As Ünal & Partners Law Firm, we recognize the significance of protecting the rights of parties in second-hand vehicle transactions. The Secure Payment System (SPS), developed by the Turkish Notaries Union, serves this purpose effectively. The system is designed to prevent fraud and protect both the buyer and seller.
What is the Secure Payment System?
The Secure Payment System was established under the provisions of the Regulation on the Trade of Second-Hand Motor Vehicles published in the Official Gazette dated 13.02.2018. Following a protocol between the Ministry of Trade and the Turkish Notaries Union, the system was launched on 03.02.2020.
According to the Motor Vehicle Trade Regulation published on 27.08.2024, payments for second-hand vehicle sales must be made in cash, via wire transfer, EFT, FAST, or other methods determined by the Ministry. The system is mandatory for businesses as of 27.08.2024 and for other real or legal persons one month later, on 27.09.2024.
Benefits of the Secure Payment System
Reduction of Fraud Risk: It eliminates the risks associated with cash handling and the possibility of counterfeit currency.
Automatic Processing: The system automatically transfers the sales amount to the seller’s account upon the completion of the sale.
Prevention of Legal Disputes: It mitigates the risk of non-payment, preventing legal conflicts.
Financial Audit: Aims to prevent tax losses.
Trust in the Government: Enhances citizen satisfaction and trust in the state through the provided conveniences.
How to Use the Secure Payment System?
Selection of an Intermediary Institution: The buyer and seller select an intermediary institution integrated with the Secure Payment System (banks, payment institutions, electronic money institutions).
Registration: Both parties must register with the chosen intermediary institution. It is essential that both the buyer and seller complete transactions with the same institution.
Initiating the Transaction: The seller initiates the transaction through the intermediary institution by entering the buyer's phone number. The buyer completes the process using the received reference number.
Blocking and Payment: The deposited amount is blocked in a secure account until the transaction is completed. Upon completion of the sale at the notary, the amount is automatically transferred to the seller.
Withdrawal Option: In the event of withdrawal from the transaction, the application can be canceled, and the deposited amount will be refunded to the buyer.
Can the Secure Payment System Be Used Outside of Business Hours?
Yes, the Secure Payment Systems of intermediary institutions can be used outside of business hours. However, the limit for transfers on weekends is 2 million TL.
Is the Use of the System Charged?
Yes, there is a fee for using the system as determined by the Ministry of Trade. For example, if the sale price of the vehicle is 500,000 TL, the buyer must add the secure payment fee of 135 TL, making the total amount 500,135 TL.
The Secure Payment System represents a significant step in enhancing security in second-hand vehicle transactions in Turkey. This system not only increases the safety of buyers and sellers but also contributes to the prevention of fraud and legal disputes. As Ünal & Partners Law Firm, we emphasize the importance of such regulations and support all initiatives aimed at creating a secure trading environment. Ensuring the effective use of this system plays a crucial role in protecting the rights of all parties involved.
Ünal & Partners Legal Team
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