# Would you accept a Banker's Draft?



## statenisland (Aug 17, 2007)

Good morning,
I have a private buyer for my MH.
I suggested he send the money by CHAPS and I would release the vehicle on receipt. His bank have advised him he is at risk and should pay by Banker's Draft.
Besides having to wait 4 days for cleared funds, what are my risks? I was proposing to go with him to his bank and watch the Draft being drawn and then pay it into my account(same bank, different branch). Can a Banker's Draft be cancelled under any circumstances.
Brian


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## teemyob (Nov 22, 2005)

*Chaps*

Yes, I would and do as you say, go to branch with him/her.

Prefer chaps mind, with a copy of authorisation.

TM


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## statenisland (Aug 17, 2007)

Thanks Teemyob for a quick reply.
What do you mean 'with a copy of authorisation' and how does that assist?
Thanks
Brian


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## Ian_n_Suzy (Feb 15, 2009)

A Bankers Draft is fine but I wouldn't release the MH until the funds have cleared in your bank account.

It can still be cancelled even if you witness it being authorised.


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## olley (May 1, 2005)

Hi this is going back a few years but I paid for some goods with a bankers draft from a building society, the goods weren't right, I phoned the BS and said could they cancel the draft, they said no, so I then said I had lost it, no problem in that case and cancelled it. 

Olley


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## Ian_n_Suzy (Feb 15, 2009)

olley said:


> Hi this is going back a few years but I paid for some goods with a bankers draft from a building society, the goods weren't right, I phoned the BS and said could they cancel the draft, they said no, so I then said I had lost it, no problem in that case and cancelled it.
> 
> Olley


Exactly, where there's a will.....


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## nickoff (Oct 11, 2005)

Good morning. When I purchased my last van from one of the other forum members, all I did was open an account at the Nationwide, he was already a member but at a different branch.We both went down to my local branch where I transferred the money from my account into his. He was assured from the teller that once transferred it could not be taken back. Job done. hth.

Nick.


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## hymerbeliever (May 8, 2009)

If he does not live nearby, get him to fax/scan a copy of the bankers draft, then phone the issuing bank to check it's authenticity and the amount for which it was issued before he arrives. A friend sold her car and the draft was stolen/fake and she lost 7K...eventually got the car back smashed.

If you are going with him to the bank you are better off getting cash and paying it straight in.


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## wilse (Aug 10, 2007)

What about a 'switch' or maestro transaction?
We bought a car with switch for £13k.
Had to call to get pre-approval of the amount, but it only took a couple of mins.

w

I personally don't like drafts... but when we bought our truck, we arranged to draw the draft from the local branch of our bank, in the sellers town. He came with me to see me pick it up... [reassurance for him] we went round the corner to his bank [a different one] and he paid in the draft [reassurance for me]. He gave me the keys, and then we did the paperwork back as his place.


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## Rapide561 (Oct 1, 2005)

*Bank cheque*

Hi

I would not accept a bank cheque for the private sale. Insist on a CHAPS transfer.

What you could do, to make him happier, is ask for the CHAPS to be sent on a given day. His friend/partner etc can be at your house, sat in the motorhome etc without the keys though. As soon as the payment reaches your account, the friend/wife etc can drive the motorhome away or wait their til hubby arrives from the bank.

From my experience of CHAPS transfers, they will arrive that day, but it could take upto the close of business to arrive - ie 1700, even if sent at 0900.

A bank cheque could of course be a home made version or a stolen one. You can however minimise the risk by going into the bank with him and watching the cheque be issued by the bank staff.

Russell


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## Pixelpusher (Feb 26, 2007)

There are scams based around stolen Bank Drafts, so be careful. Even though they get cleared pretty quickly, banks can later discover the Bank Draft is a forgery or stolen and then ask for their money back.


Colin


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## Codfinger (Jan 11, 2008)

*bankers*

Cash is king, bank cheques,drafts can all be cancelled, forged etc be warned there are a lot of conmen/women out there who WILL steal your hard earned cash/goods however honest they appear.
Never meet anyone in car carparks, services etc always check that the address in logbook matches the sellers and that the chassis number matches logbook ,if in doubt in anyway walk away, dont forget to check out the vehicle for outstanding finance or damage http://www.rac.co.uk/products-services/car-data-checks/

Very tricky situation if cash not possible use chaps


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## fdhadi (May 9, 2005)

Not to sure about cash being king. 

Can cash not be forged?


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## ThursdaysChild (Aug 2, 2008)

If you are going to the trouble of going with him to his bank, just let him draw out the cash for you, count it, go straight to the nearest branch of your bank, pay it in, have the cashier verify the notes and then give him the keys.
Job done.


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## Mick757 (Nov 16, 2009)

Draft or cheque. If thats how he wants to pay, let him wait while it clears! Its not unreasonable.


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## raynipper (Aug 4, 2008)

statenisland said:


> Good morning,
> I have a private buyer for my MH.
> I suggested he send the money by CHAPS and I would release the vehicle on receipt. His bank have advised him he is at risk and should pay by Banker's Draft.
> Besides having to wait 4 days for cleared funds, what are my risks? I was proposing to go with him to his bank and watch the Draft being drawn and then pay it into my account(same bank, different branch). Can a Banker's Draft be cancelled under any circumstances.
> Brian


Hello statenisland.
Bankers drafts have been know to come bouncing back SIX WEEKS after they have been deemed cleared by your bank...... !!!!

