u/AdeptnessNo3821

I am sharing my experience with CARS24 so that other car sellers understand the risks before handing over their vehicle.

This is not a small delay or normal follow-up issue. In my case, the vehicle was sold through CARS24, the car was handed over, but the RC transfer is still pending. Meanwhile, the vehicle appears to have been moved/used by a third party, a stranger contacted my family about the vehicle being parked in an unauthorised zone, a challan issue remains unresolved despite CARS24 deducting/committing to clear it, and later CARS24 informed me that the RC itself was “lost”.

The vehicle number is AP 10 BF 6**5. Deal number: 10209161763.

I am posting this because the process has exposed serious gaps in CARS24’s seller journey, RC transfer handling, customer service, channel partner accountability, and their so-called Seller Protection/Kavach.

1. CARS24 sold/pitched Kavach by clearly warning me about seller risk
Before the sale was completed, CARS24 pitched their Seller Protection/Kavach plan.
Their own email clearly stated that until RC transfer is completed, which can take up to 6 months or more depending on RTO processing, issues like challans, accidents or police cases may still legally point to the seller.
They also wrote that they have seen cases where past sellers received court notices or fines weeks after selling their car.
To avoid this, they offered CARS24 Kavach for ₹5,000 and said it protects the seller from such escalations.
So CARS24 knew exactly what the risk was. They warned me about it. They used that risk to sell/pitch Kavach.

2. I specifically asked whether CARS24 would take legal and financial responsibility
Before proceeding, I asked them written questions because I did not want ambiguity later.
I asked whether CARS24 would assume full financial and legal liability in case of accident, misuse, theft, or third-party claims during the RC transfer period.
Their response was: yes, with the issue of the CARS24 policy copy.
I also asked whether CARS24 would cover expenses if the RC owner had to visit a police station, court, or any authority due to an issue arising during the RC transfer period. Their response was that travel allowance would be provided. This means the risk was not hypothetical. CARS24 acknowledged it in writing.

3. The challan issue was already known and CARS24 committed to clear it
There was a pending challan linked to the car. I wanted to pay it myself to ensure there was no risk left in my mother’s name, since the car is registered in her name.
CARS24 told me in writing not to pay it.
Their written response was: “No, don’t make the payment to clear the challan. We already have Vahan. We will clear it from our end.”
They also said they would take care of the pending challan.
Despite this, the challan remained pending even after more than 40 days. I had to escalate this separately. To make it worse, I was also getting WhatsApp follow-ups asking me to pay the challan, even though CARS24 had already told me they would clear it.
This is unacceptable. Either let the customer pay directly or clear it immediately if you have deducted/committed to clear it. You cannot hold the seller responsible after giving written assurance.

4. Car was handed over, but RC transfer is still incomplete
The vehicle was handed over to CARS24 around March 28, 2026.
The CARS24 executive explained the pickup process: driver would come with RTO booklet, owner signatures would be taken, full payment would be processed, and then the original RC and keys would be handed over.
The car was handed over. Original RC and keys were given. But the RC transfer is still not complete.This is the core issue: once a seller physically hands over the vehicle, they no longer have control over the car. But legally, until RC transfer is completed, liability can still come back to the registered owner. CARS24 knows this. That is exactly why they pitched Kavach.

5. Stranger contacted my family about the car being parked in an unauthorised zone
After the sale, my family received a call from a stranger in Hyderabad saying the car had been parked in an unauthorised zone for more than 24 hours and asking us to remove it.
Think about the seriousness of this.
The car is no longer with us. It was sold through CARS24. Yet a stranger is calling my family because the vehicle is still registered in my mother’s name.
This means the vehicle was either with a dealer, channel partner, buyer, or some third party, while the RC transfer was still incomplete.
This exposes the RC owner to challans, police issues, notices, accidents, misuse risk, and unnecessary mental harassment.
This is exactly the scenario CARS24 used to sell Kavach — and when it actually happened, the response was weak and evasive.

6. CARS24 response: “auction-based model”
When I asked CARS24 why the vehicle was handed over before RC transfer and who currently had possession of the car, their response was that CARS24 operates on an auction-based model where channel partners bid on vehicles, the highest bidder gets the vehicle, and then finds the end buyer for ownership transfer.
That may be their internal business model, but how does that help the seller?
If CARS24 collects the car from the seller, manages the deal, deducts charges, sells/pitches protection, and controls the channel partner process, then CARS24 cannot simply hide behind “auction-based model” when something goes wrong.
The seller did not independently choose this channel partner. The seller did not hand over the car to an unknown third party. CARS24 did.
So CARS24 should own the accountability.

