Buying a car at Hershey / or Auction

[John_Maine]

My dream has been to buy a car at Hershey some day and am wondering how you arrange to pay for it. I don't think I want to carry cash around but can't imagine that a seller would take a check and let you drive off with the car. Anyone bought one and how did you pay for it?

Also, if I wanted to go to the auction, same question - how do you get qualified to bid? Do you need a letter of credit from a bank? Any advice appreciated.

Only 5 months (actually a little less) to go!

[old car fan]

A letter of credit ,i would say ,would go a long way.At the auction ,a credit is required.

[1937hd45]

CASH is my favorite four letter word. Most auctions have pre auction forms to fill out before you arrive on site.

[Guest ken bogren]

CASH is my favorite four letter word. ...

Nerves of steel required to carry a pile of cash, or some secret compartment in the heel of ones shoes?

Edited May 20, 2010 by ken bogren (see edit history)

[alsancle]

The auction companies require a bank letter of guarantee which is different then a letter of credit. Basically, the letter of guarantee means that the bank will honor a check up to a set amount no matter what (including the owner of the account trying to stop it). It basically requires them to impound the funds for the life of the letter to be ready to release them. A wire is the best way to pay for any large purchases but that can only be done on business days.

[Marty Roth]

A few years back I sold a car with a price in the high 5-figures.

The seller, at my request, had his bank execute a wire transfer. I didn't have a laptop with me to check on-line, but did phone my bank's after-hours info line and confirmed that the amount had indeed been credited to my account.

In some cases the buyer's bank requires pre-authorization for a distribution.

[Durant Mike]

I always wondered if you could use American Express money orders to pay for a car at auction.

[Jim Bollman]

A friends use to use this technique, not sure it would work anymore with all the scams that have been pulled. He would take a series of certified bank checks for various amounts that could be mixed and matched with a fairly large cash stash to get pretty much any combination of dollars he would need. The cashiers checks were made out to him and he would just sign them over to the person he was buying from.

A method that I would not have believed but I saw it offered. We have been in the same space at Hershey since day one of the Chocolate field so we got to know all our neighbors (many have since died or gave up their spaces, neighborhood has went down hill ). Anyway same friend was looking to buy a car that was in the mid $20K range. He had $15k or so with him in cash and checks. He asked one of our then neighbors to look at the car. The neighbor then offered to loan him up to $10K cash that he had brought along since he hadn't found what he was looking for. How is that for an old car friend that you see once a year. As it turned out he paid part down and had the seller take it home since it would be a little closer and he didn't have a trailer with him anyway. He drove out a week later with the rest of the money and a trailer.

[John_Maine]

I know cash is best, but I don't relish traveling 650 miles to Hershey or walking the grounds with a wad of cash in my pocket or in a money belt. Nor would I want to leave cash in my motel room or the trunk of my car. I know people do, but I just think there's too much risk. It would also be difficult for me to buy a car and then have to go back and pick it up after doing a WT or waiting for a check to clear. My bank also won't issue a letter of credit without going through a complete loan application and credit check which seems like a hassle. If I find a car I want, I guess I'll figure out how to pay for it.

[bhclark]

If no cash, bank to bank wire transfer would be the best, but like mentioned above, this can only be done during business hours.

Also not sure how it would work if you don't have a local branch of your bank where you are conducting the business. Probably depends on your connection at your bank.

[Guest billybird]

I bought a car one time at the Charlotte Auto Fair. I had a certified letter of credit from my banker as well as her business card and she said feel free to have the seller call me. Funny thing though; after I bought the car, I then had two cars at Charlotte. The one I came in and my new aquisition. After I could'nt get any help from "friends", I drove the "new" car home, got my step father to take me back to Charlotte to get my "regular" car and then back home. I drove about 500 miles that day! So: take a certified letter of credit AND someone with you. I don't recommend doing it like I did.

[bhclark]

Good point billybird!

[Marty Roth]

NO NEED TO HAVE A LOCAL BRANCH OF YOUR BANK AT HERSHEY / LOCAL MEET !

When I sold my high 5-figures Brass-Car at Hershey by bank-to-bank wire-transfer, the seller phoned his bank in New England and gave them my bank's Routing # in New Orleans, Louisiana. This happened late on a Friday afternoon. Before I left for dinner at Funck's Family Restaurant in Palmyra, the amount was in my checking account, and confirmed by my cellphone call to my bank's automated system. The car was released to the shipper at the crack of dawn, we loaded it and then went to watch the show-cars drive past the Arena.

Get with your local bank and take care of the arrangements ahead of time, allowing them to do a wire transfer via your phone call or email, preferably from a specific account, and if possible, get friendly with an officer of your bank. You might even ask for their direct cellphone number. Most banks today are anxious to please and retain customers. Mine certainly is!

Edited May 21, 2010 by Marty Roth
typo (see edit history)

[Steve Moskowitz]

If you are talking about buying a car at this year's two day auction sponsored by RM just contact them and you will get complete information about what you need. I would seriously talk to someone else at your bank as if you have the funds on deposit, you should be able to get a bank letter of guarantee of funds. RM AUCTIONS

Many of the local banks are use to dealing with wire transfers, etc during the fall meet especially for the car corral. Make your arrangements before hand and it would be smooth sailing.

