Selling car privately & bank drafts

tri3

Hi all,

Quick question on receiving bank drafts when selling your car privately. Basically what is the best/safest way to do this?

Cash won't work as I'm selling for a fairly large amount (over 15k) so it has to be a bank draft or bank transfer. If I can only meet the buyer on a Saturday morning when most bank branches are closed (and thus I cannot physically lodge the draft as soon as I receive it), should I call the bank issuing the draft to verify with them that it is a legitimate draft? Can the issuing bank do that and is it foolproof?

Otherwise can I ask the buyer to send/text me the bank draft number as soon as he has it (which may be a few days before we meet to handover the car)? Then I call the issuing bank to verify that the draft is legitimate? Is that a reasonable request?

Basically at what stage can I be sure the money is in my account and I can then handover the car?

Never sold a car privately so want to make sure everything is above board.

Thanks.

Little Less Conversation

Wouldn't be handing over the car until you have the money and it's been cleared. It's 15,000k, nothing to be messed with and you can't trust people. Let the buyer come back for the car.

biko

Bank transfer is easier and safer imo.
Of course it's best to go together into a bank and lodge the money, there will be cameras etc

McCrack

Cash is king

And it will work for 15k

Just be sensible about it

Del2005

Little Less Conversation wrote: »

Wouldn't be handing over the car until you have the money and it's been cleared. It's 15,000k, nothing to be messed with and you can't trust people. Let the buyer come back for the car.

Be careful of this. Banks like to credit your account with the money ASAP but it's not save till the issuing bank confirms the draft is good. So the money might show in your account after a few days but it's not safe for about a week

Henry Ford III

Verify the bank draft with the issuing bank the day it is issued OP. Confirm the number, amount and payee.

bidiots

At that value, do the transaction at a bank, on a day thats open. If they want the car they will agree to it

CiniO

I still think cash is better option.
Much easier to veryfi if it's forged than bank draft.
Handy and simple.

Stallingrad

For the sake of €15K I'd make the time to meet at the buyers bank and get the draft there and then.

racso1975

I bought car before for 15k. Gave the seller bank draft and came back a few days later for car. Understood the process so wasn't bothered by wait. I think anybody looking to push to get car straight away would be dodge. That said I had met the man at his house etc etc as opposed to a shop or something.

Del2005

Henry Ford III wrote: »

Verify the bank draft with the issuing bank the day it is issued OP. Confirm the number, amount and payee.

Nothing to stop the person cancelling the draft after they hand it over. The only safe way with drafts, or cheques, is to wait for the issuing bank to confirm it after it's been sent back to them.

CiniO

Why do people consider cash as no option with that kind of amounts?

Seems much safer than bank drafts/ transfers/ etc.

Or if not safer, at least instant and reasonably safe.

NewbridgeIR

Bank transfer is safest option - it can't be reversed without your authority.

Then cash.

Wouldn't bother with a draft.

ianobrien

Well, When I was selling, I gave the buyer the IBAN & BIC. I told him to transfer the money and once I had it, take the car away. At worst it's overnight, at best its instant (if the same bank).

The buyer had no problem with that as I couldn't come back and say that you gave be dud notes, or anything like that.

Atlantic Dawn

CiniO wrote: »

Why do people consider cash as no option with that kind of amounts?

Seems much safer than bank drafts/ transfers/ etc.

Or if not safer, at least instant and reasonably safe.

It's a lot of money to be carrying around, either party could feel under risk that the other will try to take the cash from them. Also money laundering issues when lodging that much cash in a bank.

Henry Ford III

Bank drafts can only be cancelled through loss or theft. It's not like a cheque.

biko

As above.

A bank draft means the bank promises to pay the person, not you.
This is why you buy the bank draft from your bank.

First you pay your bank for the draft.
Then the bank pays the person holding the draft.

