So, you're selling your car. You wash and wax it, detail the interior and exterior, carefully make notes of all the features, take great pictures and list it on eBay. Your auction details all the good and the bad and in a few days you have a buyer. Now what? Here's some tips on completing the sale and avoiding big problems.

• Be honest in your description. If there is a problem with the vehicle, tell prospective buyers about it. Many states have laws that govern concealing known defects when selling vehicles, and while they may be difficult to enforce, could still be problematic for sellers should an issue arise.
• If the vehicle was in an accident, repainted, had major chassis work, has a different engine than the original, etc. let the prospective buyer know. Again, misrepresentation of the vehicle could result in problems at the time of delivery to the buyer, or even after. And, negative feedback is just the tip of the iceberg!
• Be aware that cashier's checks and money orders, including those from well known banks and Western Union can, and have been, counterfeited. You could be handed a check, sign the title over to the buyer and then find the check is worthless. It takes several days for the check to clear the banks, so you won't know until your vehicle is long gone, and you receive a letter from your bank telling you the check is no good. To add insult to injury, the bank will also charge you a fee for the bounced check and if you write checks on your account, they could bounce too. The smart thing to do is call the bank the check is drawn on and assure the validity of the check. That does not mean something can't possibly go wrong, but at least you know it's valid when you call. (In Southern California we've had a rash of these scams and some of the offenders are now in custody, but there are many more out there, so beware)
• Do not fall for the scam where someone offers to pay for your vehicle with a Western Union money order and will have someone else pick up the car. Insist on seeing the driver's license of the person who purchases your vehicle and write down the information. Never allow your vehicle to be shipped or picked up without being paid for in full. You don't want to chase people all over the country, or world for that matter, to get your money or your car.
• Don't fall for the scam where someone offers you more money than your car is worth, usually in the form of, you guessed it, a Western Union money order, and will FedEx it to you overnight with the instructions that you refund the excess to them via return FedEx in the form of a money order or cashier's check, or give the excess to their "courier" or "associate" who will pick up your car. In one case you lose the original amount of the money order since it's bogus, plus the amount you send them back and the resultant bank fees. In the second case you lose all that plus your car too! (I have to add that there is absolutely nothing wrong with legitimate Western Union Money Orders. It just seems they are inundated with so many counterfeiters that they pop to the top of the list of bogus paper out there. However it can happen with any paper. The people in Southern California were passing counterfeit cashier's checks written on well known banks.)
• Don't sign a title over unless the vehicle is paid for. Once you sign the title over, in many jurisdictions, you relinquish all rights to the vehicle, and if you don't get paid, even the courts may not be able to get your money for you.
• Write a "Bill of Sale" for the vehicle detailing the condition, mileage, equipment, price, date and time of sale, etc. Sign it and have the buyer sign it. You should each retain a copy for your records.
• Immediately after the sale, file a "Release of Liability" with your Department of Motor Vehicles or other State Agency if required. In California, this releases you from liability if the new owner receives parking tickets, citations or has an accident with the vehicle. This is only effective after the DMV receives the paperwork.
• Notify your insurance company to remove the vehicle from your policy after the sale is complete. Be careful here. If there is the slightest question on the sale, do not remove the vehicle from the policy. If you cancel the insurance and there is a subsequent loss and the sale is somehow voided, you might be stuck with the cost of repairs, the liability and lots more. Ask your insurance agent for their recommendations before cancelling coverage.

Thousands of vehicles are bought and sold with no problems, and unfortunately, some are big headaches for either the buyer or the seller. It makes sense to do what is needed to protect yourself against scams and fraud, because if you don't take the necessary steps to protect yourself, and the buyer, who will?