Receiving payment for car via CHAPS or BACS?
Discussion
Sorry if this has been asked before, search doesn't return much. Usually when I've sold cars in the past its been under £5k and I've dealt in cash.
This time my buyer wants to make BACS payment direct to my account (£16k). My bank advise that this could take several days to credit, instead use CHAPS (with £20 ish fee) is the only guaranteed same day service. Faster payments (account to account direct) can't be used as max amount on that £10k.
Can a CHAPS or indeed BACS payment be 'reclaimed' at all?
Any known scams like this I should be aware of? I have searched didn't find anything except the obvious.
Of course I won't release car until funds credit to my account, but it seems an awkward few hours waiting around for that is the only option?
Any advice welcome.
cheers
This time my buyer wants to make BACS payment direct to my account (£16k). My bank advise that this could take several days to credit, instead use CHAPS (with £20 ish fee) is the only guaranteed same day service. Faster payments (account to account direct) can't be used as max amount on that £10k.
Can a CHAPS or indeed BACS payment be 'reclaimed' at all?
Any known scams like this I should be aware of? I have searched didn't find anything except the obvious.
Of course I won't release car until funds credit to my account, but it seems an awkward few hours waiting around for that is the only option?
Any advice welcome.
cheers
northandy said:
Make sure it is a chaps payment, a known scam is buyer says its done, you look at you account and lo and behold its showing, however they have used a dodgy cheque and paid it in over the counter at a branch of your bank, a few days later it bounces after the car has gone.
It'll say on your account statement what sort of payment it is.northandy said:
It will say bgc for a cheque, but would everyone check?. Id be calling my bank just to make sure before releasing the car
Now this is confusing.I was sent a deposit for a car on Sunday during the day via a bank transfer, it showed up on my account also on the Sunday and says bgc on it, I re-checked my account on Monday and it was still showing and still says bgc.
How can it be a bgc when it was sent electronically on the Sunday?
EddieFelson said:
Split the payment to make it under the £10k fast transfer limited. You have to wait 24 hrs between the payments.
Faster payment limit is now 100k and had been since january 1st.Instant transfer which cannot be reversed without the account holders permission once credited.
northandy said:
It will say bgc for a cheque, but would everyone check?. Id be calling my bank just to make sure before releasing the car
BGC doesn't necessarily mean a cheque and has nothing to do with whether the money has cleared or not. It means Bank Giro Credit and generally means that a pay-in slip was used with whatever method of payment was made.You have 3 methods,
CHAPS - large amounts, authorised in advance, stricter security than it used to be (usually has to be arranged in advance, sometimes with a written instruction), but means you can transfer in a day.
BACS - takes 3 to 4 days, maximum of £10K a day
FPS - basically (somewhat) instant BACS. Between big banks is usually seconds, in most cases its same day or next day, but strictly speaking it can be a maximum of 3 days. Maximum value can be determined by the senders bank, but usually around £10K.
For the recipient there is no difference - once the money is in your account it cannot be reversed except in exceptional circumstances (i.e. court instruction as the money used to send it was fraudulent etc) without the recipients approval. This is why you need to be 100% sure of account numbers when sending the money that you've typed in the correct account numbers etc.
For the recipient CHAPS/BACS/FPS are by far the safest way of getting paid for the vehicle.
btdk5 said:
Faster payment limit is now 100k and had been since january 1st.
Instant transfer which cannot be reversed without the account holders permission once credited.
May well be but a lot of banks have a £10k faster payment limit for personal accounts. First Direct/HSBC for example as I found last month.Instant transfer which cannot be reversed without the account holders permission once credited.
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