Peer-to-Peer Transactions
When selling your car yourself, refuse any unusual requests, such as driving the would-be buyer to another location. Often, such a request is framed to obtain money or arrange a loan to complete the sale. Instead, let the buyer make their own arrangements with the service. Then, you can ask the person to contact you when ready to conclude the sale.
Prepare the paperwork beforehand and keep the car’s title unsigned and out of sight, even if using the Private Seller Exchange service. If not using the Private Seller Exchange service, be sure the form of payment is legitimate. Stick to well-known payment options, like a cashier’s check.
Touchless payment options like Zelle, PayPal, Venmo, or CashApp may also be available, depending on vehicle cost. These online payment services allow users to send and receive funds directly and securely without exchanging bank information. However, limitations on transaction amounts may prevent using these platforms as the only payment method when buying a car.
Escrow Services
Beware of fraudulent escrow services. Private Seller Exchange handles fund transfers through a secure escrow service.
However, if selling peer-to-peer and not using the service, an escrow service holds the buyer’s payment for a fee until the seller has delivered the item purchased. Such a third-party service can protect both parties from fraud. However, scammers often set up fake escrow services. For example, they claim an affiliation with well-known companies like Kelley Blue Book and TRUSTe to create a sense of security. Kelley Blue Book, however, does not endorse any escrow services, and TRUSTe does not operate an escrow service.
Tips Before You Agree to an Escrow Service
- Avoid any payment or escrow service that implies an affiliation or partnership with KBB.com.
- Avoid any escrow service that claims to be operated by TRUSTe. TRUSTe doesn’t operate an escrow service.
- Verify an escrow service’s legitimacy by checking with state regulators.
- Research the escrow service.
- Know how much the escrow service charges and which party pays the escrow fees.
- Decline the transaction if the other party insists on using an escrow service you’re unsure about.
- Don’t click on any link the seller provides; use a search engine to open the website in a different browser to avoid scams and fraud.
- Dial the contact number listed.
- Search for the company on the Better Business Bureau website.
If any escrow-related email or website implies an affiliation with Kelley Blue Book by displaying our logo or by other means, report it to KBB.com and law enforcement.
Using Private Seller Exchange
Here’s what you can expect when selling a vehicle on Kelley Blue Book’s Private Seller Exchange.
- The marketplace checks IP addresses, emails, and phone numbers. It uses Stripe to verify IDs to help ensure a safe transaction with all buyers and sellers.
- Buyers submit payments online, while sellers securely receive funds by one of the following methods: wire transfer, other electronic fund transfer, or credit or debit card.
- The service pays off your loan, providing a seamless transfer of ownership to the buyer.
- Buyers can drive the vehicle home after the test drive. Just take precautions and follow the steps provided to ensure the transaction is complete. Read below for title transfer.
PRO TIP: To complete a sale or purchase using the Private Seller Exchange, both seller and buyer must first complete and pass ID Verification. It’s best to do that before meeting to speed up the sale.