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Ole Red 29 · 03-12-2021, 07:27 AM

I have sold and bought vehicles for cash multiple times. Once a buyer asked to pay with check and I told him I would retain the title and mail it to him after the check cleared. He elected to pay cash. I like the idea of meeting at the bank if cash is a problem.

Montecfo · 03-12-2021, 07:43 AM

Quote:

Originally Posted by John Galt III

I'm selling a car now on Craigslsit. I'm only asking $1,900. I want to say 'cash only' in the ad. Is $1,900 too much for people to pay in cash? I notice nobody mentions 'cash only' in the other car ads for the same price range.

It's totally fine. I would expect to pay cash. Have sold cars for that much cash.

Big_Hitter · 03-12-2021, 08:12 AM

Quote:

Originally Posted by Ronstar

I'm selling my 2001 corvette sometime this year. Just wondering what would be the safest way to take payment. Cash? Cashier's check?

or some type of online $ transfer?

It will probably be around $13,000.

I don't want to get ripped off by counterfeit cash or a fake cashier's check.

I've sold/bough several cars privately in the last few years

one I took a cashiers check for from a guy who flew in from vegas to buy a subaru and drove it back - probably not a smart move but the check looked real and it cashed

two I paid $8500 cash for a 95 firehawk, on the sellers insistence

three I got a cashiers check from chase to buy a subaru privately from a local seller

I would have him pay cash or get a cashiers check from the bank with a receipt

$13K isn't exactly a briefcase full of cnotes - it will fit in your pocket

REWahoo · 03-12-2021, 08:18 AM

The only way I would accept a cashier's check for payment is:

1. Go to the buyer's bank/CU and be present when the bank issues it
2. Determine the name of the issuing bank/CU, independently look up the phone number, and call to get confirmation the cashier's check was issued to the buyer.

A few years ago I sold a boat to an out of town buyer, and did the "call the bank" option. The bank branch person did confirm for me the check had been issued to the buyer.

Car-Guy · 03-12-2021, 08:23 AM

I've bought and sold a lot of cars over the years.... With dealers, I always pay with a check. With individuals it's usually cash unless I know the person (which happens a lot with collectables) then I'll take a check. Actually cash over 10k can be a "minor" problem. CTR's, SAR's... But if your bank knows you then it's usually not even mentioned...

Big_Hitter · 03-12-2021, 08:47 AM

Quote:

Originally Posted by Car-Guy

Actually cash over 10k can be a "minor" problem. CTR's, SAR's... But if your bank knows you then it's usually not even mentioned...

good point, forgot about that

CRLLS · 03-12-2021, 09:53 AM

Cash transactions over $10k don't need to be deposited all at once. I don't know how much time must elapse before it triggers a flag somewhere. If someone knows, please respond. I would think the results of one car sale would not be a problem.

Even if some deposit(s) were to trigger a flag, it doesn't mean that the feds will automatically come and take all of your possessions. Now if you were depositing >$10K on the 1st day of every month, suspicions may be raised.

OldShooter · 03-12-2021, 09:57 AM

Yup. Meet at the bank. Another caution: Consider meeting at the DMV to transfer the title. I sold a car one time and they guy didn't bother to transfer the title. He also had a habit of collecting parking tickets. Fortunately in our state there is a little tear-off coupon on the title that the buyer signs and leaves with the seller. That was, literally, my Get-Out-of-Jail-Free card.

W2R · 03-12-2021, 10:03 AM

I go the expensive route to avoid all this hassle. Since I always buy my cars brand new from the dealer, I just trade in my old car. It becomes part of the negotiating process so how much I lose by doing this, is unknown.

Ask me if I care.

It lowers my stress level and I only do it once in every 10-15 years. BTD

idledancer · 03-12-2021, 10:04 AM

Quote:

Originally Posted by Ole Red 29

I have sold and bought vehicles for cash multiple times. Once a buyer asked to pay with check and I told him I would retain the title and mail it to him after the check cleared. He elected to pay cash. I like the idea of meeting at the bank if cash is a problem.

