Very true, I think the term "Bank Cheque" is a little skewed as well and this gives a false sense of security.
Its really just a cheque as it can be cancelled and bounce and is certainly no guarantee of getting the funds.
Buying a van privately?
- Thread starter macca
- Start date
Very true, I think the term "Bank Cheque" is a little skewed as well and this gives a false sense of security.
Its really just a cheque as it can be cancelled and bounce and is certainly no guarantee of getting the funds.
I find it interesting that lawyers are ok for you to hand over keys to a house the same day at settlement.
Shouldn't they wait for 3 bank days before they get the keys
Shouldn't they wait for 3 bank days before they get the keys
Sorry
!In all honesty I had the same faith in bank cheques until I bought one myself to purchase our first van and the lady behind the counter tells me after purchasing it that if I want to cancel it just call x number and let them know.
My jaw nearly fell to the ground and I politely asked why it could be cancelled as I thought they where as good as cash.
The response simply was that a bank cheque shows the person who took it out has the money available as they couldn't purchase it without it but it does not mean the person receiving it actually has the funds or any right to the funds until the bank clears it into there account as it can be cancelled by the person who took it out at a moments notice.
So in theory, a bank cheque is simply an implicit notice that you have the funds available to buy something but does not necessarily mean they are 100% committed to handing said funds over until the banks clear the funds.
I quite like the idea of going into the bank and doing a direct transfer with the person purchasing from their account to yours and handing the van over.
Even if you are not a member of the purchasers bank it takes 5 minutes to create an account today and this would be the safest option for the buyer and purchaser.
You could then get the funds into your account and it would clear immediately and then transfer the funds out to your own bank and close the account if you don't want the account any more.
From that day on my perspective changed about bank cheques.....
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Lots or stolen and it can be cancelled -
http://www.anz.com.au/internet-banking/help/contact-us/bank-cheque/
Lost or stolen and it can be cancelled and an interesting note that if you purchase the bank cheque with a personal cheque and the personal cheque bounces the bank cheque is null in void -
http://www.nab.com.au/personal/help-and-guidance/personal-banking-fees-and-charges/bank-cheques
http://www.anz.com.au/internet-banking/help/contact-us/bank-cheque/
Lost or stolen and it can be cancelled and an interesting note that if you purchase the bank cheque with a personal cheque and the personal cheque bounces the bank cheque is null in void -
http://www.nab.com.au/personal/help-and-guidance/personal-banking-fees-and-charges/bank-cheques
My limit to transfer money is $10k a day.. So I would really need to go into a bank together with buyer.
I have not brought a car privately for a while although this will make life a lot harder I would think for them.
The Avan I nearly brought in SA she was happy for me to get a bank cheque and give it to her Sunday when we got there and taking the caravan. At that stage I did not know you could cancel them if you changed your mind. I assume she did not either.
You assume if lost fair enough or change your mind and return with the cheque before handing it over.
Although if you make a bank cheque out to Joe Bloggs and Joe Bloggs banks it in his bank. You would assume it could not be canceled as the cheque is a agreement from x person to Joe Bloggs.
Sorry am I being to logical.
Bouncing.. well a Westpac Bank cheque I think Westpac has some money
I have not brought a car privately for a while although this will make life a lot harder I would think for them.
The Avan I nearly brought in SA she was happy for me to get a bank cheque and give it to her Sunday when we got there and taking the caravan. At that stage I did not know you could cancel them if you changed your mind. I assume she did not either.
You assume if lost fair enough or change your mind and return with the cheque before handing it over.
Although if you make a bank cheque out to Joe Bloggs and Joe Bloggs banks it in his bank. You would assume it could not be canceled as the cheque is a agreement from x person to Joe Bloggs.
Sorry am I being to logical.
Bouncing.. well a Westpac Bank cheque I think Westpac has some money
My limit to transfer money is $10k a day.. So I would really need to go into a bank together with buyer.
I have not brought a car privately for a while although this will make life a lot harder I would think for them.
The Avan I nearly brought in SA she was happy for me to get a bank cheque and give it to her Sunday when we got there and taking the caravan. At that stage I did not know you could cancel them if you changed your mind. I assume she did not either.
You assume if lost fair enough or change your mind and return with the cheque before handing it over.
Although if you make a bank cheque out to Joe Bloggs and Joe Bloggs banks it in his bank. You would assume it could not be canceled as the cheque is a agreement from x person to Joe Bloggs.
Sorry am I being to logical.
Bouncing.. well a Westpac Bank cheque I think Westpac has some money
I think the perception was that bank cheques where good as cash back in the day before people started ripping people off / the internet age etc.
Nothing has been really been done since that boom with bank cheques as the common missconcpetion is they can't be cancelled but at least we all know now!