I am in a SCAM group on Yahoo and the sorry tales about so called genuine bank drafts have to be seen.

http://groups.yahoo.com/group/ScamSupportGroup/messages

You have to register to get into the group but it's well worth it just for the knowledge.

Ray.


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## 113016 (Jun 5, 2008)

statenisland said:


> Good morning,
> I have a private buyer for my MH.
> I suggested he send the money by CHAPS and I would release the vehicle on receipt. His bank have advised him he is at risk and should pay by Banker's Draft.
> Besides having to wait 4 days for cleared funds, what are my risks? I was proposing to go with him to his bank and watch the Draft being drawn and then pay it into my account(same bank, different branch). Can a Banker's Draft be cancelled under any circumstances.
> Brian


Today we went to a large car dealership and purchased a new car for our daughter and the salesman asked how we were going to pay.
before we answered he told us that if we were paying by bankers draft that they would require 10 working days to clear the draft before our daughter could take delivery of the new car.
Cash is king, but you also must see it withdrawn from the bank and I would suggest that you pay it into the same bank.
A few months ago we were selling our Hymer and I asked the same question to various bankers and forums and I concluded that the only 100% safe way would be to see the money in cash drawn from the bank and pay it into the same bank. Obviously you would need to open an account up in that particular bank prior to the transaction.


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## cabby (May 14, 2005)

you can go to his bank with him to draw out cash, make sure he arranges it first with his bank as they get funny about large withdrawls.You can take the cash and then you ask the bank to give you a bankers draft or transfer the cash by chaps to your account. 

simples :lol: :lol: 

cabby


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## nicholsong (May 26, 2009)

Recently bought a MH privately from a policeman (Oh yes - confirmed his identity separately)

He did not want Banker's Draft because of scams.

We agreed cash, but it involved 2 branches in his town, so we walked from one to the other with £20K+ in plastic bags under the coat.

The left-right-left of the copper's head was a bit like the Keystone Cops! (Sorry S - had to be told!)

However, system worked for us. Idea of opening a new account in same branch would avoid street risk, but not so much fun!

Geoff


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## Mick757 (Nov 16, 2009)

We paid over £17K on a debit card yesterday as balance for our first van. The dealership had a cash limit of £9k for money laundering reasons.

So cash wouldnt have been 'king' in our case.


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## Rapide561 (Oct 1, 2005)

*Cash*

Hi

Cash might be king but when I sold a van two years ago, I wanted cash. The building societies did not want it!

Be very aware that getting rid of 1000's of pounds might not be as easy as it sounds.

Also, you leave Bloggs bank and your buyer has a friend outside the bank who nicks your handbag.

Russell


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## statenisland (Aug 17, 2007)

Good morning,
Thanks everybody for taking the time and trouble to reply.
I intend to speak to my bank this morning but my thoughts at the moment are to insist on CHAPS transfer or cash. 
Russell - If the latter, as I use the same bank (different branch) the cash will not leave the building but be paid into my account.
Brian


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## Ian_n_Suzy (Feb 15, 2009)

statenisland said:


> Russell - If the latter, as I use the same bank (different branch) the cash will not leave the building but be paid into my account.
> Brian


There is the answer. If you use the same Bank just get them to transfer the money between the accounts from the cashier.

If it is the same as my bank, it goes in as cash the same day without any cash ever having been handled. I think the only exception to this (in my bank) is if it is a Business Account, in which it doesn't go in until the end of the day.


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## Pudsey_Bear (Sep 25, 2008)

always wait for funds to clear, if the buyer is honest they will wait, if they want it in a rush let him pay you in cash at their/your bank, no real risk to either of you that way.

Seemples

Kev.


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## hymerbeliever (May 8, 2009)

Incidentially, I just sold my wife's Mini (terrible car btw) yesterday (a Sunday) and the buyer did a bank transfer there and then from his Barclays to my HSBC account and it was visible in my account 30mins later (yes on a Sunday!).....this only works between the big banks ...see the sort code checker here: http://www.ukpayments.org.uk/sort_code_checker/


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## Rapide561 (Oct 1, 2005)

*Faster payments*

Hi

Note that some banks have a limit on the amount of a Faster Payments transfer.

A CHAPS does not have a limit. Solicitors use the CHAPS method for the purpose of house chains etc.

Russell


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## Malc (May 9, 2005)

The limit per day on faster cash transfer is £10,000.
Malc


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## DJP (May 9, 2005)

> Cash is king, but you also must see it withdrawn from the bank and I would suggest that you pay it into the same bank.


There are problems in cash handling if the amount is over £10k. The banks become very suspicious about transactions of that size due to money laundering. We were selling a VW van for £26k and buyer wanted to pay cash and not have an invoice. As it was a company (vat) sale we could not proceed after taking lots of advice. On another occasion we were going to buy a Mitsubishi L200 and had some "cash" available. Dealer would not take more than £5k in cash as a deposit and balance had to be either debit card, credit card or cheque (or the prementioned bankers draft or chaps)
Cash is a problem. You may have a job explaining and proving where you got it from, it may not be that straight forward. Inland Revenue/Customs Excise do monitor banks for large cash transactions, so I was told?


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