Buying motorbike with foreign plates in Zona Franca in Chile

[Rubin86]

Hi guys!

I am considering to buy a KLR 650 on Washington State plates in the Zona Franca in Puntas Arenas in Chile.
Does anybody how that would work in terms of reregistration and exiting Chile?

I am now in Colombia but planning on flying down to Puntas Arenas mid January for a 7 month travel back north again

Any help would be much appreciated, Merry Chrtismas!

Rubin

[Tony LEE]

I would say you still have to deal with getting out with a TIP in the previous owners name. Possibly use a poder signed by the current owner, but may still be issues with that poder being recognised at any subsequent borders. Then if you are wanting the deal to end up legal, you have to end up going in to a country with new plates and paperwork in your name and the TIP in your name too. Possible a way of doing it legally within Chile's system, but that might be a long procedure.

Someone on another forum detailed her procedure for changing registration back in Washington state - involving friends back home doing it all with a letter of authorisation and DHLing the new plates and documents down, BUT that was to be done while the vehicle was in Brazil so there was no TIP to be concerned about.

All gets very messy which is why many take the easy, and irresponsible and stupid way out of generating false documents.

What advice is the current owner giving you - other than the usual "don't worry, trust me, my system works" which might be OK if the next sentence is "and I'm so confident, that the deal is $100 down, and the balance payable within 30 days of clearing customs at the border".

[Rubin86]

Hi. Thanks for the advice.

I'm a bit new to all this. What is a TIP and a poder?


I was indeed planning on reregistering the bike in Washington and having plates/documentation send back to me. As far as I've learned it should be a pretty straight forward procedure.
Like you point out I is not a good idea to falsify documentation, so I would rather like to avoid that

The seller brought bike down from the states and registration is in his name, so he does not know for sure either if it's feasible to sell there. We are trying to work it out

[shp224]

I bought several bikes from travelers here in Punta Arenas, where I live. The process is very easy but you must have a RUN (Chilean document) which Indont know if can be easily obtained for a foreigner (I guess not that easy). Then you can have the bike on your name and go anywhere.
However, in order to have the bike in your name, you must go through customs clearance which means the bike have to stay at their warehouse while customs check previous papers, this can take from two weeks to three months. Once papers are cleared up you can get all the Chilean documentS for the bike on your name. So, even if you get a "poder" from a third party (a Chilean who get the bike on his name and assume a permit for you to go abroad) you have to consider that time.
Of course, as Tony said above, that permit may not be valid to cross a third border.
Good luck

[Rubin86]

Hi thanks for the advice. From what you explain that might be a pretty lengthy process. Three months in customs.. I hope not Do you have any tips on where to start if i want to obtain a RUN document as a foreigner? Maybe you've dealt with a good lawyer down there? I am flying down to Punta Arenas in a week

Is there no way I could get the bike registered in the US, get a notarised bill of sale in Zona Franca, and then just exit Chile on old papers and enter Argentina with the new registration?

[shp224]

Originally Posted by Rubin86

Hi thanks for the advice. From what you explain that might be a pretty lengthy process. Three months in customs.. I hope not Do you have any tips on where to start if i want to obtain a RUN document as a foreigner? Maybe you've dealt with a good lawyer down there? I am flying down to Punta Arenas in a week

Is there no way I could get the bike registered in the US, get a notarised bill of sale in Zona Franca, and then just exit Chile on old papers and enter Argentina with the new registration?

Well, I have good news for you, a friend of mine who works on Customs. Offices explained me that there are two ways:
1. You can have the customs papers transferred to your name; in order to do so, you can go to customs (aduana) office and have new papers on your name and then get the bike out of the country. If you also have new papers on your name you'll not have any trouble.
2. You can get a provisional RUT (Chilean document) at Servicio de Impuestos Internos (Tax office) and then having the bike officially transferred to you. This is the best way as you will actually own your Chilean bike. Trouble is you may have to wait for Customs' clearance of the papers. This can take several weeks but my friend said they can speed up the process when the bike won't stay in the country.
Hope this work.

[Rubin86]

Hi Shp224.

Thanks for your advice man. We've decided to try to go the way of registering the bike in Chile with Chilean plates. I will today go to the SII with a Chilean friend to get an RUT document. After ive obtained the RUT how do I proceed?

Maybe you could put me in touch with your friend at customs?

Any help will be much appreciated!

Kind regards Rubin

[Groschi]

you can not get chilean plates for your bike, who told you you can?

ONLY a person oficially living in the zona franca for at least 5 years can do so.

so you can hand the bike over to a local, he than gets chilean plates, but thats no good to you, the bike can not be sold for 3 years and can only be used be the owner outside of the zona franca and only for 2 months per year.

