Need advice on safely selling a corvette - NCRS Discussion Boards

Need advice on safely selling a corvette

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  • Michael S.
    Expired
    • April 1, 1987
    • 364

    #16
    Re: Need advice on safely selling a corvette

    It's not suprising that the seller did not get the car back since the fraud was with the passing of a bad check, not the car sale transaction. The seller willingly gave the title and the car to the buyer. The crime was the payment with the bad/fruadelent funds.

    Years ago a buyer from Indiana agreed to buy my 61 Corvette at a show. He paid with "cashier's checks" drawn on his small hometown bank on Friday at the show. I gave the seller the title and the car. Checks were deposited on Monday and were returned with a "stop payment" the following Monday. On Monday afternoon I called the President of the small town bank and asked why there was a stop payment on the checks. He suggested that I call the buyer as this issue was between the buyer and me, seller.

    Instead of calling the buyer, I drove to Indiana that evening and was at the bank bright and early Tuesday morning when they opened and marched myself to the Presidents office. Again he told me to call the buyer as the buyer had a change of heart with his purchase of the car. At this point I told him it was time for him to "SHUT UP AND LISTEN".

    I "reminded" him that the ONLY way you can legally stop payment on a cashier's check was for theft, loss of check or fraud. Since the checks were endorsed to me and in my hand, they were not stolen or lost. The fact that the buyer had "buyer's remorse" is not fraud. I also asked about the "bond" that must be posted to place a stop payment on a cashier's check and the time period required? Just so you'll know, this was summer time and I march into his office with shorts and tee shirt while he is in a 3 piece suit. At this point he starts to ramble about meaningless stuff and I again tell him "shut up and listen" because this was his lucky day. He had the choice to make the checks good now or I will call Bill Smith, the Indiana State Banking Commissioner and tell him what kind of crap he was pulling. I got the banking commissioner's name from a quick call the state capital. The bank President then excused himself and returned about 20 minutes later and told me that he was drawing a new check for the full amount of payment. I then told him I already enough worthless checks from his bank and I wanted CASH! He then said OK. He brought the cash and then told me to sign the government form for transactions over $10K. I told him to stick that up his ass. Let's just call Bill Smith at the Banking Commision and see what he has to say? The bank President gave me the cash and I left the bank.

    I never did call the buyer, just his buddy the Bank President. He knew I had him by the balls. He never thought anyone would call his bluff on the stop payment of the original checks. I do not know where the President spent those 20 minutes I sat in his office however dollars to donuts he was talking with the bank attorney and his buddy the buyer explaining the MAJOR problem they created and the only choice he had to solve this problem which was to pay me!

    I saw the buyer at several Corvette events the next several years. He avoided me like the plague. Have not seen him in years so I guess he had enough of our Corvette hobby.

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    • Mark Milner

      #17
      Re: Need advice on safely selling a corvette

      Unless you want to physically confront the bank and/or buyer when the check goes bad, the wire transfer is the best.

      However, you have to give the other bank and the buyer access to your account. That access is not one way, so the best advice is to have a small transfer account where he can wire money into it and you transfer it out as soon as it is there.

      I've sold a couple of cars this way and all goes smoothly. I haven't had a problem yet, but I don't leave the Corvettes at the end of the drive with the keys in them and the tops down overnight, either.

      Talk to your banker to discuss what he considers the safest, and be sure to inquire about the suggestions given here. He isn't likely to give you bad advice that may cost you tens of thousands of dollars, his bank a lawsuit for bad advice, and him his job.

      If in doubt, you can always do a lien on the car. The title comes back to you, and if he defaults, you can go after the car.

      Or just have the deposit and hold the car until it all clears in two weeks.

      A bank can clear a check in less than a couple of hours, if they want, but few do. However, most will allow a grace even for a cleared check if the signer stops it or reports it stolen, lost, etc., so you could have a check bounce even after the bank clears it.

      Be sure the account isn't dependent on that amount for automatic payments or other checks as you coud have a lot of things bounce if the guy tries to screw you a week later.

      Whatever you do, have the guy's information from his driver's license just in case and be sure YOU see the license, not just him tell you the number.

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