# Method of payment for selling a car.



## Fraser19 (Aug 23, 2013)

Hey guys,

I am putting my BMW up for sale. I have sold cars before but usually for $3000.00 since those cars were not worth much I could ask for cash. I am selling this car for 13-15k so I don't think the average person will be able to bring me cash. What are the types of payments that I should request for that are secure. I would to completely mortified to get scammed on this car.

My understanding is that bank drafts and certified cheques are ok but I am not really sure. At this point what I have listed is that I am only willing to sell if the buyer and I go to there bank in person and the teller can verify in front of me that the payment is legitimate. 

Any other tips or tricks that you guys have for me that you think may be able to help me out?

Thanks,


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## AltaRed (Jun 8, 2009)

I have not been in this situation (yet), but I think the easiest would be to ask for a bank draft, on which is mentioned the teller's name that issued/signed the bank draft and the teller's business card with his/her phone number so that when you receive the draft, you actually make the phone call to validate the draft. Bank draft and certified cheque fraud is quite alive and well.

OR go to the bank with the buyer and get the buyer's cheque certified in person.


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## fraser (May 15, 2010)

Go to his bank with him at get the draft or CASH. Cash is KING.


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## carverman (Nov 8, 2010)

13K to 15K is a lot of cash to deal with and you would have to deposit back into your bank account again. Even in $100 bills that's 130 to 150 hundred dollar bills. 

That's quite a few bills to count, even if the teller counts it for you in front of you, because as you know, new plastic bills do stick together. 

If it was me, I would insist on a bank draft for the amount, but that has to be done at his bank and it may not be done at the same time when you go there with him, he would probably request his bank to make a bank draft
(or certified check).

Be careful taking any bank drafts directly from the seller as you won't know for sure if the bank draft is fake or not. Once you sign over the ownership, it will be a lot harder to deal with any fraud.


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## Mortgage u/w (Feb 6, 2014)

Bank drafts and certified checks can still be frauded unless you can validate them with the buyer's bank. Cash is great but not all can provide and you will have a hard time depositing more than $10k cash at any institution.

Best method which I have used several times successfully is 'Interac e-Transfers'. The buyer can send you the transfer by email through his online banking site. All you need to provide them is your email address to receive the transfer request. The seller must communicate to you a password he generated in order for you to accept the transfer (security measure). Once you open the email, it will guide you through and direct you to your own online banking. Once you pop in the password, the money is instantly dropped in your account of choice.

Its the best and most secure method and also leaves a trace confirmation for you both. There is no fee for you. There will be a minor fee for the seller...usually $1.00.


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## sags (May 15, 2010)

Do lawyers use email transfers.......or direct deposit for transferring the proceeds from a real estate sale?

Other than cash or possible email transfers, is there any way to avoid the "holding" period by banks. It can range up to 15 business days.

From experience, the banks will still hold "certified" cheques until they clear.


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## Mortgage u/w (Feb 6, 2014)

sags said:


> Do lawyers use email transfers.......or direct deposit for transferring the proceeds from a real estate sale?
> 
> Other than cash or possible email transfers, is there any way to avoid the "holding" period by banks. It can range up to 15 business days.


Lawyers and banks use EFT or wire transfers. EFTs are not available to consumers and wire transfers are costly - in the $40 range. So for consumers, the best method is email transfers; cost is low and there is no holding period.

Using a bank draft or certified chq, there will definately be a holding period unless you have a good relation with your bank and they call the issuing bank.


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## sags (May 15, 2010)

Mortgage u/w said:


> Lawyers and banks use EFT or wire transfers. EFTs are not available to consumers and wire transfers are costly - in the $40 range. So for consumers, the best method is email transfers; cost is low and there is no holding period.
> 
> Using a bank draft or certified chq, there will definately be a holding period unless you have a good relation with your bank and they call the issuing bank.


Thanks for the reply.

Are EFT transfers available from lawyer (real estate trust account) to client (seller of real estate) to transfer proceeds from a real estate sale?


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## nathan79 (Feb 21, 2011)

I agree with the idea of accompanying the buyer to their bank and getting either cash or a draft. Seems pretty foolproof.

Interac E-Transfers also work good, but not all banks offer them, and some have transaction limits. Barring those issues, they can be convenient if both you and the buyer have smartphones because you can do the transaction on the spot (there can be up to a 30 minute wait to receive the email).


