How can I guarantee payment when selling my car?

What is the best way of getting paid when selling a vehicle privately and to a dealer? Many thanks.

Asked on 4 November 2020 by grandfather

Answered by Dan Powell
Cash is the time-honoured way to pay for a used car because it’s instant for both parties. This makes it very convenient, but it’s also open to fraud with fake notes. If a buyer wants to pay cash, ask them to hand it over at a local bank where it can be counted and checked that it’s genuine. An honest buyer will have no problem with this, but don’t hand over the car keys and documents until the money is in your account.

Dealers tend to perform a bank transfer via BACS or CHAPS. This is the safest way to transfer money between the buyer’s and seller’s bank accounts. It can be completed online quickly and the transfer is instant, so it saves carrying a wad of cash and once the money has been transferred it cannot be reclaimed by the buyer. As with all such dealings, only give the buyer your bank account and sort code numbers as they are what's needed to make this type of transfer. When the money appears in your account, it’s safe to hand over the keys and car documents.
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