Car Auction: Are you also dreaming of buying a luxurious car on a budget? Now, your dream can become a reality, as various Indian government departments and banks periodically organize Sasta Car Auctions for old and seized vehicles. Here, cars with a real value of ₹8 to ₹10 lakh are available at a starting base price of just ₹2 lakh.
This is a golden opportunity for those who want to bring home a car in excellent condition for less than half the market rate. In this article, we’ll explore in detail why these cars are so cheap, how you can participate in online auctions, and what precautions you need to take when making a purchase.
Government Car Auction
People often wonder how a car worth ₹10 lakh can be found for ₹2 lakh? There’s no magic behind this, but rather a set of government and banking procedures. In fact, banks often seize vehicles whose loan installments are not paid on time. The bank’s primary objective is not to make a profit, but to recover its stuck funds as quickly as possible.
Furthermore, government departments also auction their old vehicles to replace them. Since these vehicles are considered old property in government records, their initial price is set well below market value so they can be sold quickly. This is why buying a car from here is nothing short of a jackpot for the average person.
Where is the auction held
There are several official government portals and platforms in India where these vehicles are listed. If you also want to be a part of this “steamy sale,” you should regularly monitor major government e-auction sites like MSTC Limited. Additionally, you can use portals like e-Bkray to view the list of vehicles seized by banks.
Cars seized by the Income Tax and Customs departments are also often auctioned on these sites, where luxury cars are sometimes also expected. At the local level, state police and transport departments also make their old fleets available to the public through these platforms.
Online Car Bidding Process
The process of purchasing a car from a government auction is not as simple as buying a car from a showroom, but it is quite exciting and complex. First, you must register yourself as a ‘bidder’ by visiting the website of MSTC or the relevant bank. This requires providing your PAN card, Aadhaar, and bank details. After registration, you must deposit a small security deposit, called an Earnest Money Deposit (EMD),to participate in the auction.
When the auction begins, you can bid online on the car of your choice. The person who places the highest bid will be the sole owner of the car. If you don’t win the bid, your EMD amount is returned to you in full. After winning, you need to deposit the remaining amount and then obtain an NOC from the bank or department to transfer the car to your name.
Don’t Forget These Things Before Buying
Finding a cheap car is a great opportunity, but blindly trusting it can be costly. Cars at auctions are often sold under the “As Is Where Is” rule, which means you must accept the car in its current condition. Therefore, it’s wise to visit the yard and thoroughly inspect the car yourself or with an experienced mechanic before bidding.
It’s crucial to check the engine sound, the condition of the tires, and the body for dents and paint. Also, obtain complete information about the vehicle’s registration papers, insurance status, and any pending challans in advance to avoid any legal complications in the future.