Buying a Used car - Payment

[Yellow_Festiva]

Originally Posted by b0son

Any time until the funds clear in your account, it can be reversed.

Guy as in the person from CBA on the phone with me saying the money was already in my account, just not yet visible to me at my end.

[MercuryT]

Originally Posted by b0son

Any time until the funds clear in your account, it can be reversed.

Of course.

I just got paid an insurance payout - funds yet to clear. I won't do anything until cleared for bodywork to start.

When cleared it's mine and can't be reversed without legal action (if fraud etc)

Why a seller wouldn't accept this is bewildering?

[MITCHAY]

I always understood that when you get a bank cheque, that amount was held in escrow by the bank. I have only used twice though for my car and house deposit.

I would not be comfortable with either giving or receiving large amounts of cash. It has it's own risks.

Since I now have online banking only since buying my place, it would be rather difficult for me too

[MercuryT]

[QUOTE=MITCHAY;6471840]I always understood that when you get a bank cheque, that amount was held in escrow by the bank. /QUOTE]

Correct. It might be a paper item but it's effectively guaranteed cash as you can't obtain one without it being approved by the lender.

[Crazy Dazz]

Originally Posted by Dr Terry

These days however a bank cheque can be stopped straight away, like a personal cheque. So the buyer could pay by bank cheque, drive away & stop the cheque before you had a chance to bank it. I've seen this happen several times.

OMG Not this Bull**** again.

You cannot put a stop on a bank cheque. Period.
The cheque is issued by the bank, and once done you have no control other than possession.

Now if say you lose it (or want to claim you have lost it) then the BANK will flag the cheque, but require you to sign a declaration. If it is presented, then the bank will investigate. If you continue to claim that the cheque was stolen, then they dishonour the cheque and call the Police. You will then need to give the police a statement that the cheque was stolen (or lost then stolen) and they will investigate the depositor, and presumably charge them.

If you have lied about it being stolen, you WILL be charged with making a false statement and probably Fraud. Believe me, much like a mother Bear and her cub, the last place you want to get is between a Bank and their money. They carry a LOT of weight with police.

Ultimately, most people are law-abiding in such matters, and at some point you have to trust that things work, and if not the law will take care of them.

Yes, unfortunately there are people that forge bank cheques. Because, lets face it, the world is full of stupid people.
If I'm selling a car, and you are going to steal it, PLEASE do it using a forged bank-cheque. I would much prefer that to any of the alternative methods, breaking into my house and stealing the keys, car-jacking, or just straight out bringing your bikie mates to beat me up.
Not only will you be charged with theft and fraud, but rather than simply looking for a stolen car (something the cops probably seldom bother with) I will have the bank backing me up, and will be able to identify you, and provide not only documentary evidence, but your finger-prints.
Plus, knowing the way our legal system works, you'll probably go to gaol longer for the fraud, than if you had simply bashed me.

Thing is, if people want to sink to these levels of paranoia, then no way should anybody be paying in cash.
Simplest way is online transfer using your phone. Most payments, upto a certain amount, and now almost immediate.

[Yellow_Festiva]

Originally Posted by Crazy Dazz

OMG Not this Bull**** again.

Believe me, much like a mother Bear and her cub, the last place you want to get is between a Bank and their money. They carry a LOT of weight with police.

You would have thought...

I've been monitoring (and providing order information totaling some 70 pages) someone close to me using stolen credit cards on a weekly basis.

All provided to Fraud detectives at a large police station for 7 months now.

Person cottoned on and stopped.

Police said they won't bother to pursue, after all, she 'only' stole between $60-$80k from 50+ victims but banks have not responded to police requests for information and it's simply not worth their while..

Apparently...

[MITCHAY]

Cash isn't foolproof. Nothing to stop you getting rolled or it going up in flames on either end of the deal.

No help through the bank system at all either.

Nothing is 100%, common sense will prevent most problems. And even then you can still get ripped

[MercuryT]

Originally Posted by MITCHAY

Cash isn't foolproof. Nothing to stop you getting rolled or it going up in flames on either end of the deal.

No help through the bank system at all either.

Nothing is 100%, common sense will prevent most problems. And even then you can still get ripped

Unless so dodgy to demand cash only.........it's not the 1970s.

I legit thought he was joking. He didn't find it funny......

Especially when I cancelled immediately to obtain great advice (hence thread)

[jstanovic]

I’ve told buyers they can pay as they like but keys not handed over until funds cleared. If bank deposit and they want it right away I would meet them at the bank and transfer it there.

Sold my last 4x4 for $14k, he deposited cash on Monday, let him know it cleared on Wednesday and he picked up Thursday.
Another car was $8k and he wanted it ASAP so he went to the bank and got cash the next day.

I pay however the seller wants, provided my gut doesn’t tell me otherwise. If the seller is a bit suss I won’t get that car.

You made the right call.

