
Cashier’s checks are a common way to pay for a car in private-party transactions. They’re safer than carrying around stacks of bills and more secure and accepted than personal checks.
We’ll discuss cashier’s checks and how to use them to buy a car. But before you head to the bank, discover why cashier’s checks might not be your best move—and learn about a better way to pay.
A cashier’s check is a form of payment that your bank guarantees. When you request one, the bank teller pulls the money from your account and writes a check issued by the bank itself.
Because funds are backed by the bank, cashier’s checks are popular for high-dollar transactions between strangers. You can get one from any bank or credit union where you have an account. Just show up during business hours with your ID and make sure you have the funds.
Most private sellers accept cashier’s checks for their vehicles because:
Cashier’s checks have a long history of security and success which has helped them become one of the most popular payment methods for high-dollar private-party transactions.
Once you’ve found your dream car and you’re ready to close, you’ll need to get the cashier’s check from the bank. The process is straightforward, but you will need to plan around business hours. Here’s how it works:
This relatively easy process is why private buyers have used cashier’s checks for years. But cashier’s checks are showing their age.
Cashier’s checks are a decent payment option, but they have some frustrating downsides—especially compared to new, high-tech options.
This brings us to the biggest challenge in private car sales: trust.
Every private car sale faces a trust problem: you don’t want to pay until you have the keys and title, but the seller doesn’t want to hand over their vehicle until they know your payment is secure. Both parties are stuck in a catch-22.
Some buyers and sellers try to solve this by using an escrow service (expensive and slow) or signing a paper bill of sale (only helps if you know the other party’s real identity). Whatever you choose, you’re adding time and cost to the transaction or taking a risk.
Skip the cashier’s check. We’ve got a solution that lets you finish the deal anytime, anywhere, with complete confidence that both parties are protected.
DealNow gives you the security and finality of a cashier’s check without the bank visits, business hours, and verification hassles. Find a car you like and enjoy instant payment and a guided dealflow through our intuitive mobile app.
Here’s what we offer:
Ready to skip the bank visit and finish the deal fast? Here’s how it works:
No more rushing to verify cashier’s checks or coordinating around bank hours. Just safe, simple, and instant car purchases.
Cashier’s checks are guaranteed by a bank’s cash reserves, but the actual transfer between financial institutions isn’t instant. Banks often place holds on large deposits, even for cashier’s checks, and the full amount might not be available for several business days.
This delay can complicate private vehicle sales, especially when sellers want to confirm the payment has cleared before releasing the title. Digital payment services such as DealNow offer instant verification and transfer for immediate access to funds without holds or delays.
Banks will verify their own cashier’s checks during banking hours. Many banks won’t verify other institutions’ checks over the phone because of the potential for check scams. The safest way to verify a cashier’s check is to meet at the issuing bank during business hours. This requirement can complicate scheduling, especially for potential buyers and sellers with busy schedules or when the bank isn’t conveniently located for both parties.
Cashier’s checks can usually be written for any amount as long as you have sufficient funds in your account. For large transactions, many financial institutions require advance notice or additional verification steps. Some banks also charge higher processing fees for larger amounts.
Each cashier’s check has a unique tracking number that allows banks to trace the entire transaction. This process isn’t instant; it can take several business days and usually requires filing formal paperwork with the financial institution. If a check is lost or stolen, the tracking process becomes more time-consuming and may involve additional fees for cancellation and reissuance.
Physical cash comes with serious risks in private sales. Beyond the danger of carrying thousands of dollars, you’ve got to worry about counterfeit bills, counting errors, and the lack of a paper trail for tax purposes or proof of purchase. Cash transactions also make both parties vulnerable during the exchange. Plus, if anything goes wrong, there’s no way to trace or recover physical cash.
Most private sellers accept traditional forms of payment such as cash, cashier’s checks, or bank transfers. Some use digital payment platforms, though most have transfer limits too low for car purchases.
DealNow combines the best features of other payment methods: unlimited payments, instant payments, no business hour restrictions, bank-like security, and escrow-like safeguards. We also walk both parties through the transaction process to streamline private car transactions.
DealNow is the easiest way to close your own vehicle deal, anytime. It’s the safe and simple way to avoid fraud, sign documents, and instantly transact, all in one app.