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Ensuring
safe payment
Ensuring safe payment is essential for both the
buyer and the seller. Sadly there are fraudulent bank notes, banker's drafts and
of course credit and debit cards around, so prudent checks and procedures are
simply both necessary and wise. | Paying
cash for a private sale
A buyer should hand
over the cash payment for the car in a bank so the seller can go to the bank counter
and pay it in straight away. The buyer will be able to see the bank counter clerk
checking and counting the bank notes for credit to the seller's bank account.
So any problems arising from fake or suspect bank notes will hopefully be identified
by the bank at the time with both parties to the underlying transaction present.
Once the cash has been paid in, get the seller to sign a receipt for your payment,
together with a second copy which will be for their retention, and then the seller
can handover the essential vehicle documents and keys. Sample
receipt | Paying
cash with a trader
Unless a trader is registered as a High Value
Dealer or HVD with HM Revenue and Customs, payments (High Value Payments or HVPs)
in excess of the Sterling equivalent of €15,000 cannot be accepted in cash,
whether as a single transaction or in several instalments. The HVD requirement
and HVP limit are part of the UK money laundering regulations effective from 2007
and a breach by a trader exposes the trader to an HMRC penalty. More
on HVD | | |
