best way of accepting payment when selling car privately

[steve184]

What do people feel is the safest way to accept payment on the sale of a car? I would ordinarily prefer cash although this still carries risks - but i'm talking best part of £16k now a lot of people would be reluctant to carry around as cash, quite understandably.

cheers

 

[Booster]

Go with the purchaser to the purchaser's bank and get them to put through a CHAPS payment into your account or alternatively get them to draw up a Banker's Draft in your presence.

 

[benw123]

Simple - direct bank transfer. If your buyer uses internet banking, they can even set up a payment from their own PC. It's safe and secure.

Only downside is that it takes four working days, although when I sold my Focus ST170, the guy wanted to collect it so badly he paid a £25 surcharge to get the payment through that day!

All you do is keep checking your account for the money, and once it's there, contact the buyer and arrange collection. The other plus is that when you see the buyer again, there's no awkwardness when handling that amount of cash!

 

[Amchlolor]

Yup,internet banking and electronic payments is the way to go.
Did it twice in past three months,selling and buying bikes.

 

[Olly_K]

its an interesting one, when i bought my Rs4 they guy wouldn't release the car until funds had cleared and I didnt want to part with the funds until I had the car.
So we originally arranged that i'd get 22.5k cash from my bank, drive to his house, we go to his bank together and the bank would count it and confirm the notes were genuine, then we drive back to his house and I pick up the car, all on the same day.

 

[steve184]

didn't realise you could pay £25 to have an electronic transfer made the same day - is it 24 hours? so you transfer 3pm one day and its clear 3pm next day?? Hows it work?

 

[steve184]

ok doin the cash thing but you never know when someone is gonna pull a gun on you!!! there are plenty of desperate people about who will try anything!

 

[PJLarge]

You need to ask the bank to make a CHAPS payment which is same day. Alternatively ask the buyer to arrange a cash withdraw from his bank and get him to accompany you to yours whilst you pay it in.

 

[roadrunner]

You just cant trust anyone these days can you.

I sold my last car to a policeman who thought by showing me his warrant card I would trust him with a cheque!! As the banks were about to close and he had travelled a long way we went off to the local bank and as it was too late to fix a same day chaps (before 4pm I think) he withdrew the cash at the till and I promptly paid it back in again to my account. Farcical. The way it was handled I half expected then to count it again when I paid it back in.

Internet bank transfers get my vote.

 

[ChriS3]

You can use an escrow company to make sure everything is fine before you each get your car/cash. Bankers draft's work well - as good as cash (as long as it's not forged )

 

[Amchlolor]

Bank transfer thing is excellent really.
I was selling a bike.
Bloke e-mailed me Thursday,we agreed a price.
He transferred the money Friday.
I drove to Edinburgh on the Saturday to deliver it.
Superb.

No counting money in a car park.
No having to take mates in case you get jumped with cash.

All very civilised.

 

[steve184]

no messing about bowfer - but think from the other blokes point of view - hes transferred all his money into your account - you could then not bother turning up with the bike what could he have done? my point is problems can happen both ways for sellers and buyers

 

[RobB]

If the buyers bank is the same as yours the money will go straight across on the same day (effectively instantly), rather than waiting for 3-4 for it to appear. If you have a online PC at home, why not invite them in to do the transfer in front of you? Although, I think there is a £10k per day limit on online transfers (there is with HSBC / First Direct anyway).

Or I would identify a local branch of theirs where you can both visit to transfer the money or have a draft made out so you know it is genuine. This is what I did when buying a relative's car with them and it was really easy.

 

[alfiejts]

I bought mine on eBay and the seller was 250 miles away. I needed to see the car, pay for it and drive it away all on the same day.

Seller was a copper in the Met. He wouldn't let me travel down there with £15k in cash....

We all agreed to go to my bank/build. soc. together, draw a counter cheque, so that he knew it was genuine, then go to his bank and pay it in together.

As it was a counter cheque, it was cleared funds and couldn't be cancelled. As he'd seen it drawn, he knew it was genuine.

I did just the same process in reverse when I sold my Alfa 156. The buyer saw it and wanted to drive it away that day. We went to his bank, drew a counter cheque and then went straight to mine to pay it in.

Can't see a flaw or risk in the process and the copper from the Met thought it was the best answer of all the alternatives...

 

[jdp1962]

This seems like a topical moment to remind people about the sticky thread I posted last year on cheque fraud:

http://tinyurl.com/gxz2b

 

[rickparmar]

when i brought my first A3, we did a bank transfer, but funds would talk 4-5days before she got it,

so we decided she keeps the log book, i drive the car, wrote a contract both signed and took a photo of us signing,

then once money was cleared she sent the log book through

 

[h5djr]

If you have a number of accounts with the same bank and do an online internet transfer from one to another then transfer is instant, but I'm not sure them same is true between different customers.

I recently made a transfer from one of my accounts to my brother's account, both accounts being with Lloyds but at different branches and I think it took a couple of days for the money to show in his account.

I must say that I think the both visiting the bank together and getting a counter check and then paying that in together seems to be the one than can cause least problems.

 

[d3fy]

I sold my last car 12k by CHAPs. Buyer transfered money to my account, waited one day for it to clear. Buyer picked up car. Got to say it really is a tense time, thinking of any scams or things you have missed and the buyer thinking the same!

The banks could make it easier for us. Some Online Banking has transfer limits, mine does NATWEST, i went to buy my car forgot I had the money sat in my savings need to pay by SWITCH from my current and tried to swap it over by going online in the dealers. It would not let me transfer 23k from one to the other..

 

[Amchlolor]

no messing about bowfer - but think from the other blokes point of view - hes transferred all his money into your account - you could then not bother turning up with the bike what could he have done? my point is problems can happen both ways for sellers and buyers

There is an element of trust in most transactions.
Thankfully,in my experience,99% of people are completely trustworthy.
I must say,if a seller wanted me to feck about following him to the bank etc.,I'd probably tell him to get stuffed and source another one.
The hell with that,in this day and age.

 

[ManicMunky]

I recently made a transfer from one of my accounts to my brother's account, both accounts being with Lloyds but at different branches and I think it took a couple of days for the money to show in his account.

That's odd. My dad pays money into my LTSB account from his instantly!

 

[steve184]

well - i'm making things harder for myself as i am requesting that people come to view the car at weekends (as im working mon to fri and can't get days off at a days notice) this complicates things as obviously banks arn't open to raise bankers drafts (is this what someone called counter cheque above?) etc

 

[Amchlolor]

Doubtful anyone is going to chance taking £16K with them,so you're going to have to be flexible,patient and trusting.
Agree a deal,then wait for the other person to make an eletronic transfer on the Monday.
You're not doing them a favour selling them the car.
They're doing you a favour buying it.

In my experience,they will be just as keen to get the money transferred to you as you will be to get it.

 

[benw123]

Doubtful anyone is going to chance taking £16K with them,so you're going to have to be flexible,patient and trusting.
Agree a deal,then wait for the other person to make an eletronic transfer on the Monday.
You're not doing them a favour selling them the car.
They're doing you a favour buying it.

In my experience,they will be just as keen to get the money transferred to you as you will be to get it.

Absolutely right - if anything, the delay until Monday may be an advantage. I'd be a little worried if someone turned up to view the car and tried to pay straightaway. The delay means they still want the car!