I wouldn't let someone drive off with my car while I held the title. A bogus check can take weeks to bounce, even if your bank makes the funds available to you in a few days, they can easily claw it back.

Livefree · 03-12-2021, 10:23 AM

Quote:

Originally Posted by W2R

I go the expensive route to avoid all this hassle. Since I always buy my cars brand new from the dealer, I just trade in my old car. It becomes part of the negotiating process so how much I lose by doing this, is unknown.

Ask me if I care.

It lowers my stress level and I only do it once in every 10-15 years. BTD

With this method, I believe you only pay sales tax on the difference between the trade in value, and the new car price, so you save some that way.

W2R · 03-12-2021, 10:40 AM

Quote:

Originally Posted by Livefree

With this method, I believe you only pay sales tax on the difference between the trade in value, and the new car price, so you save some that way.

Oh cool! I didn't know that.

Sales tax here is 9.2%.

**braumeister** · 03-12-2021, 10:45 AM

You need to look into that because states differ in how they treat it. In my state sales tax is paid on the full price of the car, regardless of trade-in credit.

W2R · 03-12-2021, 10:53 AM

Quote:

Originally Posted by braumeister

You need to look into that because states differ in how they treat it. In my state sales tax is paid on the full price of the car, regardless of trade-in credit.

Here you go:

https://www.caranddriver.com/researc...car-sales-tax/

Quote:

How are car trade-ins taxed in Louisiana?
Louisiana does not require the value of your trade-in to be subjected to sales tax. For example, if you trade in your current vehicle and receive a $7,000 credit on a new vehicle that costs $20,000, you would only be required to pay sales tax on $13,000 for the new vehicle.

**braumeister** · 03-12-2021, 10:57 AM

Quote:

Originally Posted by W2R

Here you go:

https://www.caranddriver.com/researc...car-sales-tax/

Sorry, that's not enough to get me to move.

W2R · 03-12-2021, 11:04 AM

Quote:

Originally Posted by braumeister

Sorry, that's not enough to get me to move.

Believe me, I get it! I love living in Louisiana but all the "where to retire" articles say this is the worst place ever.

Ronstar · 03-12-2021, 11:05 AM

Wow - lots of great tips here. Thanks everyone. I'm definitely going to want to meet at the bank.

As to trading it in instead of selling - I'm buying a new Ford Bronco in Iowa from a dealer. Not sure when it will come in. Chances are it will be winter, and the corvette doesn't go out in the winter. So I'll sell the car this summer and drive my truck until the Bronco comes in.

I think Illinois law has recently changed - the tax on the purchase of a new vehicle is now on the amount of the new vehicle regardless if there was a trade in or not. The trade in value is no longer subtracted from the new vehicle amount in calculating tax. Dealers were lobbying to reverse this, but I don't know if that got done.

CRLLS · 03-12-2021, 11:46 AM

Quote:

Originally Posted by Ronstar

Wow - lots of great tips here. Thanks everyone. I'm definitely going to want to meet at the bank.

As to trading it in instead of selling - I'm buying a new Ford Bronco in Iowa from a dealer. Not sure when it will come in. Chances are it will be winter, and the corvette doesn't go out in the winter. So I'll sell the car this summer and drive my truck until the Bronco comes in.

I think Illinois law has recently changed - the tax on the purchase of a new vehicle is now on the amount of the new vehicle regardless if there was a trade in or not. The trade in value is no longer subtracted from the new vehicle amount in calculating tax. Dealers were lobbying to reverse this, but I don't know if that got done.

I heard that too. From what I can gather, starting Jan 1 2020, sales tax is charged on trade-in values over $10,000. I haven't bought a car in the last 2 years and do not think I ever traded in a car worth >$1,000.

travelover · 03-12-2021, 11:54 AM

When I bought my Casita travel trailer I found that the seller's credit union and mine were affiliated, so we went to their credit union and the cash was withdrawn from my account and transferred to theirs.