Electronic funds transfer

[Kannon]

I'm selling a bike to a guy half way across the country. He will arrange shipping and the bike will be picked up at my house. What is the best way to arrange payment? He suggests bank to bank electronic funds transfer. Is this a scam proof way to get the money to me? I would not want to give any of my account information to the buyer so how does it work?

He agreed to transfer funds before the bike is picked up but there are so many scams around and I haven't sold a bike this way before.

What is the best way to do a long distance sale when the buyer isn't going to pick up the bike and pay cash?

 

Thanks,

[Uggles]

Paypal?

 

Cheers,

[RevRay]

PAYPAL

[Heyfrank]

 

Go to your bank and ask them. I think the buyer is more at risk than you.His money is gone without the bike in hand. When you write a check that person has your account #.

[cruisin]

When I bought my new (2000) RT in October, I made the entire deal through PayPal. It was a little spooky sending that much money to someone I had never met though. I did feel better because he and I had spoken on the phone several times during the negotiations but it was still a bit un-nerving when it came down to sending 6K to someone I did not know who could have easily acted as if he knew nothing when I arrived or could have even given me a flase address; glad it worked out the way it did.

[RodB]

I also agree with 'Paypal'.

 

Easy to get the money 'scam proof'.

The buyer seems more at risk in this transaction, he sends the money to you then hopes the merchandise is still at your house when he sends somebody to pick it up.

[Traveler1]

I think PayPal or a bank transfer are equally sound ways to get your money. I have used both to make payments (although never to receive a payment), and found both easy. I think PAYPALS only big advantage is probably that you can do it all from home - no need to go to the bank.

[philbytx]

Don't 'Pay" PayPal.

Use EFT from his bank to yours

EFT's are usually same day if done in the a.m. plus his bank won't wire money he hasn't got!

 

 

[Kathy R]

Don't 'Pay" PayPal.

Use EFT from his bank to yours

EFT's are usually same day if done in the a.m. plus his bank won't wire money he hasn't got!

 

 

Is an EFT a Wire?

Banks do often charge a fee for a Wire Transfer

Buyer needs the account number to wire the funds into and also the wire instructions (from your bank)

[Antimatter]

Go to your bank and open a new account. You can then use their ABA number and the new account number to handle the money. Once the money is in, transfer it to your regular account and close the new account. There might be a day delay between when the money is sent and when it shows up in your account, depending on how your bank does its wire transactions.

 

Unlike a faked cashier's check, a wire is petty hard to scam as long as you're using an established US bank. You might have to pay a wiring fee, but it shouldn't be more than $20 or so.

[bmw_rider]

Simpler than that Western Union. He doesn't get your bank account number. You get usable funds immediately. He can't get them back by telling the bank it was done in error. Not reclaimable, not disputable.

 

An EFT- is an ACH (automated clearing house) transaction -they can and often are reversed. No set time period exists for sender to NOT being able to reclaim funds.

Wires- can also be recalled or canceled even after the receiver has been notified of 'good funds'.

Paypal - fairly reliable, but not perfect either. Can be scammed, transaction can be 'disputed' which immediately locks up not only those funds, but your entire account until the dispute is resolved.

Cashiers checks - no longer consider error proof, fraudulant ones have turned up in every state on a multitude of banks and financial institutions.

 

Western Union is the only certain method at this time. He has to show up with good funds, they do the transfer, you get notified, you pick up good funds. End of story. Not reclaimable, only recourse seller is is if you agree, and send funds back.

(This is why the Grandchild out of town and in trouble scam uses WU to send the funds - there is no way for the sender to retreive them.) Yes- WU charges a fee- you can call WU find out what that is and tell the buyer you'll split it or take it out of funds sent.

 

Once the Western Union funds are received and removed from WU's control, overnight the buyer the signed title. Then he can provide the carrier documention he owns the vehicle. Signed title and vehicle shouldn't be sent via the carrier, title should go directly to the buyer.

How do I know - I work in Accounts Recievable/Credit/Collection and have for over 30 years. Deal with this stuff every day.

[Ken H.]

What about Paypal's sister escrow service escrow.com? Been around a long time and is a known non-scam identity. You don't get the money until he's happy with the bike. He doesn't get the title until you have the money.

[philbytx]

To clarify :

ACH or EFT (Electronic Fund Transfers) - These are typically free transfers. The funds can take 3-4 biz days as stated before, excluding weekend and holidays. The funds have the ability to be called back by the sender until the funds clear, some require 8-10 biz days. This means they may post to your account but can still be called back, similar to check deposit. If sending ACH/EFT to a brokerage trading account you cannot purchase on the funds until cleared.

 

Wire Transfers - Are not free and go over the FED system. The wire cut-off time typically is 2PM. If you are going to wire large amounts from your bank's branch office call the bank in advance. Bank employees are certified to send up to varying amounts based on thier clearance. ($100,000, $250,000 and so on)

These transactions happen in a matter of minutes. If has not posted in your account is it due to your bank's back office processing. The funds are directed into the bank's main account and are then forwarded to your account. The bank can investigate receipt with a FED wire transaction #. Funds are cleared so you can invest the moment they hit a account. The funds cannot be called back. Think like "Western Union."

 

[drswift]

Paypal takes 2.9% off the top.

[JayW]

Ask him to send you a check and let him know that you will not release the bike or the title until the check has cleared. This approach is simple, cheaper than PayPal and should be quite safe. You can have your bank help you to know when his check has been confirmed as "good". If he wants, you can provide him a bill of sale while you are waiting. I'd be a bit concerned if he is unwilling to wait a few days for a check to clear.

 

Another option which saves fees is to have him provide a deposit, say $500, via Paypal, and send you a check for the difference.

 

Jay

[bmw_rider]

Wires can be recalled. Western Union - and no I don't work for them. It doesn't sound like the buyer is concernned about you sending title and bike, if that is the case then have him get a plane ticket, bring cash, and ride it back.