[Sojourning Mendicant]

Please keep us updated! I'd also like to buy a US plated/registered motorcycle through the free zone and ride it around S. America for awhile and then sell it again (I would NOT take it back to the US) and I'm trying to figure out how to do this legally by S. American standards!

[xfiltrate]

Let's say you have only $3,500 USD to buy a motorcycle, or even less, and you want to ride Chile, Peru, Ecuador, Colombia, Bolivia, Brazil and Argentina and you want to return home with your initial investment of $3,500.00 USD in your pocket - here is one way to do it.

Remember, you will need a minimum of $25-$50 USD for every day you will be riding to cover gas, lodging and food + play money add about $30.00 USD per month for motorcycle insurance, and buy international accident medical policy as medical may not be offered with the motorcycle insurance.

Buy your helmet, GPS, universal soft luggage tank bag, tail bag and saddlebags, tire repair, air pump, first aid + mountain camping gear light tent, pad, bag and stove if you will be camping. The $25-$50 per diem suggests camping every other night.

Fly to any of the previously mentioned countries, go to a reputable Honda or any authorized brand dealer and buy a second hand bike for no more than $3,000.00 USD -and with the $500.00 add a wind screen, and other overland kit "cubremanos" maybe even bash plate and racks... The dealer will handle all paper work to insure you have legal title, local plates and will recommend a reputable insurance company.

Tour that country, slowly and enjoy yourself.... make sure you immediately put a "for sale sign ($4,000.00 USD or local currency) on your kitted out bike" and then legally sell the bike to another reputable dealer, or a private party by using a "gestor' (one who transfers vehicle titles as a business).

Bus to another of the countries you want to tour, with the $4,000.00 in hand, using your same soft luggage/camping gear and find another bike for $3,000.00 and spend $500.00 kitting it out as an overlander and since you are getting better at this game, after you slowly tour your second country with your "for sale" sign sell this bike for $4,500.00.

The allure of a kitted out over land "looking" think Dakar bike is a real treasure to locals and the second hand motorcycle market in South American cities is hot , hot, hot. Don't forget to bring with you or buy any interesting decals and pass these on to the new buyers. This is a nice touch and usually gets a big smile. There is a lot of show and little go among those who actually have a job enabling them to buy, but you can play that to your advantage.

Just repeat this process - remember, always trade up and sell for more each time, but never invest more than $3,500 USD for bike and extras.

Carry your camping gear in your soft luggage and use it with each bike you buy... and when you are ready to fly home you can sell your camping gear and soft luggage for a profit.

It is legal for a foreign tourist entering each of the countries I mentioned on a tourist visa to legally buy and sell locally titled motorcycles. The dealers will handle all the paperwork. You may not be legal to leave the country with the motorcycle, but you can park it/store it in the country where you bought it forever.

I know one person who actually doubled his original investment of $3,000.00 USD - thus having $6,000.00 USD in his pocket when he flew home. The profit of $3,000.00 paid for 60 days on the road at $50.00 USD per day and he still had the original investment of $3,000.00 USD in pocket.

If you plan a circular tour, you can take advantage of round trip air fare or check Onetravel.com for multiple city fares.

Let me know how it works out for you. We are now in Mexico, will be in Arizona, Spain and back to Buenos Aires by November 2016.

I more than doubled my investment by legally buying an old Harley Davidson in Buenos Aires, fixed it up a little and legally sold it in Buenos Aires. Always hire a reputable "gestor" to do the title transfer for you. Saves a lot of time and it will be done legally.

xfiltrate

[Groschi]

But xfiltrate, what has this got to do with the Zona Franca in Chile?

[Tony LEE]

Originally Posted by Groschi

But xfiltrate, what has this got to do with the Zona Franca in Chile?

The original question was "Does anybody how that would work in terms of reregistration and exiting Chile?"

Groschi, you for one has seriously suggested it can't be done so the thread is at a dead end. However Xfiltrate has kindly spent a fair bit of time typing out a suggestion that converts the dead end into a possible route through the whole of the americas,

[xfiltrate]

Groschi,

The "Buying motorbike with foreign plates..." indicates that the Rubin86 for whatever reason wants to buy a motorcycle in Chile. To me, the foreign plates, the Zona Franco seem to be just dressing. If Rubin wants to buy a motorcycle in Chile, as a foreign tourist there is a legal way to do so, without all the intrigue and if Rubin86 wants to sell the motorcycle he bought in Chile, after all, he is writing from Colombia and speaks of flying down, this would be logical. Anyone who has actually studied Mercosur law will agree that buying a foreign registered motorcycle in Chile if the motorcyle entered Chile on a TVIP is illegal.

