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Is your car RC nearing expiry? Here’s what you can do 

Is your car RC nearing expiry? Here’s what you can do 

If your car registration certificate (RC) is nearing expiry, here’s how you can decide between selling and sending it to a scrap yard.

Business Today Bureau
  • Updated May 7, 2026 4:31 PM IST
Is your car RC nearing expiry? Here’s what you can do India, the world’s third-largest car market by volume, announced a scrappage policy for older vehicles in 2021.

Car owners in India don’t have the luxury of keeping a vehicle for years on end as state RTO (regional transport office) generally allows car registration for only 15 years. In some states such as Delhi, diesel vehicles are allowed for only 10 years. In contrast, cars can be used as long as they pass emission standards in the world’s biggest car markets such as China and the United States. 

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If your car registration certificate (RC) is nearing expiry, here’s what you can do: 

Renew RC or sell it 

You can renew your RC for five years if your car is in good condition and passes the fitness inspection. If the car runs well, one should opt renewing the RC or selling their vehicle before the RC expiry. However, if you are in Delhi, rules are much stricter. Even if the car is mechanically fine, renewal of petrol cars after 15 years and diesel cars after 10 years is not possible.

The way out is transferring your car out of Delhi before RC expiry. For this, you need to apply for a NOC (no-objection certificate) from Delhi RTO and then move your vehicle to another non-NCR state. One can get the car’s fitness inspection done and then re-register in that state. 

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Scrap it 

India, the world’s third-largest car market by volume, announced a scrappage policy for older vehicles in 2021. As of January 2026, the vehicle scrapping policy had led to the establishment of 129 operational Registered Vehicle Scrapping Facilities (RVSFs) across 21 States and Union Territories in India. These facilities have collectively scrapped 4,30,306 vehicles. 

Under the scrappage scheme, passenger vehicle manufacturers namely Maruti Suzuki India Ltd, Tata Motors, Mahindra & Mahindra, Hyundai Motor India, Kia Motors, Toyota Kirloskar Motor, Honda Cars, JSW MG Motor, Renault India, Nissan India and Skoda Volkswagen India, offer discounts of 1.5% of the ex-showroom price of new car or Rs 20,000, whichever is less, against the passenger vehicle scrapped by the owner in the last six months. Mercedes Benz India offers a flat discount of Rs 25,000, which is over and above all existing discounts. 

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These discounts offered by Original Equipment Manufacturers (OEMs) are over and above the scrap value paid to vehicle owners by Registered Vehicle Scrapping Facilities (RVSFs). They also complement the existing benefits available under the Government of India’s Vehicle Scrapping Policy, including concessions on motor vehicle tax, waiver of registration certificate issuance fees, and exemption from certain liabilities linked to the Certificate of Deposit (CD) when purchasing a new vehicle. 

If you own an end-of-life vehicle, you can choose from these two options. 

Published on: May 7, 2026 4:31 PM IST
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