The hardest thing for me as a seller is trying to explain to people that they can be cancelled and my requirement is to not let the van out of my drive till the funds clear.
Sounds harsh at the time of a transaction but you have to protect your interests in this day and age.
On this issue of bank cehques, you have to have the money in your account before you can purchase a bank cheque. The bank gives you the cheque, and takes the money. So comfort is that at least the purchaser had the money to buy the cheque
Agree but it does not avoid the possibility of it being cancelled.
Not everyone is out to stuff people around but either way a possibility still exists for it to be cancelled and you to be left without money and a van.
I don't agree with it in anyway and don't personally think many people buying a van would be morally centred in this way.
But its an expensive asset and you have to protect the investment.
Again, don't agree with anyone who does it but still a possibility.
Also reading that NAB link they seem to state you can pay by personal cheque for a bank cheque and if that personal cheque bounces then the bank cheque is null in void.
This is direct from the NAB website -
http://www.nab.com.au/personal/help-and-guidance/personal-banking-fees-and-charges/bank-cheques
As I mentioned most people cannot do a internet transfer of say $35k.
It comes back to trust.
If you go with the person and transfer then you need to make sure they are trustworthy not to just walk away with the $'s
Or have a mate take the caravan before you come back.
We thought of cash when we buying the Avan although my wife did not want to carry $28k with her.
Yes we live in a world where some people are scumbags.
It comes back to trust.
If you go with the person and transfer then you need to make sure they are trustworthy not to just walk away with the $'s
Or have a mate take the caravan before you come back.
We thought of cash when we buying the Avan although my wife did not want to carry $28k with her.
Yes we live in a world where some people are scumbags.
I discussed a large amount bank transfer with my bank and they made the changes to my account so I was able to transfer $40k, but only for the one day. I did the transfer when I collected the van. Might be worthwhile inquiring if this is possible with your bank?
We sold our camper yesterday and received a bank cheque we also took a completed copy of the transfer of registration including the purchases drivers licence no, and my wife noted down the rego number of he purchasers car. Comfortable with our Decision. Also noting millions of dollars or property settlements occur daily. If there was an issue banks wouldn't take the risk. There is still value in bank cheques.
Hi, I sold my Swan to a nice couple late last year.. accepted a direct deposit online, and finalised the deal on the day of hand over with the bank cheque. I did exactly the same as Fabulous, took photocopy of transfer of registration, drivers licence, (they provided his business card) and I took a note of their vehicle rego.. did exactly the same when I off loaded the last Tug I sold. I have had no problems.. you need to rely on your gut feeling about the people your interacting with.. to assess on the day which way you want to finalise the deal. In fact with the Tug, they wanted to pay cash!!.. however that worried me more, so asked for the bank cheque.
the last couple of times I have made substantial purchases, I have done the Direct Transfer - just organized with the bank that I will be wanting to do that, no problems,,,,
I was nearly "burnt" with a bank Chq years ago and will not take them for anything.
the guy who wanted to buy my car came up with a bank Chq, and they had "stuffed" up the info on it, so when we rang the bank about it, they said - no worries - Chq cancelled, just go back to the branch you brought it from and get another
- NO THANK YOU....
go get me cash "mate", the car will sit here until you do.
will not buy them now - or accept them
my $0.02 worth
I was nearly "burnt" with a bank Chq years ago and will not take them for anything.
the guy who wanted to buy my car came up with a bank Chq, and they had "stuffed" up the info on it, so when we rang the bank about it, they said - no worries - Chq cancelled, just go back to the branch you brought it from and get another
- NO THANK YOU....
go get me cash "mate", the car will sit here until you do.
will not buy them now - or accept them
my $0.02 worth
We just bought a van 2 weeks ago. Van was in Melb, we are in Brisvegas.
Process..., lots of talking on the phone, we asked for specific photos that werent in the orignal batch that he supplied.
We had done a heap of research and knew what to look for, ask for etc. No money was paid out in advance.
I travelled to Melb, confirmed that what was described was what was on offer. Seller was open & honest and I saw was exactly as he described.
His bank was the same as mine, when we were both happy direct transfer into his account.
2 minutes later, he was richer, I was poorer and away I set off with new van.
All worked out fine.
Steve
Process..., lots of talking on the phone, we asked for specific photos that werent in the orignal batch that he supplied.
We had done a heap of research and knew what to look for, ask for etc. No money was paid out in advance.
I travelled to Melb, confirmed that what was described was what was on offer. Seller was open & honest and I saw was exactly as he described.
His bank was the same as mine, when we were both happy direct transfer into his account.
2 minutes later, he was richer, I was poorer and away I set off with new van.
All worked out fine.
Steve
