Can I Buy a Used Car If I Have a Scrapped Vehicle Under My Name?
3 Answers
You can buy a used car even if you have a scrapped vehicle under your name. A forcibly scrapped vehicle will not affect the transfer or purchase of other vehicles by the owner. However, if the scrapped vehicle is not disposed of in time, it may pose safety risks to both the owner and pedestrians, so it is best to scrap it promptly. Difference Between Recommended Scrapping and Forced Scrapping: Recommended scrapping suggests disposal, but if the vehicle still meets the requirements for continued use, it does not have to be scrapped. Forced scrapping means the vehicle must, absolutely and without exception, be scrapped. There are four criteria for forced scrapping: 1. The vehicle has reached the prescribed service life. 2. After repairs and adjustments, it still fails to meet the national safety technical standards for in-use vehicles. 3. After repairs, adjustments, or the use of control technology, it still fails to meet national standards for pollutant emissions or noise levels in in-use vehicles. 4. It has failed to obtain an inspection compliance mark for three consecutive inspection cycles after the expiration of the inspection validity period.
Speaking from my own experience, it is indeed possible to buy a used car even if you have a scrapped vehicle under your name, but the key is whether you have completed the scrapping procedures properly. Last year, when my old Jetta was scrapped, I didn’t handle the procedures in time, and it almost caused issues when I tried to buy a car. In cities with license plate restrictions, it’s even more troublesome. For example, in Shenzhen, there are regulations stating that if a scrapped vehicle isn’t deregistered, you can’t update your quota. To process a scrapped car, you first need to hand it over to a designated recycling plant. They will dismantle it and issue you a recycling certificate. Then, bring the owner’s ID card, vehicle registration certificate, and other required documents to the DMV to fill out an application form. Once you receive the deregistration certificate, everything is clear. After the old car is fully deregistered and you no longer have a car under your name, the transfer process will go smoothly. I recommend handling the scrapping procedures at least a month in advance—don’t be like me, rushing to buy a car only to find out the paperwork wasn’t completed.
I've specifically researched the DMV regulations on this matter. As long as there's a record of an unregistered scrapped vehicle, it's legally permissible to purchase a used car, but policy details vary by region. Strict enforcement cities with purchase restrictions like Shanghai require you to deregister the scrapped vehicle first to free up the quota. However, ordinary second- or third-tier cities might be more lenient, though you might encounter issues when buying a new car. I recommend prioritizing the proper disposal of scrapped vehicles through official channels regardless: find a qualified dismantling facility to obtain a recycling certificate, then submit a deregistration application at the DMV. The process typically takes about two to three weeks, and with the deregistration certificate, purchasing a used car won't pose any problems. Note that the deregistration of scrapped vehicle records is permanent and won't affect future car purchase credit records.
