Where can I and how should I sell my car online?

Perhaps selling cars online may sound strange to some motorists, and yet, if it works, why not? Let’s find out more.

CHOOSE A REPUTABLE WEBSITE

Select a well-established website1,2,3 that is well-known for selling cars online, and follow the instructions.

WHAT IS THE FIRST STEP?

You first need to advertise your car on the website. The advantage of using a prestige car website is that your car will be exposed to an audience consisting of hundreds of thousands of motorists. To enter your car onto the website, click on a ‘sell car’ button or equivalent, complete your personal information, and the car’s details, and choose the advertising package you want. You pay for that either by EFT or credit card.1 Within hours, your advertisement will appear on the website.

HOW DO YOU DEAL WITH THE RESPONSE?

Once the advertisement is up, the phone calls or emails should be coming in from potential buyers. They will want to know when and where they can inspect your car. It’s your task, as seller, to collect as much information as you can about the potential buyer. In so doing, you’ll discover if the buyer is committed to the purchase.

WHAT SHOULD YOU ENQUIRE ABOUT THE POTENTIAL BUYER?

Below are some questions to guide you in what to ask the buyer, but you may also ask your own questions. Some initial questions may be used to screen the intent of the potential buyer, whilst other questions can be asked when the buyer arrives to examine the car. For instance, what is the buyer’s name, address, and cell phone or landline telephone numbers? How did the buyer find out about your car, and for whom is the car intended?

ARRANGE TO MEET THE POTENTIAL BUYER

Ask when and where the buyer would like to view the car, and if he or she would like to test drive it. The buyer must be able to show you a valid driver’s licence and relevant insurance. The buyer may want to have a mechanic inspect your car.

WHAT DO YOU SAY WHEN MEETING A POTENTIAL BUYER?

Find out what the buyer’s intentions are – does the buyer want to purchase the car or is he or she just looking? It’s important to find out how the buyer is going to pay for the car. Is an initial deposit required?

HOW SHOULD PAYMENT BE MADE?

It’s best to arrange for an electronic funds transfer (EFT). If the buyer wants to pay in cash, arrange to meet him or her at your bank. Not only is it a safe place, but by depositing into your account via a teller will ensure that the cash is not counterfeit. Never accept cheques and only once all the cash is safely deposited into your account do you let go of your car.

WHAT PRECAUTIONS SHOULD YOU TAKE?

For your own safety and to avoid any possible scams, arrange the car viewing in a public place such as your own favourite service station. You can even notify the garage of the pending meeting. Avoid deserted places at all times. Arrange for a family member or friend to be with you when meeting the buyer, and when going on a test drive. Ask to see the buyer’s driver’s licence and relevant insurance to ensure that this is the correct person. Request if you can take a photo of the licence for later verification. If the licence is false, this action may well make the buyer nervous. No one may drive your vehicle without a valid driver’s licence.

HOW TO PROTECT YOURSELF FROM SCAMS

Watch your car keys at all times, and never allow the buyer to test drive your car on his or her own. Make sure your friend or family member sits in the back of the car during the test drive. This will allow you to maintain control over any potentially difficult situation. If anything does not look right, don’t hesitate to contact the police.

WHAT DOCUMENTS DO YOU NEED?

You need to provide the car’s service book, as well as receipts of any replaced parts. A service book shows the buyer that the car has been well-maintained. No one should buy a car without such records. The original registration document also needs to be given to the buyer. Complete the seller information in the form titled NCO or Notification of Change of Ownership. Inform the buyer that he or she must inform the registration authorities within 21 days regarding change of ownership.

FINALIZE WITH A SELLER’S CONTRACT

Only once all the cash is in your account do you issue two copies of a seller’s contract. The contract will show all the car’s details, including the registration number and VIN number. Indicate the date and sale amount, and emphasise that the car is sold as is. The seller’s and buyer’s names must be on the contract, and both parties need to sign. A witness should sign as well, in case any issues arise later on.

Now that you have managed to sell your car online, don’t forget to buy car insurance with PMD when you buy your next car.

Disclaimer:

This article was prepared by Eric Sandmann in his personal capacity. The views and opinions expressed in this article are the author’s own and do not reflect the views and opinions of Prime Meridian Direct (Pty) Ltd, FSP41040 (car insurance and life cover products). The views and opinions in the article should not be attributed to anyone but the author unless expressly stated. Nothing in this article should be relied upon as advice, this publication is presented for informational purposes only. No person should act or refrain from acting in reliance on any information found in this article, without first obtaining proper financial advice from the appropriate professional. The author makes no claims, promises or guarantees about the accuracy, or completeness, of any information linked from, referred to, or contained in this article. The author reserves the right, to edit and change the content of this article.

Also view:

Vehicle Finance, Car Insurance and Road Safety

Buying and Selling a Vehicle – Informed decisions and the Vehicle Retailer

The Online Vehicle Retail Market and Safely Selling Vehicles Online