Selling your car can be a smooth and rewarding process—or it can turn into a frustrating mess if you fall into the hands of scammers. With more buyers using online platforms and the second-hand car market heating up in 2025, it’s important to know how to protect yourself.
Whether you’re selling an old sedan, a junked ute, or a well-maintained SUV, avoiding scams is all about knowing what red flags to watch for, being prepared, and staying in control of the sale from start to finish.
Let’s break it down and help you sell your car with confidence—minus the headaches.
1. Stick to Trusted Platforms
There are a lot of places to sell your car these days—Facebook Marketplace, Gumtree, Carsales, and more. But not all platforms are created equal.
What to watch for:
Some buyers on free classifieds are just fishing for personal details or wasting your time. Fake profiles and offers that seem “too good to be true” often are.
Tip:
Use platforms with verified users and clear buyer reviews. If you’re unsure, consider selling to a licensed car buyer or car removal service—they’re regulated and usually offer instant quotes and free pick-up.
2. Don’t Share Too Much Personal Info
It might seem harmless to give a potential buyer your full name, address, or even a copy of your licence—but that’s all scammers need to do real damage.
What to do instead:
- Only meet in public places until you’re ready to finalise the sale.
- Use a secondary number or email for inquiries.
- Never send personal documents or banking details before confirming the legitimacy of the buyer.
3. Beware of Overpayment Scams
This one’s sneaky: a buyer offers to pay more than your asking price “by mistake,” then asks you to refund the difference. Later, their original payment bounces—and you’re left out of pocket.
Red flag alert:
- Any buyer who wants to pay before seeing the car.
- Anyone asking for a refund or suggesting odd payment arrangements.
Tip:
Stick to straightforward, verified payment methods: bank transfer, cash, or dealing directly with a professional car removal company.
4. Meet in Safe, Public Spaces
If you’re meeting a private buyer, don’t invite them to your home—especially if you’re alone.
Where to meet:
- Shopping centre car parks
- Police station car parks (many have designated “safe trade zones”)
- During daylight hours only
Bring a friend or family member with you if possible. Better to be safe than sorry.
5. Get Everything in Writing
Whether you’re selling to a private buyer or a licensed dealer, a receipt of sale protects both parties.
What should it include?
- Full names and addresses of buyer and seller
- Sale price
- Vehicle make, model, year, and VIN
- Date of sale
- Terms (e.g., sold as-is)
Also, make sure to complete a Notice of Disposal through VicRoads (or your local transport authority) as soon as the sale is finalised. This ensures you’re no longer legally responsible for the car.
6. Avoid Accepting Cheques or Gift Cards
Scammers will sometimes offer to pay with money orders, gift cards, or cheques—which later turn out to be fake.
Stick to:
- Direct deposit
- Instant transfer apps (with confirmation)
- Physical cash (count it on the spot)
7. Be Wary of Remote Buyers or “Agents”
Some scammers pretend to be buying on behalf of someone else. They might say they’re overseas, in the military, or buying for a family member and want to arrange a pickup and payment without ever seeing the car.
That’s a big no.
If someone doesn’t want to inspect the car or speak over the phone, walk away.
Real-World Example
A Melbourne seller once listed their car online and was contacted by someone claiming to be a FIFO worker in WA. They offered full asking price (plus extra for shipping), sent a fake PayPal confirmation, and requested a refund of the “shipping fee” via bank transfer. Luckily, the seller sensed something fishy and called PayPal directly—no payment had been made.
Scams like these happen every day. Staying alert is your best defence.
Consider Selling to a Reputable Car Removal Service
If you’re worried about scams or just want a quick, stress-free way to sell your vehicle, working with a professional cash-for-cars service can save you the trouble. These companies handle the paperwork, pay you on the spot, and take care of towing—all in one visit.
Just make sure the company is licensed, has good online reviews, and doesn’t charge hidden fees.
Ready to Sell With Confidence?
Selling your car doesn’t have to be a stressful experience—especially when you’re prepared. By staying informed and knowing what to watch out for, you can avoid the common pitfalls and ensure a smooth, safe sale.
If you’re ready to sell your car, we’re here to make the process hassle-free. Get in touch with us today for a straightforward quote, and we’ll take care of the rest!
If you are in Malvern, Victoria 3144, and looking for a cash for cars service, this is the best way to visit us.
Melbourne City Cash For Cars
201-207 Little Collins St, Melbourne VIC 3000