Secure Financial Transaction when Selling a Vehicle

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Secure Financial Transaction when Selling a Vehicle
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When selling a vehicle on eBay, a lot of people are nervous about the financial transaction.  In our opinion, eBay is the best way to sell vehicles.  You do need to be careful because there are a lot of scams out there.  This is our guide to helping you receive full payment for your vehicle when it sells through eBay.

Cash is of course a preferred method of payment for anyone!  When a buyer chooses to pay for a vehicle with cash, we do require that the transaction is completed during banking hours.  We take the buyer to our bank where we deposit and verify the cash is not counterfeit.  It's better to be safe than sorry!

Many people believe once they receive a cashier’s check that the funds are guaranteed.  This is not always true.  First you want to make sure the cashiers check is valid and not counterfeit.  To do this, search for the name of the bank online.  This is very important because if the check is counterfeit, the bank's number on the check will most likely be fake.  Verify with a representative on the phone (or an automated system) that the check is valid for the EXACT amount.  Never accept a cashier’s check for an amount over what is due to you and give the buyer cash back.  This is usually a sign of a scam.

Make sure you know and trust your buyer.  Stop payments CAN be placed on cashiers checks, although it's extremely rare.  The only way a customer can place a stop payment on a cashiers check is if they make a fraud claim.  Check with your local and state DMV first, but you might be able to hang onto the title until the cashiers check clears your bank account.

This is one of the fastest and most secure methods for receiving payment for your vehicle.  The buyer will need to go to their bank and wire the total amount to your bank account.  To do this, they will need your bank information (bank name, address and phone number) and numbers off the bottom of your checks (Routing number and Account Number).  Make sure you trust your buyer before giving out this information.

I highly recommend NEVER accepting personal or business checks.  A buyer can easily take your vehicle and stop payment on their check.  Then you're out your vehicle and the money.  You can always recommend to your buyer that they can get a cashiers check from their bank or simply cash their check and bring you the cash.  You and your buyer can also go to the buyer's bank (during banking hours) and quickly change the check into a cashiers check.

If you have a merchant account or use an online service which allows you to accept credit card payments, be careful when accepting a large payment.  Due to high internet fraud, credit card companies have made it much easier for consumers to charge back (get their money back) for any purchase if they claim fraud.  Credit cards can be a great way to receive a deposit for the vehicle you are selling.

Again, we always recommend accepting some sort of certified funds and always conduct a large financial transaction during banking hours.  We hope this guide helps you receive payment for your vehicle safely.  Happy selling and good luck!

Justin Eveloff
The Internet Car Lot, Inc.

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