Buying a horse. Pay loaner or owner? Best payment methods.

exracehorse

exracehorse

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Hopefully, shall be picking up my new horse in 3 weeks time. Horse is being sold on behalf of owner. Horse has been with loaner for two years. Owner now selling due to ill health and would be unable to have horse back. Loaner doesn't want to purchase. I'm happy with all of the that. Loaner is wonderful and has really put herself out for viewings for us. I have spoken to owner on telephone. Shall never meet owner as too far away. I was going to give the loaner cash on day of collection and have her sign a bill of sale to say we had bought the horse via her on behalf of the owner, or something like that. Owner, however, wants a cheque sent, which she will then cash prior to collection. My concerns on this is that if the horse dropped down dead before collection etc, I would be out of pocket and minus a horse and would have to try to get my money back from a stranger. The passport is with the loaner. Im sure horses many horses have been sold without owner being present through a third party but not sure best way to deal with the financial side.
 
If there is internet access where you pick up the horse from, you could pay by direct bank transfer. That is pretty instant.
 
I don't have internet banking. Its the old fashioned savings book. But your idea makes sense. I think its because, in the past, Ive always the owner direct and paid in cash direct, and not via third party. And the cheque idea, worries me.
 
I sell a few for clients, not loaning but much the same in that the owners rarely meet the buyer, I take cash on collection, a bankers draft or a direct transfer to the owner, in your case a bankers draft is probably the safest way for all involved have it made out in the owners name and hand it over on collection, the loaner posts it or delivers it by hand with no chance of you being able to stop it if you get home and decide you don't want the horse, you can still change your mind if you arrive to pick it up and something is amiss, which if you have sent a cheque will not be possible.
 
Even if you don't bank online, you could still pay via PayPal - that's how I purchased my gelding.
 
Tricky one this. I would be inclined to pay the owner, by bank transfer if necessary, or Paypal. I'm not saying there is anything wrong with the loaner, but what if she somehow pocketed your money rather than the owner? Or didn't send the cheque for ages?
 
How remote is the location where the horse and loaner are? Could you take the cash with you, meet up with loaner and the horse, check it over, then drive with the loaner to the bank and pay in the cash over the counter into the owner's account, before going back and picking up the horse?

I did something similar when buying a car, although dealt with the owner, I guess he was a bit afraid of keeping that much cash in the house or taking forged notes? Not sure but I didn't question it. Test drove the car and checked it all over first before handing over the cash.
 
3OldPonies said:
Tricky one this. I would be inclined to pay the owner, by bank transfer if necessary, or Paypal. I'm not saying there is anything wrong with the loaner, but what if she somehow pocketed your money rather than the owner? Or didn't send the cheque for ages?
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I don't have Internet banking.
 
You can do a transfer over the phone with your telephone banking. You could do this on the day you pick up and usually shows very quickly into the account you are transferring into and the owner then has the money swiftly.
 
3OldPonies said:
Tricky one this. I would be inclined to pay the owner, by bank transfer if necessary, or Paypal. I'm not saying there is anything wrong with the loaner, but what if she somehow pocketed your money rather than the owner? Or didn't send the cheque for ages?
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AMP said:
How remote is the location where the horse and loaner are? Could you take the cash with you, meet up with loaner and the horse, check it over, then drive with the loaner to the bank and pay in the cash over the counter into the owner's account, before going back and picking up the horse?

I did something similar when buying a car, although dealt with the owner, I guess he was a bit afraid of keeping that much cash in the house or taking forged notes? Not sure but I didn't question it. Test drove the car and checked it all over first before handing over the cash.
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We are collect ing on a Sunday. I'll speak to the owner again. Can't do transfer via Internet as I don't have Internet banking set up. I can take a bank cheque with me made payable to owner to give to loaner or cash. But cheque would probably be better.
 
It seems very odd to me that the owner trusts the loaner with the horse, and has done so for two years but doesn't trust her to pass on the cash. However, if she doesn't, she doesn't. If not paying cash, I have usually paid with a Building Society cheque which can't bounce or be cancelled. You could get one made out to the owner and give it to the loaner to pass on, or ask the loaner to witness you post it.
 
PayPal is the easiest way if you dont have internet banking - you dont need a PayPal account, nor does the owner. All you need is the owner's email address and you can transfer funds that way. Second alternative - telephone banking. Ring your bank, with the owner's account number and sort code, and they will set up the transfer that way. Instant and far easier than messing around with owner vs loaner issue.

Final alternative - send the cheque to the owner, but date it on the day you are collecting the horse, that way owner can only cash the cheque on the day you have the horse.

Definitely dont give any money to the loaner (not worth the risk of loaner not giving the owner the money), and definitely dont pay for the horse before you have collected it either. Handover of cash needs to be on the day - if the owner is not happy with that then I'd walk away from the sale as clearly something odd is going on if they want your money before they are willing to let you collect the horse.
 
