Documents needed when buying a car in Kenya
When buying any property in Kenya, you will be required to have certain documents, some of the documents are a requirement by the authorities while others will protect you from losing your money. Let’s see what documents you will need when buying a car in Kenya and also, those you should ask from the seller below.
Documents you should have as a car buyer in Kenya
Here are the documents you should have when purchasing a car in Kenya, how they will be used and why they are important.
1. Your Identification card or Passport
If you are a foreigner, you should carry your passport, on the other hand, Kenyans should have an Identification Card. This is what will be used to register the vehicle and prove it belongs to you when required.
2. KRA Pin
For the vehicle to be registered under your name, you will be required to have a KRA(Kenya Revenue Authority) pin. If there are any taxes to be paid especially if you imported the vehicle directly, your KRA account will be used.
Documents you should ask from the seller
There are documents that the seller should give you to prove that they have the right of ownership for the car they are selling to you. They are as follows:
1. Identification document
During the process of buying a car, one important step is doing a car search on the NTSA TIMS account. Once you have done a search, you are given the names of who the car is registered to. To verify if the seller’s details match those from the registration, you will need the seller’s Identification Card/passport or an Identification document for a dealer. The identification details on the logbook should also match with what is on the seller’s identification number.
It is also important to note that some dealers do not register cars immediately after importing them. In such a case, you should have a written agreement with the car details such as chassis number and engine number stating that the vehicle will be registered to you by the dealer once you have made a certain agreed payment.
In other cases, the dealer will be selling the car on behalf of another dealer or owner in the case of a locally used vehicle. For this, the dealer should provide proof through a document that they have the right to sell the car on behalf of the third party. The written agreement between you and the dealer should also indicate that it will be the responsibility of the dealer to do the transfer of ownership to you.
2. Seller’s KRA Pin
The KRA pin of the seller will be used as proof of ownership just like the identification document. The KRA pin details that show after you do the car search should match those of the seller’s KRA document. Additionally, the KRA details on the logbook should match.
3. Logbook
This is another important document that the seller should give you for cars that are already registered. The chassis and engine number should match what is on the vehicle and the NTSA Tims details. Also, the details from the KRA pin document and Identification document should match as we have stated above. Remember that you will be required to give out the old logbook when correcting the new one.
4. Auction sheet
This applies to dealers who sell foreign used cars. The auction provides you with very important information about the car, this includes previous repair, mileage of the car and if the car has been involved in accidents.
5. Inspection certificate
This is yet another document that will only apply to dealers. For any car to be cleared for importation to Kenya, it must be inspected, in most cases, the car is inspected before being shipped to Mombasa port. An inspection certificate is given after the car passes inspection. You should hence ask the dealer for this certificate since it will provide you with information about the car.
6. Written Sales Agreement
A written sales agreement is a very important document. The agreement should at least contain the following:
- Buyer’s names and identification details
- Sellers name and identification details
- A detailed explanation of the deal, for example, the car will be transferred immediately after full payment, who will do the transfer, is the car being sold on higher purchase terms, the amount sold, etc
- This agreement should be signed by the seller, the buyer and any other witnesses
Other none documents requirements
Apart from the documents, there are other few things you will require to have and are very important. We hence could not leave them out of this list.
a. Bank account
When purchasing a car, you should never pay cash, instead, use the bank, additionally, never carry the amount as cash. This will require you to have a bank account which you will transact from.
b. NTSA Tims account
The seller should initiate the car transfer process immediately after you make the payment. For you to accept the ownership, you will need an NTSA TIMS account, hence, make sure you register for one. You can check the whole process of car transfer over here.
Documents you should have after purchasing the vehicle
You have paid for the vehicle, it has been registered and transferred to you, there are however more documents that we will be required and there are as follows.
1. Valid insurance certificate
All cars on Kenyan roads are required to have a valid insurance cover. You can choose a third-party insurance cover that covers everyone outside of the car but does not cover the owner and the car. The recommended and best choice however is the comprehensive insurance that covers the car and any other third party.
2. Valid driving license
The one who will be driving the vehicle should have a valid driving license. If you will be driving yourself and do not have a driving license, make sure you attend a driving school and get licensed.
3. Logbook
The logbook proves you own the car. After the car is registered under your name and the transfer is done, NTSA will process the logbook. You will receive instructions on where to collect the logbook after a few weeks.
There you have it, those are the documents you should have from the start of buying a car, the transaction period to after owning the car. The above documents are very important and will help identify the car as yours plus increase ownership safety.