The Certificate of Deposit (CoD) is an official document issued when a vehicle is scrapped at an Authorised Vehicle Scrapping Facility (AVSF).
It proves that the vehicle has been legally dismantled, the RC is cancelled, and the vehicle can never return to the road.
The CoD is issued under the Vehicle Scrappage Policy 2021 and is essential for claiming government benefits.
🎫 What Does the CoD Contain?
The Certificate of Deposit includes:
- Owner’s name
- Vehicle registration number
- Chassis number
- Date of scrapping
- Scrapping certificate ID
- AVSF details
- Link/method to verify authenticity
This document is digitally generated and uploaded on the government Vahan portal.
⚙️ How the CoD Process Works
Here is the complete, step-by-step CoD process followed in India:
1. Vehicle Pickup & Verification
The scrapping partner (like CarBasket’s authorised facility) verifies:
- RC (original / digital)
- Owner’s ID
- Chassis number
- Vehicle photos
2. Entry Into Scrapping System (Vahan Registered Facility)
The scrapping centre enters the vehicle details into the Vahan Scrapping Module, which starts the official process for:
- Scrapping
- RC cancellation
- CoD generation
3. Physical Dismantling of the Vehicle
The vehicle is scientifically dismantled:
- Fluids drained
- Battery removed
- Tyres, metal parts separated
- Recyclables processed
This ensures safe and eco-friendly disposal.
4. RC Cancellation Request Sent to RTO
The AVSF sends a digital intimation to the RTO to permanently cancel the registration.
The RTO updates the Vahan database with:
✔ “RC Cancelled due to Scrapping”
✔ Vehicle blacklisted from future use
5. CoD Generated on Vahan Portal
Once the RTO confirms cancellation, the system generates the:
Certificate of Deposit (CoD)
This is the owner's official proof of vehicle scrappage.
CarBasket shares:
- Digital CoD (PDF)
- Scrapping certificate ID
- RTO confirmation screenshot (if required)
🎁 6. Use the CoD to Claim Scrappage Benefits
With the CoD, the owner becomes eligible for:
✔ Road tax concession, depending upon the RTO/RTAs (up to 25%)
✔ Registration fee waiver, depending upon the RTO/RTAs
✔ Manufacturer’s scrappage discount, depending upon the OEM (1–6%)
✔ Direct scrap value your old vehicles
The CoD can be used ONE time—for purchasing a new vehicle.
🧷 Why CoD Is Important
Without a CoD:
- The vehicle is not officially scrapped
- RC remains active (risk of misuse)
- No tax benefits
- No OEM discount
- No proof for liability clearance
With a CoD, you are fully protected legally.
🚛 How Carbasket Helps in the CoD Process
CarBasket simplifies the entire scrapping journey:
✔ Pickup from your location
✔ Verified authorised scrapping partners
✔ End-to-end documentation
✔ RC cancellation tracking
✔ CoD delivery (PDF + verification)
Fast, safe, and 100% compliant.
FAQs: Certificate of Deposit (CoD) in Vehicle Scrapping
1. What is a Certificate of Deposit (CoD)?
A CoD is an official document issued by an Authorised Vehicle Scrapping Facility (AVSF) after your vehicle is legally scrapped. It confirms that the RC is cancelled and the vehicle will never return to the road.
2. Why is the CoD important?
Without a CoD, you cannot claim government scrappage benefits such as:
- Road tax concession
- OEM scrappage discount
- Registration fee waiver
- The CoD also protects you from liability or misuse of your old vehicle.
3. Who issues the CoD?
CoD is issued only by authorised scrapping facilities integrated with the Vahan portal.
Local scrap dealers cannot issue a CoD.
4. How long does it take to receive the CoD?
Typically 24–72 hours after the vehicle is processed, depending on RTO response time.
5. Is the CoD physical or digital?
CoD is a digital certificate generated on the Vahan portal.
CarBasket provides it in PDF format, along with verification details.
6. Can the CoD be used multiple times?
No. A single CoD can be used once to claim scrappage benefits for one new vehicle.
7. Can I get a CoD if my RC is lost?
Yes. You can still scrap your vehicle and receive a CoD with:
- FIR copy (loss report)
- ID proof
- Chassis verification
- Carbasket assists with the entire process.
8. What happens to the RC after CoD is issued?
The RC is permanently cancelled by the RTO.
The vehicle becomes de-registered and cannot legally operate again.
9. Can a financed vehicle be scrapped and get a CoD?
Yes, but you need:
- Bank NOC
- Form 35
- Carbasket helps coordinate with banks if needed.
10. How do I verify if my CoD is genuine?
You can verify it on the:
- Vahan portal, using the certificate ID
- RTO records (RC status shows “Cancelled due to Scrapping”)
11. Does Carbasket provide the CoD?
Yes.
Carbasket works only with authorised scrapping centres, ensuring:
- Legal scrapping
- RC cancellation
- Verified CoD delivered to your phone/email
12. Can I claim benefits without a CoD?
No. CoD is mandatory to receive any scrappage policy benefits.