The Zona Franco angle was addressed by Groshci - and he, "you" are correct. Since not being able to register the foreign registered bike in Chile,and not beign able to sell the bike for years etc and having to deal with the fact that the bike might have been imported via the Zona Franco thus complicating the xfiltration of the bike out of Chile, I thought that providing a legal alternative - legally buying a second hand bike registered in Chile, and then selling it for a profit in Chile, using the money to buy a second hand bike registered in Peru, and selling it, doing the same with a second hand bike registered in Ecuador and selling that bike and then entering back into Colombia having had the opportunity to tour Chile and Peru and possibly Bolivia and other countries and returning to Colombia with a profit that would enable him to buy another bike legally in Colombia.

Since Rubin86 has no "home" country listed, all I have had to go on was the fact that he stated he was in Colombia and would fly down to Chile. Had I thought of it earlier, he could save the plane fare by buying and selling , as explained above and in my original post this thread - in a reverse manner. Thus, he would buy in legally in Colombia and sell legally, Buy legally in Peru and sell legally, buy legally in Chile and sell legally and then do the process as originally described.

Now, if Rubin86 - who I can only guess is Colombian - based perhaps incorrectly on his semantics, and he has no connection to the Washington registered bike located in the Zona Franco Chile other than responding to an ad, and he does not know if the bike has been confiscated by customs for auction, stolen, has photoshop paperwork etc, then the question might well be what does buying a Washington registered bike a Zona Franco Chile have to do with my post becomes a mute issue. What I have suggested is a viable legal alternative.

xfiltrate

[Rubin86]

Sorry it's taken so long to get back to you guys, I've been hiking in the Patagonian mountains. There seems to be a lot of different information going around, so let me tell you what I learned.

Firstly. I am a Norwegian, and was traveling in Colombia before I chose to fly down to Punta Arenas to purchase bike. The motorbike has Washington license plates and I was debating whether to reregister title in Washington or try to get a Chilean license plate. BOTH OPTIONS, I have learned, are ABSOLUTELY DOABLE!

To get Chilean plates on bike follow these steps.

1. Get a notarized bill of sale at local notatio in Punta Arenas (you will need seller and buyer to be present with IDs and have original title with you).

2. Go to the aduana office in Zona Franca (this is a different office from the one located in downtown Punta Arenas) to request a change of name on the T IP. Buyer and seller both need to be present for this too.

3. Get a RUT-number. This is like a social-security number in chile that gives you the right to buy and sell stuff there (amongst other things). This can be obtained pretty easily at the Tax office in downtown Punta Arenas. This took me about an hour of filling out forms and the like. You Will need an address in Chile, but I just used my hostels address. They will then issue you a RUT-number straight away and mail you your RUT card in 2-3 months to the address provided.
When reasearching this I found a lot of people meant you have to have a Chilean "sponsor" to vouch for you in order to obtain a RUT, but I did not need to do so. I will however reccomend you bring someone to help you if you are not fluent in Spanish.

4. After you have obtained the RUT you can now legally purchase and regregister a vehicle in Chile. To make the process easier I contacted a private customs agent to help with reregistration. His name is Alejandro Etcheverry Arentsen and his office is located near the Aduana building in Punta Arenas.
He quoted me these tentative prices as a courtesy (note that this is just a rough estimate. I just have this handwritten note in Spanish so bear with me):

Use of storage Zona Franca 60 USD
Sales tax Zona Franca 1.85% 9 USD
Something Cobro admin fees .53% 3 USD
Almerensje? (Don't know what that is) 45 USD
Aja aduana 150 USD

Roughly 300 USD in total, but bear in mind that our sale price was low (500 USD). So actual fees might be quite a bit higher if you have higher sale price.

One thing to take into consideration is that bike will be held up in customs for at least 7-10 work days while the Aduana check that the bike is legal etc. So you will be without your bike for quite some time.
Also. Since you are registering bike in Zona Franca you will not be able to use the bike in other parts of Chile for more than 60 days. I was, however, planning on driving bike back to Colombia so this was of little concern to me.
Thirdly, you will have a problem if you are in another country and wish to change the name on the title when you sell bike, as this can only be done in Chile as far as I know.

[Rubin86]

I know this is possible because I actually did all the things described above. I have also met several people who have sucsessfully transferred the title from a foreign bike to a Chilean one. Mostly locals buying foreign bikes or cars and then getting local plates for them, but as long as long as you have a RUT you can do the same. If you have any problems you can try to ask for Aldo at the Aduana office, he was of great help trying to sort things out.

In the end however, I chose to change the title in Wahington instead. Main reasons for this were: 1. I can change title legally if and when I chose to sell bike. 2. Bike will not be held up in customs. 3. It was a bit cheaper.

All went well and I am now waiting for new title and license plate to arrive by mail.

Hope this clears up things a bit.