Turbohymac

As with earlier posters 15k isn't a huge amount these days but it's a lot to lose especially with a fake bank draft...if person buying is genuine simply take a small deposit and let them return with the balance..otherwise I would accept a cheque or draft etc etc..BUT would keep the car until all funds are securely in my bank account.. and yes cash is king but ensure the notes are all genuine..
If the buyer is honest & genuine they should have no issue with one of my payment options above..however if they have issues at least you will still have your assett.. lots of gangsters out there be extra careful...oh and as a previous poster mentioned ensure that funds have actually transferred from the buyer's bank.. otherwise you could be left wondering where your car is a week later .. also delay sending transfer of ownership to shannon until payment is definately gone through..

Mc Love

biko wrote: »

As above.

A bank draft means the bank promises to pay the person, not you.
This is why you buy the bank draft from your bank.

First you pay your bank for the draft.
Then the bank pays the person holding the draft.

You also have to pay a fee when getting one!

Del2005

Henry Ford III wrote: »

Bank drafts can only be cancelled through loss or theft. It's not like a cheque.

And what's to stop the person saying they lost it or it was stolen after they hand it over?

Henry Ford III

Del2005 wrote: »

And what's to stop the person saying they lost it or it was stolen after they hand it over?

Nothing, although that would be fraudulant.

p.s. The issuing bank will have an account and details for the buyer, and they can be chased legally.

Del2005

Henry Ford III wrote: »

Nothing, although that would be fraudulant.

p.s. The issuing bank will have an account and details for the buyer, and they can be chased legally.

The fact that they are trying to get a car without paying shows how much they worry about fraud. In this country there's no real way to chase up private individuals for fraud or theft and the fact that you gave them the vehicle without treat means that you have very little comeback.

Henry Ford III

Del2005 wrote: »

The fact that they are trying to get a car without paying shows how much they worry about fraud. In this country there's no real way to chase up private individuals for fraud or theft and the fact that you gave them the vehicle without treat means that you have very little comeback.

You chase the bank.

p.s. In reality you can go to any branch of the bank and get cash on the spot.

_Brian

Bought a motor during the summer for cash, more than €18k.

Bank we’re very hesitant to give it out to me, j had to insist it was my money and I wanted it.

Gonad

You cannot check with bank if a bank draft is legit as that would go against data protection for them to tell you .

Even if you lodge the draft it takes a few days to clear .

If they are out driving and the gear box goes in the car do you think the buyers are not going to cancel the draft ?

I recently sold my car for that price and we asked the buyers to take draft back to bank and transfer the money directly into my account that morning and I handed the car over only when money was in our account.

Henry Ford III

Gonad wrote:

You cannot check with bank if a bank draft is legit as that would go against data protection for them to tell you .

Nonsense

"Hi could you please confirm that a draft number 63577538 from your bank made payable to Mr. Henry Ford III for €25000 is valid".

There's no d.p. issue there.

Gonad

Henry Ford III wrote: »

Nonsense

"Hi could you please confirm that a draft number 63577538 from your bank made payable to Mr. Henry Ford III for €25000 is valid".

There's no d.p. issue there.

Well then maybe the agents I spoke to on the phone didn’t know what they was talking about. I asked that if I took the draft could I call the bank and check if draft was legit . He advised that with GDPR they cannot confirm that . So the only way you know is to go to bank and lodge it and wait for it to clear .

My question to them was then once I lodged that draft if it could not be cancelled and they said it was not 100 % true . It can be cancelled still . The person just has to bring their receipt to the bank and say they want to cancel it for whatever reason .

Until the money is in your account a bank draft is only apiece of paper . Safer than a cheque but not guaranteed payment .

gwalk

Bank Drafts are pre-paid they clear the same a s a regular transfer

cheques take longer as they have to be presented for payment

Henry Ford III

gwalk wrote: »

Bank Drafts are pre-paid they clear the same a s a regular transfer

cheques take longer as they have to be presented for payment

Correct.

A bank draft is essentially cash.

CiniO

Henry Ford III wrote: »

Correct.

A bank draft is essentially cash.

Essentially yes.
But has this big disadvantage of being hard to verify being real or fake, which cash is easy to check.