[Guest txase]

i am currently at the mecum auction in indy..you have to have a letter of guarantee from your bank stated exactly as the auction house specifys..you are basically preapproved for the stated amount in the letter..you then simply pay by personal check..easy..no hassle..no cash way of doing biz..

dean

[alsancle]

i am currently at the mecum auction in indy..you have to have a letter of guarantee from your bank stated exactly as the auction house specifys..you are basically preapproved for the stated amount in the letter..you then simply pay by personal check..easy..no hassle..no cash way of doing biz..

dean

The only issue with a letter of guarantee is that some banks, specifically investment banks, will not write one.

[trimacar]

A long time ago, I sold a Cameo pickup to a fellow in Texas, who in fact at the time was the president of the Cameo club. We met halfway (I was living in central Louisiana at the time). He took the truck, he gave me an envelope that had a check printed on the outside of it, filled in for the purchase price. Inside the envelope went the signed title and bill of sale. I took the envelope to my bank, cashed it, and when it cleared the envelope went to his bank and he received the canceled check/envelope and the title inside.

These days, I'd never do any such thing, and it's the only time I've ever done an envelope/check transaction. Anyone else out there ever done one?

The Pierce club sedan I sold a couple years ago, I gave the guy my bank information, his accountant who was with him got on the phone, and 15 minutes later the money was in my account. This was during the day Friday, guess that couldn't happen on a Saturday.

[Guest slipjoint]

True story – few years ago I saw a Corvette on Craig’s list – I was interested in the car but didn’t think I would fall in love with it on first site – my wife & I drive to Sacramento to a very nice big dollar home – looked at the car & fell in love – made an offer – the guy took my offer – I told him I would give him a personal check to hold the car 2 or 3 hours until I could get back with a bank check – well the guy looked at my personal check for a long time – only a couple hundred bucks – I could tell he wasn’t happy with a personal check – I explained to him it was only a deposit & that I didn’t want to take the car with me until it was paid for – he finally said OK – sooooo I got back home & told my wife if he was upset about my little personal check what would he be like with a bank check for a bunch of dollars - So I just got the cash - when we get back to the guy’s house I just flopped the cash down on the table – dem if I didn’t think the guy was going to have the big one right there on the spot! He said he had never seen so much cash at one time & this guy appeared to be a zillionair – anyway – he inspected every one of those hundred dollar bills! Every now & then he would look up & see if anyone was peeking in the windows? – He finally signed off on the title & gave me the keys but I guess “Cash” isn’t always the easy way but it’s the way I normally buy all my toyz or I don’t buy them. – tom

[trimacar]

One more thing about cash. Once, I went to buy a car, and actually ended up staying in the house with the seller and his wife for one night. I was buying a car in pieces, and it was a long, drawn out, affair. We finally got to the settlement, and I had $10,000 in cash, all wrapped and banded. I gave it to the seller, and he handed it to his wife, asking her to count it. She walked off to another room. Big mistake. She came back a few minutes later. "you're a hundred dollars short." Ummm, no, those were bank banded counted verified absolutely never touched stacks of bills. "no, hundred dollars short." I had no choice but to give them the hundred bucks out of my pocket.

Lesson learned, you can count the money, but you'll do it in front of me for sure.....

[stealthbob]

One more thing about cash. Once, I went to buy a car, and actually ended up staying in the house with the seller and his wife for one night. I was buying a car in pieces, and it was a long, drawn out, affair. We finally got to the settlement, and I had $10,000 in cash, all wrapped and banded. I gave it to the seller, and he handed it to his wife, asking her to count it. She walked off to another room. Big mistake. She came back a few minutes later. "you're a hundred dollars short." Ummm, no, those were bank banded counted verified absolutely never touched stacks of bills. "no, hundred dollars short." I had no choice but to give them the hundred bucks out of my pocket.

Lesson learned, you can count the money, but you'll do it in front of me for sure.....

Thats a grim way of making an extra 1% on a sale....

No worries...life will eventually catch up on that individual.

Personally I count it out as a pay people cash....especially when it's large amounts. They can count it again but I make sure I lay it all out first.

[Restorer32]

Years ago a guy representing a large collection picked up some Packard parts I had brought to Hershey for him. Price was about $3500. He came into our camper and opened the lid on a rather large briefcase FULL of cash. Might have been all $1s but the top layer at least was all $100s. Never underestimate the negotiating power of CASH. It's Legal Tender after all.

[trimacar]

At Hershey once, was looking at an early (teens) Oldsmobile. A fellow of French persuasion walked up with a large briefcase, he'd looked at the car before, and as I stood there he made a deal, around $15,000, offering cash. I sorta hung around just to watch, he and the buyer went under a motor home canopy, he opened the briefcase and pulled out enough stacks of 100's to pay for it; there were plenty more stacks left in the case. Yep, cash sure talks. Wonder how much cash is walking around an any given Hershey.......

[Restorer32]

Sold a Model A coupe to a fellow. When we delivered it he disappeared into the house and returned with the $11000, all small bills, nothing larger than a $20, wrapped in Saran Wrap and cold as ice. Obviously he had stored it in his freezer.

[Marty Roth]

COLD CASH !!!

Years ago (1946?) my parents were leaving home for the weekend, and feared leaving a large amount of cash in the house, much-less carrying it with them in New York City. They hid the five twenty dollar bills under an ice tray in their new Kelvinator. When they returned home they found that the bills had frozen to the metal housing around the ice cube trays in the top center of the fridge. they were afraid to tear the bills, and had to defrost the fridge.

[Restorer32]

Dad kept his stash in the basement in a waterproof box under the clothes washer.

[Guest billybird]

Dad kept his stash in the basement in a waterproof box under the clothes washer.

That paid about the same intrest banks pay right now!