What does the owner want to do?
I wouldn't be happy paying cash to the loaner... who then presumably has to get it to the owner some how?
there are a lot of possibilities you could use depending on the owners preference.
 
Tbh if the owner is worried about receiving the payment, it is up to them to get off their 'ar*e' and be there on the day of collection to get the cash……(or send someone they trust if they can't!).

I have always paid cash for any horse I have bought and paid on collection, minus any deposit we happened to have left. I would not be happy not paying the owner so see the dilemma.
 
Am I the only one who feels this might be off - or have I been watching too many cynical programmes. I think you need to go to the owners address on the passport and check the owner really wants to sell. What if the "owner" you have spoken with is in fact not. There are cases of loaners passing horses on without their knowledge....Id also want to hand cash over to actual owner not the loaner. Forgive me for my cold water/doom and gloom but a more thorough check of ownership will save potential heartache later.
 
I'm with Midlifecrisis on this. The loaner is not a professional third party acting as the owners agent in the sale, so I would want to pay the owner.

I can see why the owner wants a cheque. But its not the easiest option, bank transfer is. You need the owners name, account number, sort code and the name of the bank (you can't take money out with that info, only put it in. The seller can confirm this with their bank if they want). Go into your branch and do the transfer there. Pay extra if necessary for a same-day transfer and collect horse that day.

If paying by paypal it takes a few days to set up an account because they take a few pence out of your account then put it back, to prove its real or something. The the seller also needs a paypal account. You don't send money to their email address! That email address needs to be linked to a paypal account or the money floats about unclaimed in cyber space for 30 days before bouncing back to the person who paid it.

You could do a bankers draft but I expect the seller would want it paid into their account before releasing the horse. It wouldn't take time to clear like a cheque, it would be instant. As previous posters have said you can't cancel it once its made so its safe for the seller. Only trouble is who knows what one looks like and could therefore spot a fake? That's why I suspect the seller may want to pay it in first.

ETA for clarity, a bank transfer is not internet banking, though it can be done online it doesn't have to be. All a bank transfer requires is two bank accounts, one to have money taken out and one to have money put in it. It's how most employers pay people.
 
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the owner needs to be there on the day of sale to take receipt of the cash, I would want the signature of the person who says they are the owner on a receipt of sale.

sounds a bit risky to me, not met the owner, not a professional selling the horse, owner not being present at the sale and wanting the money in their bank before you collect even though you are offering cash on collection
 
I see what you mean about the signature on the receipt, but as long as the owner has signed the transfer of ownership form (if there is one) in the passport, I'd be happy. Also if the name on the bank account for the bank transfer matches that of the owner listed in the passport, would that not be safe enough? I've only ever bought direct from an owner with cash before.
 
I was in the same situation when I purchased my horse. The horse was being sold on behalf of owner who I never met all I did was give the seller the cheques made out to the owner when they delivered him!! and got a receipt. But maybe I was lucky?
 
I don't know where I stand. Collected horse last Sunday from loaner. Owner wanted pre payment which I said no. Didn't want money or bankers draft given to loanee and said send bankers cheque after pick up
On Monday raised a bank cheque with Santander and sent recorded delivery. Money gone from my account to raise cheque. Have proof of a recorded delivery item on tracking number. Owner rung today and not happy as not received on the Wednesday. Asking for payment. I thought it would have arrived within 3 days as first class recorded. If cheque is lost, can I cancel it? What if she demands horse back?
 
Get someone, one of us even, to track the number online now, and see if it has been delivered. The royal mail site will tell you.

If you pm me the tracking number, I'll do it and get right back to you.
 
exracehorse said:
I don't know where I stand. Collected horse last Sunday from loaner. Owner wanted pre payment which I said no. Didn't want money or bankers draft given to loanee and said send bankers cheque after pick up
On Monday raised a bank cheque with Santander and sent recorded delivery. Money gone from my account to raise cheque. Have proof of a recorded delivery item on tracking number. Owner rung today and not happy as not received on the Wednesday. Asking for payment. I thought it would have arrived within 3 days as first class recorded. If cheque is lost, can I cancel it? What if she demands horse back?
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If it's a bank draft (which this sounds like it is as the money went from your account at the time of issue) it's not a matter of just cancelling it, as a bank draft is like cash which is why many buyers like them. If it was a cheque the money would not have been taken from your account at the time it was issued, it would be taken when the cheque was cashed by the recipient.

First thing to do is check the tracking number for the recorded delivery and go from there.
 
If the money has gone from your account, the the cheque must have been put into someone's bank account. With my account, as soon as the cheque is paid in, it will 'reserve' the money, even though it won't clear for 5 days so doesn't effect overdraft fees, then once it clears, it will show on the statement. Sounds to me like they are trying to do you over.
 
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