement. This document is usually accompanied by the original registration papers that were held by the financial institution.

You will also more than likely need a road worthy certificate for the vehicle, and lastly the traffic department’s RLV forms in blue and yellow.

Even with this mountain of paperwork, you may find yourself running into roadblocks, as some entities may require even more documentation to which you may not have access.

Third Party sales are generally something to be avoided as much as possible, but when they are unavoidable, such as in the case of a death and inheritance, be prepared for a long struggle if even one piece of documentation is out of place.