[Yellow_Festiva]

Originally Posted by jstanovic

Sold my last 4x4 for $14k, he deposited cash on Monday, let him know it cleared on Wednesday and he picked up Thursday.

This is the grey area I referred to before.

During this time, who owns the car?

I guess the seller seeing paperwork and physical ownership hasn't changed hands.

You are, (I'm sure) and honest person. Not many buyers I assume will pay for something in full then wait for the seller to confirm payment and finalise the transaction.

I know I wouldn't. If you decide to shoot through or just point blank refuse to hand over what has been paid for who would help you? Police? Doubt it?

[Citroënbender]

I’m one of those type buyers, providing I don’t feel the seller is extracting the urine. It’s up to the buyer to put their case for expediency when terms are being discussed.

[MercuryT]

A Bank Cheque.

Reciept attached for $15 or so.

No car collection until Cheque clears and in their account.

Protects the seller from scams and protects me from driving around with 15K in notes in a bag.

I honestly don't see how it could possible be viewed as negative as protects both parties perfectly.

Christ my State Gov't office doesn't even accept cash any more as so outdated and unnecessary way of payment.

[xxx000]

Originally Posted by MercuryT

A Bank Cheque.

Reciept attached for $15 or so.

No car collection until Cheque clears and in their account.

Protects the seller from scams and protects me from driving around with 15K in notes in a bag.

I honestly don't see how it could possible be viewed as negative as protects both parties perfectly.

Christ my State Gov't office doesn't even accept cash any more as so outdated and unnecessary way of payment.

Why a bank cheque then? Why not a personal cheque?
Under the circumstances you describe I can't see it would make any difference.

Bank cheques used to have cred and were the top shelf way to pay many many years ago.
The ease with which they, and similar paperwork, can be reproduced has meant that there use is now very limited.
I find it interesting that some on here are very fearful of carrying large amounts of cash around to pay for a car yet do limited or no real checks to confirm that the car they're buying is a rebirth or similar.
Another issue to consider when buying by cheque or other method that requires waiting for funds to clear is that the seller may during that time put the car under finance.
When you pay cash and at the same time get your REVS or PPSR certificate you are protected from repossession. That protection doesn't apply days later

[Spammy]

In reality bank chqs are no safer than a personal chq.

[FTE217]

Originally Posted by MercuryT

Mate I just sold my house.

Liquidity not a problem. Just thought I'd buy a toy before reinvesting into housing.

Dealing with sellers who worry the s^it out of me, and are aggressive over the phone is however a problem........

He owns a S500 Benz with AMG options - he can't be 95 and not understand electronic transactions......

Hey MT, my comment was a general pov not pointed towards you fyi.

As for the topic once again, the ONLY issue I see about the seller is regards his aggressive nature as you've reported.
He wanting cash only as I've said isn't a total deal breaker to me IF you or any person wants that car he's selling, his agressive nature if me in discussion with him I would have just said, ok mate thanks but no thanks see ya later.

Whats the issue for some about a seller wanting cash only ?
I know quite a few HONEST people who buy and sell, cash is their choice.
Not every person is a crook so to speak.
If you've dotted your i's crossed the t's with checks on whatever you buy as xxx000 quotes whats the big deal ?
and IF someone else feels fine travelling along with $10 $20k plus in their possesion another were all different - I sure wouldn't be thinking oh I might get involved in accident prior - that its so bad that the ambos and whoever will raid my car, like what kind of negative mind set is this for eg.....
I've also written out reciepts dated, deposit paid balance to pay etcetc....
Nothing is yours till proof paid in full.
Selling privately is alot different comparing to dealing with a State Gov or corporate etcetc.....
This is a friggin mole hill that has become in todays over regulated cocka mani world.
The bloke is just selling a car wanting cash, he's a crook, report him to the ATO.

[nstg8a]

If people are nervous about carrying cash just do the deal at the bank.
Many are open saturdays just to make it even easier.


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[MercuryT]

Originally Posted by xxx000

Why a bank cheque then? Why not a personal cheque?
Under the circumstances you describe I can't see it would make any difference.

Because they're completely different in how obtained and provided?

There is a massive difference.

Sure neither are foolproof but to say no difference is plainly wrong imo mate.

[jstanovic]

Originally Posted by Yellow_Festiva

This is the grey area I referred to before.

During this time, who owns the car?

I guess the seller seeing paperwork and physical ownership hasn't changed hands.

You are, (I'm sure) and honest person. Not many buyers I assume will pay for something in full then wait for the seller to confirm payment and finalise the transaction.

I know I wouldn't. If you decide to shoot through or just point blank refuse to hand over what has been paid for who would help you? Police? Doubt it?

Still mine until I hand over the keys. But as you say, there is definitely an amount of trust needed, depends if the seller is honest, hopefully the interactions you have with the buyer you can decide if it’s suss or not. If you’re not sure, meet at the bank and do it there.