7. No transparency on buyer/channel partner details
I repeatedly asked why buyer/channel partner details were not being shared with me.
If the car is in the hands of a channel partner, and that vehicle is still legally registered in my family’s name, then why should the seller be kept in the dark?
At the very least, CARS24 should provide:
Current vehicle location
Who has possession
Channel partner details
RC transfer status
Expected transfer timeline
Liability confirmation until transfer
Proof of pending challan closure
Instead, I received vague responses and no concrete resolution.

8. CARS24 later said the RC was “lost”
This is where the matter became even more shocking.
After repeated follow-ups, CARS24 informed me that the buyer for the vehicle had been finalised, but the RC had been lost, and the channel partner required my support for issuance of a duplicate RC to proceed with the transfer.
How does this happen?
The original RC was handed over as part of the vehicle sale process. CARS24/channel partner was supposed to handle documentation and RC transfer. Now, after the vehicle has already been handed over and the seller has no control over it, I am told the RC is lost.
This is not a small operational issue. This is a critical document linked to legal ownership.

9. “Seller Protection” sounds good until the seller actually needs protection
CARS24 marketed Kavach/Seller Protection by warning that challans, accidents and police cases can legally point to the seller until RC transfer.
In my case:
Challan issue remained unresolved
RC transfer is still pending
Vehicle was apparently handed to a third party
Stranger contacted family about unauthorised parking
RC was allegedly lost
CARS24 gave vague replies about auction model
No clear ownership or action plan was shared
So what exactly is Kavach protecting?
If the seller still has to chase CARS24 repeatedly for challan closure, car location, RC transfer status, duplicate RC process, and liability confirmation, then the protection is not working at the moment it is actually needed.

10. Customer support has been mostly scripted acknowledgements
The support experience has been poor.
Emails get acknowledged through Zendesk. Replies say the matter is being prioritised or the concerned team has been aligned. But the actual questions remain unanswered.
I asked:
Why was the car handed to a dealer/channel partner before RC transfer?
Who currently has the car?
Why was it parked in an unauthorised zone?
What is the status of RC transfer?
What is the action plan now that RC is lost?
When will the challan be cleared?
Who is legally responsible until transfer?
What protection is actually being provided under Kavach?
I have not received a clear, end-to-end resolution.
For a matter involving legal ownership and possible police/challan risk, scripted replies are not enough.

11. The biggest loophole in CARS24’s process
My experience shows a serious loophole.
CARS24 can:
Pick up the seller’s car
Take original RC and keys
Hand the vehicle to a channel partner
Keep RC transfer pending
Not disclose actual possession details
Sell/pitch Kavach for post-sale risks
Delay challan closure despite written commitment
Later say RC is lost
Still not give a clear resolution
Meanwhile, the registered owner continues carrying real-world legal risk.
This is deeply problematic.

12. Questions every seller should ask before selling to CARS24
If you are planning to sell your car through CARS24, please ask these questions in writing before handing over the car:
Who exactly will receive the vehicle after pickup?
Will the car be handed to a channel partner before RC transfer?
When exactly will RC transfer be completed?
Who is legally and financially liable until RC transfer?
What happens if the car receives a challan before RC transfer?
What happens if the car is involved in an accident before RC transfer?
What happens if the RC is lost?
Will CARS24 share buyer/channel partner details if something goes wrong?
Is Kavach mandatory or optional?
What exactly does Kavach cover in real situations?
Will CARS24 provide written indemnity?
Will pending challans be cleared before handover or deducted later?
Will CARS24 provide proof of zero pending challans?
Do not rely on verbal assurances. Take everything in writing.

13. Final view
I trusted CARS24 because the process was marketed as convenient, safe and protected.
But my experience has been the opposite.
The car is gone from my possession, the RC is not transferred, the challan issue is unresolved, a stranger contacted my family about unauthorised parking, CARS24 says the RC is lost, and the company is still not giving clear ownership or accountability.
This is not just bad customer service. This is a serious process failure that can expose sellers to legal and financial risk even after the car is sold.
CARS24 needs to publicly clarify how it protects sellers during the RC transfer period, what Kavach actually covers, why vehicles are handed to channel partners before RC transfer, and who is accountable when something goes wrong.
Until then, my advice to sellers is simple: be extremely careful before handing over your vehicle.