How to protect myself while selling a car in NJ?

This article is a step-by-step guide to protect you as the owner while selling a car in New Jersey. Even though it is a profitable transaction, a few important things should be kept in mind. The following steps will ensure a smooth process. It is not an exhaustive list, but a go-to guide that can help you navigate through the process of selling a car.

1: Screen callers thoroughly

Once you list your car on online car-selling portals, you will start receiving emails, text messages and calls from interested parties. Only speak to serious buyers on call before scheduling a test drive.

Screen potential buyers by walking them through a questionnaire to assess their needs. Take questions from them too to gauge their seriousness.

Beware of phonies. Some of these potential buyers will offer to buy your car without even seeing it. So go with a buyer in your area who you can meet in person. Tell prospective buyers that you are open for in-state checks only. In case the buyer is out-of-state and a genuine one, the banks may want to see your vehicle if the buyer is getting financing.

Ensure that your insurance coverage extends to another driver. Check the potential buyer's driver's license before you give away the keys.

2: Be careful during the test drive

Legitimate callers would want you to set up a test drive. You must pick the place, a safe one, and also a central meet-up location in a public place. Meet the buyer in the daytime at a high-traffic spot where footfall is decent. Most buyers will ask for a short test drive and not a long one. If yours wants more, let them ask you.

Check the license before the drive and accompany the driver on the test drive. Plan ahead and ask a friend or family member to join you too.

3: Ensure a safe transaction

If the buyer is truly serious, they will negotiate the price. You can discuss forms of payment well ahead in time. If the price is settled, meet them at a bank or credit union so as to complete the transaction. Deny unusual requests, like driving the would-be buyer to someplace. These are framed to get money or arrange for a loan to seal the deal. Tell the buyer to make his arrangements, leave a deposit and call you back once ready.

Do not let the buyer into your house. Conduct the transaction at the curb instead. The form of payment should be legitimate. You can verify the payment details on Federal Deposit Insurance Corporation website, FakeChecks.org. Do not accept a check that exceeds the negotiated purchase price - and your buyer requests a cash refund from you. It could be a fraud.

In case you agree to use an escrow service, take care of these tips:

• Avoid any payment or escrow service that seems dubious
• Avoid any escrow service that claims to be operated by a reputed company
• Verify an escrow service's legitimacy
• Check with state regulators.
• Decline transaction if the buyer forces you to use an escrow service that seems fake
• Open links on search engines on a different browser. Do not open links sent by the seller directly.
• Dial the contact number listed.

Once you find an escrow service you feel comfortable with, ensure the following:

• Conditions to be met before a payment
• Charges of the escrow service
• Who should pay the escrow fees

4: Maintain a paper trail

Dealerships handle all paperwork for you. But dealing with individual buyers means you are responsible for a smooth transfer. If that intimidates you, go with a cash for car buyer instead. The title transfer calls for filling up paperwork from both seller and buyer, in NJ.

Also, render an accurate odometer reading. Sign off on the title so that the odometer reading acts as proof of the moment in time. Do not round it up -- give the exact number to stay safe in case of any mishaps by the buyer.

5. Liability information.

Sign the "release of liability" and send it to your state DMV. You can also return your license plates to the DMV and get a receipt.

5: Block out personal information

Before handing over service records to the buyer, block out personal information with a big black marker like credit card numbers, phone numbers, and other personally identifiable information.

Once all the above points are taken care of, you automatically become a safe car seller in NJ.

Garima is a technical writer @ web aspiration and writing articles from last 6 years. She writes articles on technology, automotive, beauty, social media, education, digital marketing, music and many more topics.