I just tell buyers when funds clear they can have the car. If they want to deposit then wait, pay cash, meet at the bank, bank cheque, whatever it doesn’t bother me, whatever they are comfortable with I just let them know no cleared funds, no car. Never an issue selling a dozen or more cars over the years.

I have paid cash, bank cheque, direct deposit for cars, some wait for it to clear, some don’t. Funnily enough my most expensive purchase ($31k) The old bloke chucked me the keys and said go for it when I test drove it, when I picked it up I gave him the bank cheque, he gave me the keys, easy as.

[xxx000]

Originally Posted by MercuryT

Because they're completely different in how obtained and provided?

There is a massive difference.

Sure neither are foolproof but to say no difference is plainly wrong imo mate.

Originally Posted by GasoLane

I have to ask....it went for only $1000 more than your bid with 20 mins to go. Why not bid the extra $1k ?

I would have thought that if you're dropping that kind of money an extra $1k would be pocket change?

wrong
if in both cases you are waiting until funds are cleared then it's irrelevant how the cheque is obtained or whether it's a personal or bank cheque.


plus you pay $15 for a bank cheque and go through bs procedures at the bank to obtain it.

[raised by monkeys]

Just paid for a car EFT interstate. Risk, but sale appeared genuine and bloke was happy to send immediate requested photos and plenty of phone call contact.

[Citroënbender]

Excellent - if it’s the F6X!

[Crazy Dazz]

TBH I have mostly given up on private transactions for cars, and it isn't the payment, its just dealing with people's crap, and delusions. How often do you see it, old mate wants to sell his car, so he finds the most expensive example at a dealer (one that includes a $5k negotiating buffer) and prices accordingly. Then posts the usual psychotic advert on gumtree:
"I'm only selling cos I got a werk car"
"I don't have to sell so no offers"
"No time-wasters"
"Phone call only cos I don't check my email"

Plus these are usually the same mouth-breathers who have made horrendous "modifications" to the car, then flogged its guts out, and expect you to pay for their mistakes "cos it's rare."

[pauljh74]

Originally Posted by raised by monkeys

Only reason i ask is if sold my car and received cash on the weekend, I wouldn't report. For a car i paid for in cash which was taxed through employment income, and paid tax on products and services spent on the car in the time i owned it, and refuse to pay tax from the sale of the car.

You're assuming cash in from the sale of an asset is seen as income. The ATO would be interested in the sale if you made a profit, and if you did the first one or 2 would probably go under the radar, as selling motor vehicles for profit as a person who isn't a licensed car dealer is highly unlikely.

There's a cost base against the sale price. Which is usually higher than the sell price when it comes to private car sales.

[lance]

Originally Posted by MercuryT

Marty I offered secure electronic trnansfer (i'm with CommBank and it's easy) and collect car after clearance.

He lost it with me again and insisted cash only.

I agree I'm not keen on carrying 15K in a bag......

I pay cash for cars all the time.. Just bought a Zh Fairlane a few weeks ago, flew down, paid $11k in cash and $7k bank transfer. $10k will easily fit in your pocket if you get it in $100 dolar bills, you don’t need a backpack to carry it in.

[FPV414]

Cash is king /thread

[stevanford]

Just comes down to personal preference. I sold a car and buyer direct debited 3/4 of the sale price into my account and gave me cash. Bought cars with bank cheques and with direct deposit.

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[MercuryT]

Originally Posted by FPV414

Cash is king /thread

Maybe for drug dealers sure but safer methods exist to protect both parties.

[MercuryT]

Originally Posted by lance

I pay cash for cars all the time.. Just bought a Zh Fairlane a few weeks ago, flew down, paid $11k in cash and $7k bank transfer. $10k will easily fit in your pocket if you get it in $100 dolar bills, you don’t need a backpack to carry it in.

It's not that you can't carry it.

It's just completely outdated and unnecessary.

I'm happy with cash swapped at a bank withvsecurityvpersonnel, cameras etc. I'm not carrying it around in a car just because the seller stuck in 1973.

[FTE217]

MT, it works both ways no matter changing times or security per say.
DD is just as easy handing over a wad of cash in the hand and if thats not secure you've got fingers missing lol.......
All comes down to how you prefer to deal.
When I've gone specifically to shop a car after my canvassing and you come down to negotiating the deal, nothing like having a handfull of green saying take it or leave it, haven't had 1 bloke or gal say, oh please thats unsecure can you arrange electronic payment I'll take your offer in the hand !
Buying the Sprint from new the buggas want to fleece you preffering buyers to take options of their loan schemes, didn't need it, here's my final offer you take ? at that amount it was a DD in full at a price I was damn happy with they probably not
You see either we see $ther its not about being outdated.

[raised by monkeys]

Buying in cash shows youre serious. Money talks. Can negotiate better with a pocket full of pineapples