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Charger SRT 392
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Discussion Starter · #1 ·
Anyone have tips on how to go about giving a deposit for a private sale, when you're not close to the seller/car?

OR don't do one and just hope that they don't sell it from underneath you?

Write up a contract?

I'm just wondering how to proceed there.
Any tips or feedback?
 

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2021 Hellcat Challenger
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Anyone have tips on how to go about giving a deposit for a private sale, when you're not close to the seller/car?

OR don't do one and just hope that they don't sell it from underneath you?

Write up a contract?

I'm just wondering how to proceed there.
Any tips or feedback?
I used TRED to sell my Challenger. They did all the paperwork and dealt with the banks and it's more reliable.
 

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I've purchased cars thru ebay so you have some protection there but it's best to use a funding source (ie: Paypal) that you have some recourse if things fall apart. this can be a nerve racking situation when you don't know the person. sometimes you have to make several contacts to the seller to get a feel of what kind of person you're dealing with. just all my opinion from experience in the past
 

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2020 Challenger Hellraisin Scat Pack.
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Anyone have tips on how to go about giving a deposit for a private sale, when you're not close to the seller/car?

OR don't do one and just hope that they don't sell it from underneath you?

Write up a contract?

I'm just wondering how to proceed there.
Any tips or feedback?
Pretty much regardless of what you can do if the seller is bogus or just a jerk you will have your work cut out to recoup your deposit. You will have to initiate some kind of civil legal action against him from afar. Even if you are successful in a civil action good luck in collecting.

If you want the car you can arrange for a deposit and and try to get him to agree it is refundable if for some reason you (or he) has a change of heart regarding the sale. If he agrees fine, but to be safe the deposit has to be small, like $100 (tops).

If the seller sells the car out from under you and then refuses to return the deposit he's a jerk but it only (only...) cost you $100 to find this out.

Or you can just arrange to view the vehicle, check it out and if it meets with your approval buy the vehicle. If you get there and the seller balks, has a change of heart, or has sold it or you just can't reach a deal then go home. You are out the cost of getting there and back home again which may be more than $100 but that is the risk you take.

My SOP is to shop globally but buy locally. If I can't get to the car in an hour or two -- bought a new car 90 miles from home once the most distant car purchase I made -- I don't consider the car local enough. Yeah, this is not chiseled in stone but so far it has been my limit...
 

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I have done these sort of deals. What you're buying also matters as to how you go about it. I'll explain.

Most classic cars I've bought were done remotely at first. I locate the car, talk numbers, and proceed with the buying process. The first step is to write up a simple contract. It doesn't need to be a full-on legal document. Just something that says your name, their name, and that you are putting "X" amount down to hold the vehicle for 5-7 business days as you secure funding and validate the car. On classics, I always find a local repair shop with stellar ratings. I wire them a fee and they go and inspect the car for me. If it's a high dollar, ultra rare car, I will go myself and/or bring along an expert to check the provenance.

But, for normal modern cars, I just do the simple contract, pay to get a mechanic to look it over, and if all is well and good, I will pay the buyer in their desired format. You can do bank wire transfers, mail a cashier's check, PayPal, etc. As part of the buying process, I will also send them a bill of sale to sign. On that bill, I list things like, "Buyer agrees to make the vehicle available for transport pickiup at (date/time) for (delivery service). Any and all personal possessions left in the vehicle are not guaranteed to be returned, please ensure you remove all personal items and leave all keys in the glove box."

The delivery driver will arrive to pick it up. I usually have the driver facetime with me and I have them go over the car to make sure they didn't do things like replace custom parts with things not shown in previous images. They then evaluate the car for visible defects and note it on their manifest. This is important as anything wrong with the car that's not on that manifest becomes an insurance claim against them when they drop it off.

I've done this quite a few times and I've never been burned by a remote deal. I've shot down quite a few after a mechanic does their thing and found unreported issues. However, I have never bought a car and had it arrive in a state I wasn't prepared for. The only recurring issues I have had revolve around crap left in the car, hence why I now put the disclaimer in the bill of sale about taking their things out of the car. I've had issues where people swear they left something in it that wasn't there, wanted the return of heavy items that they didn't want to pay shipping for, and so on. This doesn't mean I won't mail a guy's wallet back to him, but it gives me the option to clean my hands of it if there is a major disagreement or undue hassle in returning the items.
 

