Best and safest way to transfer funds questions

A friend and I are considering purchasing a dozer that is about 8 hrs away. I have little experience purchasing equipment out of state so maybe some of you that are more experienced can shed some light on what would be the safest way to transfer funds to a private seller? My other problem is the guy knows someone that is willing to haul it for us for an incredibly low price (or at least think it is 1200). How can I assure our dozer ends up where its suppose to? Is there some way that I can check up on the hauler beforehand? Do I need to purchase insurance on the load for the trip? Thanks beforehand for any replies, we are definitely new to purchasing and shipping large pieces of equipment so far away.

I smell scam here. Seller is arranging tractor shipment. Have you actually seen the real thing? HAve you talked to seller on phone?
Email him that you are going to be going through the dozer's location and want to look at. See what he says to that.
Where did you see the ad?
Let me also respond and see what seller says to me.

I've used a local trucking company for hauls and they will take the payment and make it to the seller upon pickup if you want it handled that way. I prefer bank checks as you can call the bank that issued it and verify that it is good before releasing it if your a seller. Otherwise you take a chance if you don't want to make the drive to make the payment and make sure it is loaded on a truck going your way. Where's it at and where is it going to? How does the seller want payment?

Yeah, we have talked to seller on the phone and are driving there leaving in the morning. We will be trying the dozer out before purchasing. I shouldve made it more clear that we will be seeing the machine in person. Im more concerned with the hauler.

I sure hope you know what you are doing on this transaction. My brother's girlfriend runs a FedEx shipping store and she recently stopped a farmer from sending a box with several thousand dollars in cash that turned out would have been a scam.

Seller hasnt specified how he wants to be paid yet.

If you bank at a large bank, they might have a bank in that location also. You could make a counter withdrawal and pay in cash. If you and your friend are going to look at it, maybe one of you could ride back with the hauler. Just a thought.

I bought a truck 1500 miles away, that is how I paid for it. I drove it back though.

If you decide that you want to buy the machine, then ask the seller how he wants to be paid. He might accept a personal check, or might bequest a bank check, or might want an electronic transfer.

Depending on what type of account you have at the bank, bank checks or electronic transfers may be no charge. One bank tried to charge me $10 for one of their bank checks - we moved our money to a different bank.

You should meet the hauler, check his equipment and find out what insurance coverage he has. Just because you are paying a hauler does not always exclude you from being liable if the hauler has an accident, especially an injury accident where the lawyers will sue everyone connected with the transaction to get a big settlement. You probably should talk to an insurance agent if you are in doubt.

I would do a wire transfer to the seller or what is called bank to bank transfer. You do not have your account used and the seller does not use his account either. Your bank transfers it to his bank through their FDIC accounts. You just need the receiving banks information: Address, phone number, and contact person. My bank calls the receiving bank and gets their FDIC information and does the transfer. It costs me $25 but it 100% safe for both.

As for the cheap haul. There is really no way to know if you will be delivered the piece unless you follow it home. LOL. How I usually do it is to paid 100% when they deliver it to me. NEVER prepay any hauling. Any serious hauler has fuel money and such. They may demand payment before they unload but let them deliver it first. If you are worried about the trucker stealing it then make sure it is insured before it is pickup on the other end. My business insurance allows me to place coverage on equipment in transit. You want the piece insured any way. Many cheap truckers do not have cargo insurance or if they do it is a low value policy. Example many grain haulers only have $20,000 policy on cargo, many used to only have $10,000 then grain prices went up.

I would do what JD Seller suggested. Hal

JD, I once asked my banker this very question and he said exactly as you did, a bank to bank transfer. That way everything has a trail and is safe. If the other party doesn't want to do that, that in itself is a BIG red flag. Any reputable business person should have a good relationship with their banker and would have no problem doing this. Mike

That's good. You have a legitimate transaction started. Take the cash. You can always get a check cut with that at any bank. Pay the hauler when he shows up at your place.

I just purchased a dozer that is 7 hours away. Met the owner,ran the machine and paid him with a personal check.He was from another state also. Called the neighbor and let him know I purchased it and he will keep an eye on it.
Getting quotes from uship on moving it.

Probably too late now. Take pics of the machine, with close ups of any defects such as dented sheet metal, cracks, fluid leaks.
To check up on the hauler. You mention out of state purchace. That means the hauler must be registered to do business in interstate commerce. Get his personal & business name, business address & DOT number. As a registered hauler he must maintain cargo & liability insurance. The load is his from the time he picks it up until it is delivered. Driver will inspect before loading, & note any damage/missing parts on the bill of lading. All copies, yours, the seller's, & the hauler's must be identical, with you or the seller signing any pre-existing damage notations. Any loss or damage in transit is on the hauler's nickle. Any reputable hauler will gladly provide a copy of his insurance certificate. If he hesitates at all, RUN AWAY AS FAST AS YOU CAN!!! Hauler can legally demand payment at destination before unloading. Be sure to inspect cargo for any missing parts or damage, & compare with your copy of the bill of lading.
Unified Carrier Registration System covers all 50 states plus Canada. Website is www dot ucr dot in dot gov. Or send me an e-mail, have phone list for all states & Canada. With the DOT number you can get the hauler's insurance coverage, safety record & a whole bunch of more information.
Willie

I am assuming it is in the 400 mile area and $3.00 a loaded mile is fair.We use wire transfers if requested otherwise personal checks or certified checks.We had a few that wanted cash but that throws up a flag when you draw out larger amounts from your own bank and can cause suspicion from federal authoritys.Always best to check it out or have someone that knows about that type of equiptment.Where equiptment is not titled it is best to get a bill of sale and there has been more than a few tractors that have been sold by someone who does not own them.

Wilie Really believe you are wrong. Having a DOT number in no implies that the guy has cargo insurance. The only way would be ask the hauler to see proof of insurance. We move upwards of 600 pieces a year and ever now and then are asked for proof of insurance but not very often. Granted in a perfect world every one would have it but because he has a dot number sure does not mean he has insurance.

jm
Agreed up to a point. However this shipment involves interstate commerce. Getting his DOT number is a place to start the research. Hauler has to have insurance to get his Unified Carrier Registration. If he cancels or lets the insurance expire the company will notify UCR. Then on a search of his DOT number the reply will be worded to the effect that operating authority cancelled due to lapse of insurance.
Side note: in the early days of mandatory car insurance in Mn, if the policy expired or was cancelled, the insurance company sent a notice to state DMV, who in turn notified the local police, who sent an officer to the owner's location & physically confiscated the license plates.
Willie

Willie you are partly correct. You have to have VEHICLE insurance to get your DOT number. There is nothing requiring cargo insurance involved with getting/having a DOT number. Also the insured value varies greatly from one policy to another.

We have to have a $50,000 minimum but that is because we haul directly for ADM sometimes. They require it not the government. This is for the cargo not liability.