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The New Electronic Registration Rule for Used Cars in SP, Effective October, Aims to Combat Fraud and Streamline 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 that all used cars traded in the state be registered only by inspection companies accredited by the State Department of Transit (Detran-SP). This change aims primarily to combat frauds, such as the verification of cloned vehicles, which are those that use documentation from other vehicles, usually related to stolen or irregular cars.
What Changes with the New Rule for Used Cars?
The new regulation stipulates that, to register the purchase or sale of a used car, the process must be carried out by companies registered in the Credencia System.
These companies must be accredited by Detran-SP, ensuring that all vehicle transactions are verified by authorized institutions.
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In addition, these companies will have 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 Also Affected
Although the new rule focuses on used cars, it is important to highlight that new vehicles will also undergo the same registration system, known as the National Vehicle Stock Registration (Renave).
For new cars, registration will occur when the buyer takes the vehicle from the dealership.
At this stage, electronic documents will be required, such as the Invoice and the Authorization for the Transfer of Vehicle Ownership in digital form.
One of the advantages of this new process is that it eliminates the need for notarization, as well as dispensing with the presentation of physical certificates, such as printed invoices or vehicle identification number (VIN) decalcations. This should make life easier for consumers and make the process faster.
A National Measure for Used Cars
The new requirement in São Paulo is part of a broader regulation that has been in effect at the national level since March 2022.
Resolution No. 941 of the National Transit Council (Contran) establishes guidelines for the National Vehicle Stock Registration.
Regulatory Ordinance Detran-SP No. 32, which introduces the measure in the state, was published in the Official Gazette on August 12, 2024.
With this, São Paulo aligns with federal standards, creating a uniform standard for the registration of used cars throughout the country.
The Renave, created by the National Department of Transit (Denatran) in 2021, aims to replace the physical purchase and sale records of vehicles.
The system allows dealerships and resellers to electronically register inventories and vehicle 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 speed in the transfer of ownership.
With electronic registration, consumers will be able to receive the final documentation of the vehicle within hours after closing the deal.
This eliminates long waits and the traditional bureaucracy associated with buying and selling used vehicles.
Additionally, security in transactions will be enhanced. With validation done by accredited companies, consumers can have more confidence that they are purchasing vehicles in legal and correct conditions.
This change can help avoid future problems related to purchasing cars that do not have a clear history or that are involved in illegal activities.
The requirement for registration by accredited inspection companies aims to strengthen security in transactions, as well as bring agility and modernity to the process.
This measure aligns with a larger effort to combat fraud and protect consumers, reflecting an evolution in the automotive market.
For those looking to buy or sell a used car, it is essential to familiarize yourself with the new rules and seek information from accredited companies. This way, consumers can carry out safer and more effective transactions, taking advantage of all the benefits that electronic registration offers.
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