Can I apply for a used car loan in one city and register the car in another?

You can apply for a used car loan with a lender in one city while sending your registration in another city, but you need to be in contact with your lender and follow the instructions. Lenders may need further documentation (e.g. confirming you live in the city you are going to register the car in). The time to do the transaction may take even longer because you will have to do more verification steps. The lender may even have different processes if you are moving the car to another state as every RTO has their own process as well as tax implications with vehicles. Generally, you should always have a conversation with your lender about your plans first before applying for a loan. You should also observe any local registration criteria. All the documentation checks you keep will help the procedure of the loan approval and the transfer of the vehicle to you.

To finalise the transfer, it would require a No Objection Certificate (NOC) from the old RTO as well as the lender (if under finance).

You will need the following documents: RC, insurance, pollution, proof of address and Form 28. Using the Parivahan Sewa web portal will enable you to see the progress of your application online. You can also visit an RTO if an agent is helping you to confirm that there are no mistakes with the RTO process and avoid issues, so that your car is legally compliant in the new city.