Bank transfer is the standard payment method for private car sales in New Zealand. Cash is sometimes used but carries risks. Here's how to handle payment safely.
Bank Transfer – The Standard Method
Wait for the funds to appear as cleared in your online banking before handing over the keys and documents. NZ bank transfers between major banks (ANZ, BNZ, ASB, Westpac, Kiwibank) typically clear within hours. Do not rely on the buyer's transfer confirmation — check your own account.
Holding Deposit
Taking a holding deposit (typically NZD 200–500) once you agree a price is standard practice. This confirms the buyer's commitment and takes the car off the market while both parties arrange the NZTA transfer. Make clear the deposit is non-refundable if the buyer backs out.
Cash – Fine for Small Amounts
Cash is acceptable in New Zealand, but for cars over NZD 5,000 bank transfer is more secure and provides a clear record. If accepting cash, count it carefully in a well-lit location.
Scams to Watch Out For
- Fake bank transfer emails: Scammers send official-looking bank emails confirming a transfer that has not occurred. Always verify in your own banking app.
- Overseas buyer scam: A 'buyer' from overseas offers to pay by bank transfer and asks you to ship the car. There is no legitimate private buyer who does this — it is a scam.
- Overpayment scam: Buyer sends more than agreed and asks you to refund the difference. The original payment is fraudulent.
