If you bought a car privately with a personal cheque...

[nsa]

...when would you expect to get the keys and V5? When the cheque clears in the seller's account, right?

In the meantime you get a receipt from the seller. Anything else?

A friend's question but I'm curious what people think. I personally wouldn't pay or accept a personal cheque as payment, but it's done now.

[Cupramax]

I wouldn't buy a car with a personal cheque either. I'd pay by bank transfer and take the car away there and then.

[Krikkit]

I wouldn't expect it until the funds have cleared fully into the seller's account, although I'd want my receipt too.

Having said that I'd take a laptop and pay via FPS through internet banking instead.

[Prof Prolapse]

Can't you cancel a cheque within 15 days or something?

[JR]

Prof Prolapse said:

Can't you cancel a cheque within 15 days or something?

IIRC it's ten working days.

I bought a car like that about three years ago. We agreed on a deposit slightly more than I wanted so I said I'd give them a cheque for the deposit; then I thought that if we have to wait for the deposit to clear I may as well write a cheque for the full amount, thinking that it would clear in three working days. The seller's bank manager advised otherwise and I had to wait a fortnight to collect the car. You live and learn.

[mat205125]

I'd never buy nor sell a car with a personal cheque, especially privately.

If the value is comfortably low enough (very subjective), then cash remains king in my opinion.

I'm not 100% sure of the potential danger of selling a car to someone and accepting a bankers draft or online transfer to be honest - can either of these be recalled after the buyer has driven off?

I'd prefer a card in the machine debit / credit card payment for buying from a garage to be honest, however admit that this isn't practical for a private transaction.

[Jasandjules]

Cupramax said:

I wouldn't buy a car with a personal cheque either. I'd pay by bank transfer and take the car away there and then.

This.

Or cash.

[falkster]

Cupramax said:

I wouldn't buy a car with a personal cheque either. I'd pay by bank transfer and take the car away there and then.

This, don't think anyone would take a personal cheque. I would but you'd be waiting a couple of weeks longer for the car.

[nsa]

Thanks. Confirmed my thoughts, although I didn't know about the ten day thing. Much appreciated.

[Z4monster]

After I sold a car and took a personal cheque, I phoned the bank to ensure everything was OK. The guy was coming back a week later to collect the car. I was the funds were available. When I asked if the cheque had cleared I was told that no bank will ever give you that guarentee as things can go wrong in the process.

Basically a cheque isn't worth the paper it is written on as a guarentee of payment. Even six months later it can be withdrawn from your account. If the cheque bounces, it gets sent back to the presenting bank by 1st class post and can get lost in the postal system. So at any time in the future your account can be debited by the total amount.

Gave me a few twitchy days until I was happy everything was good. The guy buying the car was a copper so I doubt he was going to stitch me anyway but you never can tell.

Next time is bank transfer only. No cash, drafts or anything else for me.

[Roo]

Z4monster said:

After I sold a car and took a personal cheque, I phoned the bank to ensure everything was OK. The guy was coming back a week later to collect the car.

Basically a cheque isn't worth the paper it is written on as a guarentee of payment. Even six months later it can be withdrawn from your account. If the cheque bounces, it gets sent back to the presenting bank by 1st class post and can get lost in the postal system. So at any time in the future your account can be debited by the total amount.

Gave me a few twitchy days until I was happy everything was good. The guy buying the car was a copper so I doubt he was going to stitch me anyway but you never can tell.

Thought that had been changed to six days.

[KardioKate]

Parents have just bought a car via cheque. We'd seen and tested the car, went back a week later. Idea was to take the seller to local santander branch and withdraw the cash for him. Had an appointment set up to do that.

We arrived at the santander branch and were advised that all the branch's systems were down and there was nothing they could do.

The guy turns round and says "Just write me a cheque". We get back to his, write a cheque out. He then offers us the keys and the opportunity to fill out the V5 there and then.

He was a retired copper - and a very trusting one too. We drove the car away there and then.

He did phone us the next week to thank us for a smooth transaction / let us know the cheque had cleared / interested to hear how we were getting on with the car.

Really (overly) decent bloke.

[mrloudly]

If ever I receive a payment I wait till it's cleared funds and then transfer it to another bank account, even do this
with bank transfers, can't be too careful...