Buying off CL and the buyer wants cash

[KennyG]

Just something to keep in mind about a cashier's check. From my experience, even once the bank confirms that it's legit, they will only give you a certain portion of the money immediately deposited into your account, the rest will be held for up to 10 days until the check actually clears. The last one I had received was a check for 15K, I was only able to get the first 5k immediately and the other 10k was held until the check cleared. During that transaction, I met the buyer at the bank and we brought his cashier's check into the bank together.

Another option is a payment app, there are several out there now which allow direct Bank transfers. The one I use is Zelle. It's easy to set up the app/account and it links directly to your bank account. Once you set the account up you can transfer money from one person to another through the app. It goes directly into the bank account. I don't know if there is a ceiling on the amount you can transfer, all the ones I have done have been under 1K, but check into it and see if you can do as high as 10K. That way you don't have to carry any cash, and the money goes straight into the buyer's bank account. You guys can stand there with your phones and it should show that he received the money within a couple minutes.

Zelle works really well but mine is limited to $2000 per day.

 

[EddieWalker]

It's been a very long time since I've sold or bought anything from a private person of any significant amount. The last time I sold a house, the buyer paid for it with a cashier check from B of A. The title company said that they would issue me a check for what I was owed in a week. They have to deal with so much fraud out there that they no longer write checks to sellers based on the cashiers check being legit. Only after it clears will they issue a check. I would not trust a cashiers check.

Cash in large amounts makes me nervous. There are stories in the news all the time about somebody going to buy something and getting mugged instead. There is a recent news story about Hispanic people being targeted when buying used cars. They are told to meet in Houston, which is 4 hours away, to pick up the car after paying a deposit. I know that nobody here would do that, but there have been so many Hispanic people that have done it that it's become something that the local news is warning people about.

I've wondered about how to pay for a tractor too. If the seller owes on it, how do you know that they will pay off the balance? What happens if they do not pay off the balance? Can the bank repo it from you if they find out that you have it? Like if you take it in for service at the dealer, and the dealer runs the numbers, and it comes up as not being paid for?

If you buy and finance a tractor through Kubota, or Deere, or whoever. How do you go to make sure it's paid off when you take it home?

I like the idea of meeting at the bank and doing the transaction inside the bank, but if it's financed through Kubota, what bank do you meet at?

 

[Oaktree]

About 10 years ago I bought an antique car in a private sale (not thru CL or any other online classified...I heard about it the old fashioned way, parked on the side of the road with a "for sale" sign on it). The seller was ~80 mi. away in a different state, wife & I went on a Sunday to look at it and after a drive decided to buy it. My plan was to offer a personal check for a deposit, he'd keep the car until I came by later in the week with cash/bank check for the full amount, then tear up my check. Much to my surprise, after discussing it with his wife the seller said he'd take a personal check for payment in full, even let me drive it home with his plates on it!! No title was involved, since neither his state nor mine issue titles for vehicles over 25 yr. old.
I guess I have an honest face or something! :thumbsup: I made sure the full amount was transferred to my checking account as soon as I got home!!

It's been a very long time since I've sold or bought anything from a private person of any significant amount. The last time I sold a house, the buyer paid for it with a cashier check from B of A. The title company said that they would issue me a check for what I was owed in a week. They have to deal with so much fraud out there that they no longer write checks to sellers based on the cashiers check being legit. Only after it clears will they issue a check. I would not trust a cashiers check.

I bought my present house outright in 2005 (ie-no mortgage). We met at the lawyer's office, I gave my lawyer the bank check, he passed it to the seller's lawyer who passed out checks to the sellers & the realtor on the spot (I paid my lawyer separately). Apparently fraud isn't/wasn't a big problem here. I don't remember anyone leaving the room to verify the check, though I guess they could have.

Wasn't aware you could stop payment on a cashiers check.

 

[dfkrug]

Another option is a payment app, there are several out there now which allow direct Bank transfers. The one I use is Zelle.

Zelle is a "free" payment service owned by the Big Banks. Their own website says it is not for paying those you do not know, as in buying something from a stranger on Craigslist. Both sender and receiver have to be registered on Zelle.

If you do know someone, you can execute a PayPal friend-to-friend transfer for no fee. Works great.

