Selling a scrap car in the UAE is a very simple procedure, but possession of the required documents is essential to make the transaction smooth. Scrap car buyers will always require the official paperwork to prove ownership and to ensure legal compliance for old, damaged, or in some instances, irreparable cars.
In this guide, we will explain the basic documents necessary for the sale of your scrap car and how to prepare for a hassle-free one.
Why Do You Need Documents to Sell a Scrap Car?
Scrap car buyers and recycling companies in the United Arab Emirates are under strict regulations aimed at avoiding fraud illegal sales of vehicles and violation of environmental safety norms. Providing these documents proves that you're the legitimate owner of the car and entitled to sell it for scrap.
It also assists in the legal de-registration of the vehicle from the Roads and Transport Authority (RTA) system so that liabilities do not fall upon you later.
Important Documents Required to Sell a Scrap Car
1. Original Car Registration Card (Mulkiya)
It is the official vehicle registration card issued by the RTA in Dubai or other transport authorities all over the UAE. This document certifies the legal registration and ownership details of the vehicle.
It should be handed over to the scrap buyer if the registration is valid. However, if the registration has expired, you can sell the car, but it is better to check for any outstanding fines or penalties with the RTA. If you lost the original Mulkiya, you can request a duplicate from the RTA before selling your scrap car.
2. Emirates ID and Passport Copy
To verify identity, scrap buyers will require an Emirates ID and passport copy before entering to ensure that everything is done legally and within the walls of a secure transaction.
If a car is registered under a Company, a copy of the trade license would also likely be required along with an authorization letter from the Company. Non-residents who want to sell a car must submit a copy of their passport along with the page of the visa.
3. Car Deregistration Certificate
Before a car is scrapped, it is a legal requirement that it is first deregistered with the RTA. This process ensures that the car is deleted from the system and cannot be used on the road.
How to deregister your car:
- Attend an RTA customer service center or service provider.
- Hand over your Mulkiya (registration card) and request for vehicle deregistration.
- Pay any fines if needed.
You will receive the deregistration certificate, which must be handed over to the scrap buyer.
In case it has already been declared unfit for road use, the deregistration can be done at the scrap yards or through authorized RTA agents.
4. Vehicle Selling Agreement or Sale Invoice
Most reputable junk car buyers in the UAE will present a sale agreement or invoice to memorialize the transaction. That way, the seller has proof of sale that will protect him from any future claims or disputes.
Make sure the agreement includes:
- Buyer and seller particulars (name, ID number, and contact details).
- Particulars of the vehicle (make, model, year, VIN, and plate number).
- Payment confirmation (the amount agreed upon and the payment means).
5. Cancellation Proof for Car Insurance (Optional but Useful)
It's good practice to cancel your insurance before selling a scrap car, although it is not strictly required. The remaining coverage on your policy could mean that you are entitled to a refund from your insurance company.
So here's how to cancel your insurance:
- Get in touch with your company for cancellation.
- Submit the deregistration certificate as evidence.
- Request for a refund for the unused period (if possible).
- It prevents further unnecessary costs and keeps you free of any incidents after the sale of your car.
Other Supporting Documents That Could Be Required
1. Power of Attorney (If Selling on Behalf of Someone Else)
You need a POA that authorizes you to successfully sell this scrap car on behalf of a friend, family, or company if you are turning in a scrap car.
2. Police Clearance Certificate (If Car Was Stolen or Involved in an Accident)
Where a vehicle has been reported stolen or written off in a major accident, a police clearance certificate may be requested to validate its status before scrapping it.
3. Loan Clearance Letter (When the Car Had an Outstanding Loan)
In case the car was funded through a loan, not entirely paid off, it is necessary to get a loan clearance letter from the bank showing that the loan has been settled.
Step to Sell My Scrap Car in UAE
Step 1: Prepare All Required Documents
Make sure to have all the required documents to avoid delay before contacting any scrap car buyer.
Step 2: Obtain a Scrap Car Valuation
Contact more scrap yards or scrap car buyers in Abu Dhabi, Dubai, or any city in the United Arab Emirates to sell your car at the best price.
Step 3: Arrange for Car Pickup
All scrap car companies provide free towing of scrap vehicles, so you don't have to worry about transport.
Step 4: Close the Sale Agreement
Enter into a sale agreement and receive cash or bank transfer for the sold item from the buyer.
You will have to hand over the documents and deregister the car.
You will also have to give the required documents and ensure that the car is deregistered with the RTA for future liabilities to be avoided.
What is the Importance of a Scrap Car to an Authorized Recuperator?
An approved scrap buyer guarantees the following benefits:
- Legal compliance is good – Your car gets de-registered properly.
- Hassle-free process- All the paperwork is done by the buyer.
- Fair pricing- Competitive offers are made on scrap cars.
- Environment-friendly- Vehicles are recycled responsibly.
You are safeguarded from any legal risks, fraud, or hidden costs by selling at an authorized scrap dealer.
Conclusion
Selling your scrap car in the UAE is a straightforward process when you have all the required documents already lined up. Gather up your registration card (Mulkiya), Emirates ID, de-registration certificate, and sale agreement to look forward to a hassle-free transaction for selling your scrap car.
Always buy scrap from an RTA-approved scrapyard so that there are no problems and the price paid is justified. What are you waiting for? If you're looking to sell your scrap car without wasting your time, contact MyScrapCars today to get an instant quote and free car valuation service!
