How to pay for a used bike

Discussion in 'The Perfect Line and Other Riding Myths' started by disconnected, Nov 24, 2013.

  1. ChadHahn

    ChadHahn Been here awhile

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    It's not just a $10,000 a day limit; if you make numerous deposits of $10,000 or less over a period of days you will be looked into.

    I recently bought a Jeep for $4,000. I talked to the guy for about 10 minutes and told him I'd come to his house. I went to the bank, got cash, put the envelope in the glove box and headed to his house. After I agreed to buy it, I went to the car, got the envelope and paid him. Living on the edge.

    Also, here is an article about a town in Texas making money by confiscating money from people driving through.
    http://www.newyorker.com/reporting/2013/08/12/130812fa_fact_stillman

    Chad
    #81
  2. Center-stand

    Center-stand Been here awhile

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    ..

    There is no daily limit on bank deposits.

    Federal law requires notification of "cash" deposits, and withdraws, over a certain amount, I think that amount is $10,000. My bank requires that I sign paperwork if I deposit or withdraw $5000 or more in cash. I have also been presented with paper work when presenting cash for bank certified checks in amounts over $5000. My understanding is, those amounts from $5,000 to $9,999 are not reported to the Feds, but the paperwork is held at the bank for future reference if needed in an investigation of illegal activity such as money laundering or tax evasion.

    I know several people who have cash businesses, like pawn shops or bars that have many days a year with deposits over $10,000.

    ..
    #82
  3. ChadHahn

    ChadHahn Been here awhile

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    There is no law, but that doesn't mean that if somebody makes numerous large deposits that they won't be looked into. If you own a cash business you probably won't even know that the IRS investigated you, but if you don't have any reason to be making lots of large deposits don't be surprised if they think you are a drug dealer.

    There is a lot of money for law enforcement in civil asset forfeiture and if they can get your money or property they will do so.

    This is from a government money laundering pdf:

    Numerous deposits under $10,000 in a short period of time. A customer makes numerous deposits under $10,000 in an account in short periods of time, thereby avoiding the requirement to file a Currency Transaction Report. This includes deposits made at an automatic teller machine.

    http://www.ffiec.gov/bsa_aml_infobase/documents/red_flags/deposit_acct.pdf



    Chad
    #83
  4. boatpuller

    boatpuller Been here awhile

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    Nah, you lose a cashier's check, you call them and stop the check, and they issue a new one. Just like if you lost a check you wrote on your own account.

    Now, if the check has already cleared, that's different, just like if it was a check you wrote on your own account.
    #84
  5. jmq3rd

    jmq3rd .

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    I've had 3 cashier's checks canceled this year. Lost in mail. Sending bank canceled them, then there was a waiting period, then they issued a new one. Not as easy as stop payment on a personal check, but I'm pretty sure it can be done, as I have had it done.
    #85
  6. Snowbird

    Snowbird Been here awhile

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    Sorry, but on the internet, everyone is paranoid if it suits someone else's argument to call you paranoid.

    That said, I agree with you.

    For those who suggest cash as safest for the deal (but not for the one carrying it), last time I read through a thread on this topic, someone recounted a tale wherein he sold his wife's car and accepted thousands in cash only to discover later every bill was counterfeit. Years later, the police handed him what was left of the car when it was recovered.

    In my opinion, the safest method is to first go to the seller's bank and have your own bank wire the money directly. Of course, with this method, you will not be able to concoct a bill of sale showing a lower selling price to cheat your state's sales tax laws if that is something you do, which I do not. That would be the same with a cashier's check for the full amount.

    Even after exchanging the money you are not out of the woods. The bike could be stolen or subject to a lien. Last bike I bought long distance was in the same state but 300+ miles away. After taking the cashier's check, seller and I went straight to DMV and I registered it. (After getting insurance proof faxed to me.)

    The seller of that bike was a business man with all kinds of experience with shady people. He had already called my bank to confirm a cashier's check had been written, took a photo of my truck showing the plate and the bike I bought in the back.

    He wasn't paranoid; he was experienced. Now, I was paranoid. There was no way I was going to carry cash into his neighborhood, a place I'd never been. It'd be very easy to become victim of a crime that way.
    #86
  7. max384

    max384 Bandaided

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    Good point.
    #87