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Yes, a private person has no obligation to anyone. So you'll give a deposit pending inspection before the sale?
...a deposit with a contract, so that if they do try and keep it or sell the car out from under you, you can sue in small claims court. I've done that 3 times and won all 3 times. One was concerning a 427 Corvette. I dropped the deposit + contract, paid to fly out a specialist to inspect the chassis, engine, trans numbers and appraise the car. I paid for a mechanic to validate it. I also paid to pull an extensive vehicle history. All told, I spent about $2,000 in air fare and service fees validating the car for purchase. On day 4 of my 7 day contracted hold period, the buyer sold the car to another buyer. He refunded my $500 deposit, no problem. However, I was able to claim that I had spent over $2,000 in costs to validate his vehicle, and due to him violating the contract, I was at a loss. That particular case took about 10 minutes in court to litigate, and the best part is that it was done over Zoom. I didn't even have to go to court in person.
 

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.2020 HCNBM6. ...2022 RENB...
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Deposit via PP. Seller should provide detailed invoice stating full terms of the contract. If necessary, you write the contract and have the seller paste it into the pp invoice. Make sure it includes full refund if you reject the car at final inspection for any reason. If the seller sells to someone else before you get there then you are screwed, you will only get your money back.
 

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Equally risky is whether or not the car is what you expected. I’ve got a pretty high tolerance but in long distance car deals with private party it’s almost always the case that the seller failed to mention something. However, this is just the way it goes buying sight unseen with your own eyes. Hell my son’s Z06 has been sitting on the rack for 6 months now waiting for the block to come back from the machine shop. Clutch went out after a month and popped number 7 cylinder a month after that! No fun but that’s the way these things go sometimes.
 

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Discussion Starter · #11 ·
I guess more detail here (and piggybacking my other thread)…

-The car is in Canada and three hours away. So I’d see it when I go to get it.
-It’d be a cash deal (no financing)

I just wanted a way that I could have him hold the car for me until I see it, but I’m not sure there is a good/clean way.
eBay or a broker or something would just be extra fees for nothing.

Maybe just do the $100 deposit and that’d suck to lose (for nothing) but it’s something I suppose?

Anyone have a good template for a private sale “bill of sale” that they use?

I’ve never done anything like this before.
 

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I guess more detail here (and piggybacking my other thread)…

-The car is in Canada and three hours away. So I’d see it when I go to get it.
-It’d be a cash deal (no financing)

I just wanted a way that I could have him hold the car for me until I see it, but I’m not sure there is a good/clean way.
eBay or a broker or something would just be extra fees for nothing.

Maybe just do the $100 deposit and that’d suck to lose (for nothing) but it’s something I suppose?

Anyone have a good template for a private sale “bill of sale” that they use?

I’ve never done anything like this before.
Are you in Canada too? If you're in the US, then this complicates the process immensely, with Customs getting involved when it comes time to cross the border and you have to have all the proper paperwork.
 

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Discussion Starter · #13 ·
Are you in Canada too? If you're in the US, then this complicates the process immensely, with Customs getting involved when it comes time to cross the border and you have to have all the proper paperwork.
No, I am not. I’m in the US.
That’s my other thread (below this) about importing the car.

I’m pretty sure once I get the compliance letter from FCA, it won’t be an issue though. (Along with the other paperwork)
 

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Did you know that US Dodge dealers do not honor warranties on cars originally delivered to Canada right? This would be a major concern if the car could potentially still be covered under 5/50 powertrain or 3/36 bumper to bumper warranty.

I realize its a Neon SRT-4 and long out of warranty but I figure you should be aware in case there are any other weird issues that accompany that.
 
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I've purchased cars thru ebay so you have some protection there but it's best to use a funding source (ie: Paypal) that you have some recourse if things fall apart. this can be a nerve racking situation when you don't know the person. sometimes you have to make several contacts to the seller to get a feel of what kind of person you're dealing with. just all my opinion from experience in the past
son in law bought a to good to be real deal on a ram pickup off ebay using paypal. It was a scam and neither paypal or ebay would do a thing about it. That was 5 years ago and they just quit responding to him. The police in that town were no more help. They said yup the people lived there but they cant find them now. He lost 15k. So dont put to much store in ebay or paypal's guarantees.
 

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son in law bought a to good to be real deal on a ram pickup off ebay using paypal. It was a scam and neither paypal or ebay would do a thing about it. That was 5 years ago and they just quit responding to him. The police in that town were no more help. They said yup the people lived there but they cant find them now. He lost 15k. So dont put to much store in ebay or paypal's guarantees.
Sorry to hear that. There has to be some kind of independent escrow service mediary that can handle things like this, just way too many scammers out there.


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