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## Mortgage u/w (Feb 6, 2014)

sags said:


> Thanks for the reply.
> 
> Are EFT transfers available from lawyer (real estate trust account) to client (seller of real estate) to transfer proceeds from a real estate sale?


Yes. But most will issue a draft. May be a cost issue....you know lawyers.....


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## PoolAndRapid (Dec 3, 2013)

..


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## james4beach (Nov 15, 2012)

Go to the bank together and get it in cash. On a demand deposit accounts like chequing accounts you can demand the bank give you the cash, there are no maximums.

Plus it makes the bank sweat a little, which is always healthy. I'm sure they have plenty of cash on hand, right? The buyer can call ahead to make sure they do.


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## Fraser19 (Aug 23, 2013)

james4beach said:


> Go to the bank together and get it in cash. On a demand deposit accounts like chequing accounts you can demand the bank give you the cash, there are no maximums.
> 
> Plus it makes the bank sweat a little, which is always healthy. I'm sure they have plenty of cash on hand, right? The buyer can call ahead to make sure they do.


I have had them deny me before for large cash withdraws. Given that I live in a small city 30,000 people I doubt there will be much of a success for a 15,000 cash withdrawal. Although I would like to have 15k in my pocket for a few moments.


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## james4beach (Nov 15, 2012)

They shouldn't deny large cash withdrawals -- they don't have this right. They are *required* to return your money when you ask for it. People used to routinely withdraw amounts like 5k back in the 1980s. Just inflation adjusting that makes it 15k today, it's not a lot of money.


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## james4beach (Nov 15, 2012)

By the way, a bank account is the bank's liability to you. If in fact they refuse to pay you the money, they are defaulting on a debt to you and this is a serious failure.

The public should be made aware of the default. You can write a letter and come back to the forums to post details: time, date, amount, branch address, manager's name, the reason they gave for defaulting on their obligation to you.

Don't let them get away with it. Would they let you get away with not making a mortgage or loan payment on time?


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## carverman (Nov 8, 2010)

james4beach said:


> By the way, a bank account is the bank's liability to you. If in fact they refuse to pay you the money, they are defaulting on a debt to you and this is a serious failure.
> 
> The public should be made aware of the default. You can write a letter and come back to the forums to post details: time, date, amount, branch address, manager's name, the reason they gave for defaulting on their obligation to you.
> 
> Don't let them get away with it. Would they let you get away with not making a mortgage or loan payment on time?


Some branches dont carry that much cash at the teller's wickets. You need to go into the branch first and fill out a withdrawal slip and come back to pickup up the cash a day or two later.



> While there isn’t a specific limit to the amount you can withdraw at a branch, the branch is only able to provide the cash that they have available. If you’re planning a large withdrawal, I recommend contacting the branch a few business days in advance to advise them of your needs, and to ensure you can be accommodated.


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## My Own Advisor (Sep 24, 2012)

Definitely do e-transfer or half and half, the other being a bank draft. Step # 1, 50% deposit via e-transfer. Cash in hand. Step # 2 is bank draft.


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## Mortgage u/w (Feb 6, 2014)

james4beach said:


> By the way, a bank account is the bank's liability to you. If in fact they refuse to pay you the money, they are defaulting on a debt to you and this is a serious failure.
> 
> The public should be made aware of the default. You can write a letter and come back to the forums to post details: time, date, amount, branch address, manager's name, the reason they gave for defaulting on their obligation to you.
> 
> Don't let them get away with it. Would they let you get away with not making a mortgage or loan payment on time?


Good luck doing that! Its a known fact banks don't carry large amounts of cash. I worked at a large branch back in the day and the daily cashflow was kept at a low. We would submit accumulated cash to the treasury bank twice a week. We had just enough money to fulfill our regular and daily customers. A few odd days where large withdrawls were requested and then we would deny some customers. Sounds weird but I think its even weirder having a surplus of customers requesting withdrawls over $10k each. All this to say, you will not be refused a withdrawl....just deferred. Make the request and come back later!


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## financialuproar (Jan 26, 2010)

FWIW, I've never had a problem with getting access to the cash from a bank draft right away. And like others mention, a phone call to the bank that issued the draft will ensure it's not a fake.


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