Selling a vehicle can be a rewarding experience. However, if you are planning to sell the vehicle over the internet, you will have to guard yourself from being scammed. Thankfully, there are some inexpensive ways that will make it possible to avoid such a situation.
Before addressing how not to get scammed, it is important to understand how one can get scammed. The most commonly played tactic in such a situation is using a cashier’s check. There have been times when a cashier’s check has been sent by a person claiming to purchase the car is often counterfeit. This will result in a great loss of money. To avoid such situations there are a few important factors that will eliminate the occurrence of a possible scam.
- The online platform is a place where you can describe the condition of the vehicle. It is a good habit to sell the vehicle to a person who has seen it. You may also get a bit suspicious when someone does not ask for a test drive or does not want a local mechanic to look at the car.
- Do not let emotions play during transaction. Even if the buyer seems to be honest make it a point to accept only a cashier’s check as there is a lot of money at stake. Do not let the buyer make excuses in the end. You can also include this point as a condition when advertising the car over the Internet.
- Do not allow the buyer to make the transaction in installments. Even though he or she may seem to be honest, try avoiding installment payments. Once the title has been signed, the vehicle ownership is transferred to the buyer there is nothing that you can do about it.
- It is a good process to wait until the cashier’s check is legitimately confirmed. The title transfer process can be carried out after this procedure is fulfilled.
- Running a background check on the purchaser is a good option to avoid getting scammed. Information about criminal records, current address, bankruptcies, and civil court proceedings can be retrieved in this procedure.
- Third-party transfers such as, Escrow can be brought into the whole act. The third-party will collect the entire amount and hold the same. They will follow the instructions that are set by the buyer as well as the seller. This allows for a clean transaction and avoids any last minute scams.
Dealers may even try to add more cost to a vehicle with “dealer prep” and delivery charges. Both of these are gray areas that a dealer can add profit to a vehicle and you should negotiate hard to avoid paying these.
There may also be unadvertised rebates available to the dealer to help motivate them to sell a particular model of car. You can find out about these on the web as well and use this information when you are negotiating.
There is also another secret incentive called “holdback” that many factories will pay a dealer when he sells a particular car. It is always a good idea to confront the salesman about this to keep them honest. While they may not release this holdback to the buyer, it should make them negotiate more fairly on the final price of the vehicle and lets them know that you are an educated buyer. Information on these holdback rebates is also available on the web.
Another place that there are a number of auto dealer scams is with the financing on a vehicle. The truth is that they make a profit in several ways on doing this financing for you and this can be substantial for them. They may be paid a flat fee for closing the financing on a car sale by the finance company they use, and they could also be paid a percentage of the interest as well. Either way, this means you’ll end up paying more than you should if you choose this financing.
Another one of the auto dealer scams you should be on the lookout for is when a dealer tries to negotiate the financing based on a monthly payment. The danger is that you only focus on the payment and miss the interest rate or terms, which the dealer will adjust to their advantage. You can also find out more information about motor vehicle laws in NSW by visiting fair trading’s website.
To avoid falling victim to potential auto dealer scams and high costs of financing through the dealership, explore all of your financing options. By reading a good car buying guide you can prepare yourself with good information and know what your options are. This will educate you on the tricks employed by the dealer and for the small investment in a good guide you’ll walk away paying a lot less and feel good knowing you made a much better financial decision.
Now that your ready to sell a car for cash and need to deal with a reliable and hassle free company then much give active car removals a call.