RE buying any name-brand used tractor, I always contact a dealer of that brand to get records on it: Kubota, Deere, etc. They have always been cooperative, and I have found very interesting histories in the past. They also operate stolen equipment databases. Any lien is supposed to be registered with the state.

 

[TSO]

Zelle is a "free" payment service owned by the Big Banks. Their own website says it is not for paying those you do not know, as in buying something from a stranger on Craigslist. Both sender and receiver have to be registered on Zelle.

The reason they say that is because they do not protect or offer any kind of remediation, the sender or receiver, from any type of fraud or civil liability. Essentially they are saying, send the money at your own risk. There's no difference with using Zelle to send money to a stranger, or giving them cash directly.

And yes, like I said, you each have to set up a Zelle account and Link it to your bank account.

But as another poster already stated, it's a moot point since there is a ceiling on the amount of money you can transfer in a day thru Zelle... In this case, the sales amount vastly exceeds the ceiling limit.

 

[TractorNH]

I've wondered about how to pay for a tractor too. If the seller owes on it, how do you know that they will pay off the balance? What happens if they do not pay off the balance? Can the bank repo it from you if they find out that you have it? Like if you take it in for service at the dealer, and the dealer runs the numbers, and it comes up as not being paid for?

If you buy and finance a tractor through Kubota, or Deere, or whoever. How do you go to make sure it's paid off when you take it home?

I like the idea of meeting at the bank and doing the transaction inside the bank, but if it's financed through Kubota, what bank do you meet at?

How do you know if they're even being honest about having a loan on it and just not telling you? They could just say they own it and yes, if you bring it in for service or if the serial number is ever checked then it can absolutely be repo'd and you would be the one to lose. This is the biggest problem with tractors not having titles like automobiles. It worried me enough that it was a big factor in my decision to buy new from a dealer.

 

[SirMaxwell]

It's been a very long time since I've sold or bought anything from a private person of any significant amount. The last time I sold a house, the buyer paid for it with a cashier check from B of A. The title company said that they would issue me a check for what I was owed in a week. They have to deal with so much fraud out there that they no longer write checks to sellers based on the cashiers check being legit. Only after it clears will they issue a check. I would not trust a cashiers check.

Cash in large amounts makes me nervous. There are stories in the news all the time about somebody going to buy something and getting mugged instead. There is a recent news story about Hispanic people being targeted when buying used cars. They are told to meet in Houston, which is 4 hours away, to pick up the car after paying a deposit. I know that nobody here would do that, but there have been so many Hispanic people that have done it that it's become something that the local news is warning people about.

I've wondered about how to pay for a tractor too. If the seller owes on it, how do you know that they will pay off the balance? What happens if they do not pay off the balance? Can the bank repo it from you if they find out that you have it? Like if you take it in for service at the dealer, and the dealer runs the numbers, and it comes up as not being paid for?

If you buy and finance a tractor through Kubota, or Deere, or whoever. How do you go to make sure it's paid off when you take it home?

I like the idea of meeting at the bank and doing the transaction inside the bank, but if it's financed through Kubota, what bank do you meet at?

I see alot of people trusting cashier checks, but as noted, many pitfalls. All those pitfalls are cleared via Escrow. It seems everyone believes that Escrow is only for real estate, but that is simply not true. Any transaction can be cleared via Escrow. Escrow company gets money from buyer, verifys and 'clears it', seller is given goods. Checks that good meet preset conditions. Clears goods. Escrow releases cash to seller. Protects both parties. Cost very little (I always split the escrow cost).

 

[buckeyefarmer]

I see alot of people trusting cashier checks, but as noted, many pitfalls. All those pitfalls are cleared via Escrow. It seems everyone believes that Escrow is only for real estate, but that is simply not true. Any transaction can be cleared via Escrow. Escrow company gets money from buyer, verifys and 'clears it', seller is given goods. Checks that good meet preset conditions. Clears goods. Escrow releases cash to seller. Protects both parties. Cost very little (I always split the escrow cost).

Who does escrow service?

 

[Thomas]

That kind of cash I would hold the meet and greet secure location for such transaction.

 

[SirMaxwell]

Who does escrow service?

All the big boys certainly, but I like Escrow.com. I've used them half a doz times with no drama, smooth and clean. By way of disclosure, I am not affiliated nor have anything to do with Escrow.com. I've simply used them in the past, and will in the future. As always, YMMV. Check their site, call them with questions.