ChrisF

Hi all.

Unfortunately, I'm looking to sell my 997 C2S cab. As much as I love it, I need the money for other things right now. So as I start speaking with prospective buyers, the issue of payment comes up. For those of you who have sold a $70K+ auto private party, how did you handle the transaction? The preferred methods of payment seems to me to be (in order):

1. wire transfer
2. cleared cashiers check
3. cleared personal draft
4. cash (yes, cash)

I was surprised that one of the buyers suggested #4. Seems to me to be a huge potential for fraud. Any suggestions, experience or advice here would be appreciated.

Thanks

fluid15

I would stick with 1.) Wire Transfer. Anyone can do it and no potential of losing or being robbed of any type of paper transaction, even though it's rare. Cash? I wouldn't feel comfortable with someone handing me $70k+.

JBRipps

I know that captialone has an autoloan program where they send the buyer a blank check with the maximum allowed amount printed on the front of the check. There is also a number on the back of the check for a seller to verify the funds. Seems safe enough for dealers to accept, so I would think you could too.

good luck in your sale.

J

Alan Smithee

For the last two cars I sold to private parties, I went to their banks with them while they drew cashiers checks made payable to me. Finalized the deal by handing over the title there at the bank.

I'd avoid cash, as you have to fill out one of those government forms if you deposit over $10k in cash; why put yourself in the position for a DEA hassle or whoever it is that audits them...not to mention potential for counterfeit, loss, theft, etc.

ChrisF

All good responses. Thank you. Yeah, cash to me just seems odd. I'm used to filling out currency transaction reports in my field of work, but rarely are funds of that size going into MY account.

THPorsche

that would be the best. With the hightech printer nowadays, I don't really trust any "bank/cashier checks" anymore. From what I heard, a wire transfer can be cancelled afterward.

sandwedge

[QUOTE=Alan Smithee]For the last two cars I sold to private parties, I went to their banks with them while they drew cashiers checks made payable to me. Finalized the deal by handing over the title there at the bank.[QUOTE]

Works great with local buyers. Not so much with out of towners. Sold two M3's lately to people who flew in from 1,200 miles away.......with cashier's checks from banks or credit unions that don't exist in my hometown. Brought the buyers and their checks to my bank where the people I know verified the funds and made them available to me on the spot. A phone call and a little persistence took care of it.

A wire would obviously be preferred but they're not instant and a New Yorker buying a high end car from a private party in Florida can't be expected to wire the funds before even seeing the car. Bottom line is he'd have to spend one or maybe two nights in a hotel room waiting for the funds to arrive.

Alan Smithee

Actually, one of those transactions was with a buyer who flew in...but I can see how that might not work in some situations/locales.

Chris from Cali

With the availability of wire transfers and electronic titles, it makes no sense to do it any other way. It is an electronic version of the two-way handoff...

NCporsche

In the situation that the party wants to pay cash, you can use the bank option too.

Meet me at the bank.

While at the bank, get seven cashier's checks for $9,999,99 and 7 cents change. Then make the deposits over seven days at your bank, or that day at seven different banks (if you want to avoid the $10,000.00+ deposit flags).

rountreed

Gee guys how are the hard working corner sales people to wash their money if not by buying sports cars! No do not take cash, high risk! Paypal may be one method not already talked about but wire transfer would be choice B and the winner in my book is at their bank with the sign over of the title unless it is not clear.

malammik

1&2 only. 1 is the best.

JimRe

Good information guys.

As a newby who will soon be buying a C2S I too have thought about payment to an out-of-state private party. I appreciated learning about the delay with a wire transfer as Sandwedge is correct in that I would not wire money without viewing/inspecting the vehicle nor would I like to spend an extra night or two killing time waiting for the wire to arrive.

My thinking now after reading your posts is to hope my mostly nation wide bank (BOA) is in the seller's city. If so we go to a local branch I get a casher's check and he/she signs over the title. If no bank then it seems like a wire transfer and playing tourist for a day or so is the best course.

One question, what about States where the title is electronic. I have no experience with. How does the buyer know the seller transferred an electronic title to the new owner?

ChrisF

I can see why now that a lot of Pcar sellers just opt to sell their cars to dealers. No muss, no fuss; bankable check from known commodity in hand. Just usually comes at the expense of about 10% market value.

I agree that one of the best options would be a walk in to the buyer's bank and get a cashiers check drawn right there. That way there's little worry that the buyer is viable and that his funds are liquid.

Cash seems like a really bad option; one worth losing a sale over.

Leader

Another possible way, especially for buyers from out of your area, is to arrange for the shipper to act as the independent "third party."

The buyer wires the full amount to the shipper, who then waits for the funds "to clear" in his account. He then gives the funds to the seller (in a way both parties agree upon - wire transfer, cashier's check, whatever) on the day he picks up the car - at which time the seller signs the title.

The shipper then takes possession of the car for transfer to the buyer. Some shippers might charge a reasonable fee for this added work, but others offer the service as part of their shipping fees.

When I sold my Speedster to a buyer in The Netherlands, this is how the transaction was accomplished. Everybody was happy...although the buyer had to wait several weeks to see his purchase arrive in The Hague, thanks to its journey through the Panama Canal en route to Europe.

FYI - cash is not an option. The American $100-bill is the most counterfeited currency on the planet. I sold a car once on a Sunday to a guy who gave me $14,000 in cash! My 21-year-old daughter at the time said, "Dad, how do you know that cash is real?" I didn't. Thankfully, it was.