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ATTENTION, used car owners! New electronic registration to prevent fraud when buying and selling used models arrives in São Paulo in October!

Written by Ruth Rodrigues
Published 23/09/2024 às 10:02
The new electronic registration rule for used cars in SP, which comes into effect in October, aims to combat fraud and speed up transactions.
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The new electronic registration rule for used cars in SP, which comes into effect in October, aims to combat fraud and speed up transactions.

Starting October 1, 2024, the State of São Paulo will implement a new rule for the purchase and sale of used vehicles. The measure requires all Used Cars traded in the state are registered only by inspection companies accredited by the State Department of Traffic (Detran-SP). This change has the main objective of combating fraud, such as the validation of cloned vehicles, which are those that use documentation from other vehicles, generally related to stolen or irregular cars.

What changes with the new rule for used cars?

The new regulation determines that, in order to register the purchase or sale of a car used, the process must be carried out by companies that are registered in the Credencia System.

These companies must be accredited by Detran-SP, ensuring that all vehicle transactions are verified by authorized institutions.

Furthermore, these companies will have a period of up to 120 days to validate the vehicle identification inspection report, which is an essential part of the registration.

This change in registration is a clear attempt to increase security in used vehicle transactions.

By limiting registration to accredited companies, the government hopes to minimize the chances of fraud and protect both consumers and the automotive market.

New car registration is also affected

Although the new rule focuses on carros used, it is important to highlight that new vehicles will also go through the same registration system, known as the National Registry of Vehicles in Stock (Renave).

For new cars, registration will occur when the buyer picks up the vehicle from the dealership.

At this stage, electronic documents will be required, such as the departure invoice and the Authorization for Transfer of Vehicle Ownership in digital format.

One of the advantages of this new process is that it eliminates the need for notarization of signatures and eliminates the need to present physical certificates, such as printed invoices or Vehicle Identification Number (VIN) decals. This should make life easier for consumers and streamline the process.

A national measure for used cars

The new requirement in São Paulo is part of a larger regulation that has been in effect nationwide since March 2022.

Resolution No. 941 of the National Traffic Council (Contran) establishes guidelines for the National Registry of Vehicles in Stock.

Detran-SP Normative Ordinance No. 32, which introduces the measure in the state, was published in the Official Gazette on August 12, 2024.

With this, São Paulo aligns itself with federal regulations, creating a standard for the registration of Used Cars all over the country.

Renave, created by the National Department of Transit (Denatran) in 2021, aims to replace vehicle purchase and sale records that were made physically.

The system allows stores and dealerships to electronically record vehicle stocks and transfers, offering more effective control over these operations.

Advantages for consumers

For consumers, the new measure brings several advantages. One of the main benefits is the agility in transferring property.

With electronic registration, consumers will be able to receive final vehicle documentation within hours of closing the deal.

This eliminates long waits and traditional bureaucracy associated with buying and selling used vehicles.

Furthermore, transaction security will be increased. With validation carried out by accredited companies, consumers can be more confident that they are purchasing vehicles under legal and correct conditions.

This change could help avoid future problems related to purchasing cars that do not have a clear history or that have been involved in illicit activities.

The requirement for registration by accredited inspection companies aims to strengthen security in transactions, in addition to bringing agility and modernity to the process.

This measure is in line with a greater effort to combat fraud and protect consumers, reflecting an evolution in the automotive market.

For those who wish to buy or sell a used car, it is essential to familiarize themselves with the new rules and seek information from accredited companies. This will allow consumers to carry out safer and more efficient transactions, taking advantage of all the advantages that electronic registration offers.

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Ruth Rodrigues

Graduated in Biological Sciences from the State University of Rio Grande do Norte (UERN), she works as a writer and scientific disseminator.

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