Selling a car on ebay, or any motorized vehicle. If you have a buy-it-now price ALWAYS REQUIRE PAYPAL DEPOSIT.
To authenticate your sale, include a scan or picture of the title with the official information on it. You may want to black out the current owner information for privacy reasons. This asures the buyer of a bonafide deal and that you are not a scamer. Be sure to watermark your selling identity over the image of the title and car pictures to prevent scam artists from using them to sell cars they don't have. Since ebay keeps the picture file live for 90 days after the listing ends, it is available to the world.
Always require a deposit by Paypal for ALL buy-it-now listings to STOP the scamers. Without a deposit, scamers will buy-it-now, send a fake cashiers check for more than the price of the car, then ask you to write them a check for the difference and send it to them. They may never pick up the car. But they will cash your check. Should a scammer show up with a check for more than the price of the car. They will try to leave with your refund check, the car and the title. Not a good feeling a few weeks later when the bank notifys you that the cashiers check is no good. Scams are perpetrated by people of all races, religions, male and female. Don't let a smiling friendly face take your money and vehicle.
They are coming to you. Collect cash upon pick up. Never take a check, of any kind, from anybody, for any reason. Checks are only worth the paper they are printed on. Unless you have the SAME bank and go there to confirm availablity of funds and transfer them, do not accept a check.
Received a deposit by paypal? Be sure to get a copy of the buyers drivers license via FAX or picture by email (print the email). Have them sign it when they pick up the car. You will want to know it is the correct person picking up the car and should a Paypal chargeback be made by the buyer after they get the car HOME, you will be able to prove it was picked up. You should do this no matter what. If the vehicle is involved in any future incident, wreck, crime, whatever, you will need to prove it is not yours anymore. You are the owner of the vehicle untill the buyer processes the title into their name. Untill then, you are the owner of record with the government. Paypal will accept a FAX of the buyers license as proof of DELIVERY. You can't fake that.
Shipping the car? Have their bank transfer funds directly to your account. By using a swift number, the buyer can deposit funds directly into your account. Contact your bank for the number. In the USA your bank will charge a fee for this service. Around $12. Don't worry, they cannot remove funds with that number since the routing number is an IN number prefix not the OUT. Get documentation from the buyer as to who is coming for the car. Then document the transport company name, truck, driver, phone number, license plate number of the truck and or trailer. Take a picture of it on the truck before it leaves.
Only accept a cashiers check from YOUR banking system. Only make delivery of a vehicle during banking hours to verify the check is good. If they have the same bank, do a in-bank transfer. If they go to their local area branch of your bank, be sure to have them come with you to your local branch to deposit the check. WHY? because a fake is so easy to make these days it will be weeks before your bank tells you it is no good.
Amounts less than $4000 should be no problem to get cash. Watch out for fake 100's. Look for bills with the identical serial numbers. Look for the watermark in new bills. Get a bill marker pen from the office supply store (~$6) , have it on hand, check each bill with it. You can now buy for about $25 a bill checker that uses a UV light to floress (illuminate) the colored security strip in the new bills, white light to see the watermark portrait, and a magnetic ink detector. That strip in the bill that says its denomination 100 50 20 10 5 will change color under a blacklight (uv), there is a watermark of the same portrait of each bill and the ink is magnetic, just like your checks and deposit slips (thats why you can't use a photo copy to make a deposit).
Have any doubts buying or selling? Ask questions, ask lots of questions. Sellers should be able to give you more pictures (if they really have posession of the car) and bidders should be able to verify their identity (google their name, use superpages.com and backtrace phone numbers and addresses).
Buyers:
The above applies to you. You can use the vehicle identification number to run a check on 1981 and newer vehicles with a service such as carfax.com or you can even call your local police department, give them the vehicle identification number. They can check it to be sure it is not stolen. Yes, people with possession of a car that does not belong to them may try to sell it. Law enforcement MUST run that check for you, it is their job. It may be a boyfriend, girlfriend, spouse, relative who has run off with a vehicle and is selling it.
No title, no excuses. Do not take delivery of the vehicle. Do not pay for the vehicle. You will never see a title. No matter how old a vehicle is, be sure to check the title for lien holders or secured interest parties. These are banks or lending institutions recorded on the face of the title. If the lien is paid, they will have endorsed the title document with PAID or RELEASED. Some states like Maryland issue a seperate SECURITY INTEREST FILING which looks just like the title. There is a place to release the lien on the face of this document. It needs to be with the title. This is a 2 part document system. Any doubts, ask questions. Used car dealers in your state or the sellers state should be able to advise you. Should the vehicle have a lien that is not paid, and you buy the car, you will have to pay off the lien before the lien holder releases the lien. This could be as little as few hundered dollars in late fees and interest unpaid for years or thousands owed because a payment was never made on the vehicle. See a lien and no official release. DO NOT PAY FOR THE VEHICLE. A lien on the title with a release is a CLEAR title. Letters from the lien holder (usually a bank) releasing interest in the vehicle is acceptable. There is usually a phone number you can call and confirm the release on this letter.
Is someone elses name filled in on the back of the title (or front in some states) as a buyer? This title is missassigned. The person written onto the title will have to get a title in their name FIRST. This may take weeks in most states. DO NOT PAY FOR THE VEHICLE. Or a Bill-of-Sale trying to cover this or transfers/reassignments by people who are not licensed used car dealers will not be accepted when you go to title the vehicle in your state. Is any information crossed out, whited out or blacked out? DO NOT PAY FOR THE VEHICLE. This is an altered document. A new or corrected title will have to be obtained.
Always compare the vin (vehicle identification number) or serial number of the title to the car. The last 8 digits MUST match on 1981 and newer vehicles. If there is a mistake in the first 9 digits, say 8 for B or 3 for E, W for V, U forV, it can be corrected when you apply for title. The first 9 digits are encoded by vehicle manufacture for country, manufacturer, engine, seatbelt, 2wd, 4wd, etc. Mistakes are most often made by typo.
Vehicles older than 1981 cannot be carfaxed and have less than 17 digits. ALL digits must match.
Thanks for reading
Questions, please contact me and I will update this guide with more information.
Mark


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