First time selling machine - Buyer wants to use escrow?

[Saguaros]

Hi I'm potentially selling a $40k+ machine. I've been going back and forth with a buyer on FB marketplace and he seems ready to pull the trigger, but he wants to use escrow.com for the payment. Now every machine I've bought has been as-is and I pay 100% before it even gets on the truck. So obviously this isn't ideal. Is there any way I can get dumped on here if the sales agreement is "FOB Origin" and the machine is considered as-is?

Have other sellers done this?

 

[john.k]

For sure ............I sold lots and it was always cash on the floor .....wouldnt be the first machine to fall off a forklift or crane sling while loading ..............I had my own crane and forklift ,but loading was always an addon "at owners risk"...........and you better exactly define the term FOB ..where ?at your shop ?or a freight terminal? , at whose risk?...........escrow is likely lawyers ,and they dont work cheap ..........so be sure the buyer pays the fees ,not you.

 

[Fabworks]

Your terms should be COB Origin. Cash On Barrel !

 

[EmGo]

I assume he's not local ? A letter of credit is basically an escrow sale, and zhifubao is an escrow system. Paypal was originally, sort of is now. If people don't know you, then it's understandable that they'd want to make sure that money only changed hands when the goods did as well.

If it goes beyond that, maybe trouble but if it's just "here's the bill of lading, was picked up monday by consolidated, can I have my money now ?" then it's probaly fine.

I've known people to use paypal for this - costs 5% but to some people it's worth it.

 

[Pathogen]

Don't even take a check until it clears your bank after several days of it being(cleared)

If you must do cash, do the transaction at a walk in bank

 

[swatkins]

And be careful not to be "jugged " when leaving the bank! Ask me how I
Know..

 

[DavidScott]

I expect the buyer just wants a 3rd party to hold the money until the machine is out of your possession. As far as documenting all details and expectations that is good advice for any transaction.

As for checks, it takes about 2 weeks for them to clear, the bank just shows the money in your account in a few days as a courtesy.

 

[Marvel]

I expect the buyer just wants a 3rd party to hold the money until the machine is out of your possession. As far as documenting all details and expectations that is good advice for any transaction.

As for checks, it takes about 2 weeks for them to clear, the bank just shows the money in your account in a few days as a courtesy.

Depends on the bank on both sides. If you happen to bank at the same one, which isn't always the case, they can pull it immediately.

 

[Doug]

With the only machine of any substance I've bought from a private party I required the seller to work through a reputable local machinery dealer. That assured me the machine didn't have any liens on it and the seller actually owned it.

I have no idea how much the dealer charged for the service.

 

[john.k]

Im looking to buy a small excavator ,and prices are around $40,000 .....and sellers expect to get cash ,no bank transfers ,no cheques...........and there is a very good chance an excavator was bought on time payment ,or lease......maybe more than once.

 

[Bill D]

A quick search says escrow.com is a legit site. Make sure that is really the site used. I would worry if he used some almost the same name fly by night site service. Of course my quick search could just be getting fake reviews of a nonexistent company. So you need to double check.
Escrow seems like a good idea since it gives him a paper trail in case you are not the true owner.
Escrow is used all the time in real estate. I have no idea if those same companies to machine escrow deals.
Bill D

 

[Marvel]

Im looking to buy a small excavator ,and prices are around $40,000 .....and sellers expect to get cash ,no bank transfers ,no cheques...........and there is a very good chance an excavator was bought on time payment ,or lease......maybe more than once.

I bought my first machine with cash, $35k, just give your bank a courtesy heads up you are coming in to make a withdrawal that big.

 

[Aejgx6]

I've only used checks in the beginning and now wire transfers. Stupid fast and cost $10. If the guy doesn't trust you offer to pick him up at the airport and watch the machine be loaded. The terms of an escrow can get touchy. At that point you need a lawyer.

 

[Superbowl]

A quick search says escrow.com is a legit site. Make sure that is really the site used. I would worry if he used some almost the same name fly by night site service. Of course my quick search could just be getting fake reviews of a nonexistent company. So you need to double check.
Escrow seems like a good idea since it gives him a paper trail in case you are not the true owner.
Escrow is used all the time in real estate. I have no idea if those same companies to machine escrow deals.
Bill D

Yes but real estate never disappears and does not fall off a forklift.

 

[john.k]

Iv made big cash payments in the past...........I recently bought some stuff interstate ,and the seller had some mod of his credit card that allowed me to pay his card from mine ..........very useful.........otherwise it will be a bank transfer.........no cash ,too much teen crime here.

 

[Garwood]

I sold a pickup for $25k cash to this Russian guy. He didn't speak a bit of english. Windy day. He shows up with a shoebox full of $20 bills. Took awhile, but I counted every bill and it was all there.

 

[Bill D]

My grandson just bought a motorcycle from\ a private party. he paid $10,000 in hundered dollar bills. Rich neighborhood. His father came along and probably brought his pistol(s).
Bill D

 

[Bill D]

Decades ago you would pay half cash and half cashiers check. Taxes and fees only paid on the amount of the check.
Bill D

 

[dalmatiangirl61]

And be careful not to be "jugged " when leaving the bank! Ask me how I
Know..

Was this you? https://news.yahoo.com/ambushed-business-owner-opens-fire-160731370.html

 

[MwTech Inc]

I've been going back and forth with a buyer on FB marketplace

I would not be comfortable with this at all....too many scams on FB
If he won't pay cash up front walk away........