How to Sell a Used Car & Receive Payment

Be sure to clean your new car before putting it out for sale.

Selling a car and receiving payment can be quick and easy if there is high demand for your vehicle or if it is selling at a price that is lower than average. A higher-priced vehicle may involve payment by bank check if the buyer needs to obtain a loan.

There are many avenues to take to sell a car. Some are free, while others cost money. But, the more you advertise the faster your vehicle will sell.

Things You'll Need

• Internet
• Money or Means of Payment (if applicable)
• Computer
• Telephone

Instructions

Selling a Used Car and Recieveing Payment may be Time Consuming.

1. Research market values for your vehicle so that you may price it accordingly. Lower the price for a quick sale or price it to make money--a rare car or cash price car (under $5,000.00) is usually easier to sell or at least for a higher value. Consider the overall condition of your vehicle, and raise or decrease the price based on mechanical condition, availability of maintenance records, accident history, or additional add-ons that my warrant a higher price.

2. Advertise your vehicle for sale. You can do this on line through car-search Internet sites, or use your local paper. Free ads are an option, such as on Craigslist, but you may pay to use auction services or high-volume classified magazines.

3. Use a road front to show your car is for sale or try to use word of mouth. A good spot with high vehicle traffic by a road will reach more people than any other avenue of advertising. Word of mouth is convenient and you may know someone looking for a car. Both methods are free.

4. Take phone calls and arrange visits from people who want more information or who want to see your car. If advertising online, you should receive emails--be sure to answer in a timely manner. Meet people in public place if you prefer, or have people come to your house. People will want to drive the vehicle, while some will bring a mechanic.

5. Negotiate accordingly. Having already looked up the value of your vehicle, you should have an idea of what it is worth. You do not have to sell to your first bidder, but you can sell for a quick sale. Simply state your firm price, whatever it may be, and the interested party will either agree or walk away to continue shopping.

6. Determine reliable payment. Cash is obviously valid, but be sure to call a bank to verify funds and validity before signing over a title or a buyer's order. Do not accept a personal check. Do not accept money orders if you are unable to verify funds or any third-party checks. Make sure any bank or certified checks are in your name and verify spelling. Do not allow for wire transfers, as you are giving away your own personal banking information.

7. Prepare paperwork. Once you have verified and accepted payment, you may sign the title. Read the back of the title to determine where to sign. To avoid paperwork problems, sign your name as it appears on the front of the title. Co-owners must also sign. Prepare a letter stating the date, your name, the vehicle that you are selling and to whom, the vehicle information including year, make, model and VIN (Vehicle Identification Number) as well as the amount you are selling it for. Be sure to write that you are selling the vehicle "as is," to avoid future problems, should any arise.

   Check your state specific requirements to determine whether there will be additional paperwork required.

Tips & Warnings

• Clean your vehicle thoroughly before showing it to a potential buyer or putting it out for sale.

• Make sure all personal belongings are out of your vehicle prior to sale.

• Do not accpet any other means of payment besides cash, or a bank or certified check.

References

• Edmunds: Selling Tip--Edmunds.com's Quick Guide to Selling Your Car