What's the process of selling a car in Barbados?

Maybe you’re ready to buy your dream car or switch your vehicle to one that matches your lifestyle better. Either way, you’re probably wondering how to go about selling your car. The car-selling process in Barbados can be daunting to first-time sellers. However, you can use this detailed overview as a guide to following the correct procedures and mitigating the risks associated with selling a car. Failing to follow the proper steps for a smooth transaction can lead to disputes, legal issues or financial loss.

How to Sell Your Car in Barbados

Once you decide you’re ready to sell your car, the first step is ensuring that your vehicle is in the best possible condition to attract potential buyers. You may want to give your car a detail before putting it on the market and confirm that your service is up to date. Check for minor scratches or dents that need to be repaired or factored into your pricing strategy. When determining a fair price, you can also check the price of similar cars on websites, social media marketplaces or in the local newspaper to compare.

Now you are ready to find a suitable buyer.

You can opt to place an ad in the local paper, post your vehicle on social media, or place a for sale sign on your car. In addition, you can let your network – friends, families and co-workers know that your vehicle is for sale and inquire if they’re interested or know anyone else who may be. You’d be surprised how effective this can be but ultimately it’s up to you to do your due diligence to vet interested people and make your selection. When advertising your vehicle, include clear pictures and key details such as the make, model, year and mileage of the car. Advise buyers on the condition of the vehicle, your asking price and how they can contact you if interested. Once you gather a list of potential buyers, you can make arrangements to meet in a safe, public location so that persons can view the vehicle, test drive and ask any other relevant questions. Always consider that buyers may offer a price under your asking so be prepared to negotiate and have a minimum price in mind.

Complete the Necessary Paperwork

In Barbados, transferring ownership of a vehicle involves some specific steps. Here’s what you’ll need:

Transfer of Ownership Form (Form RF9): This is required by the Barbados Revenue Authority (BRA). Both you and the buyer must fill this out and sign it.
Certificate of Roadworthiness: This is necessary to confirm the car is in a drivable condition. If it’s close to expiring, renew it before the sale.
Insurance Coverage: The buyer must show proof of insurance before the car can be legally transferred.
Bill of Sale: Draft a simple agreement outlining the terms of the sale, including the agreed price, date of sale, and signatures from both parties.
Vehicle Registration Certificate: Hand this over to the buyer after completing the sale.

Visit the Barbados Revenue Authority to officially transfer ownership. The buyer is responsible for paying the transfer fee, but ensure all forms are completed correctly to avoid delays.

Once you pick a buyer, according to the Barbados Road Code, you must:

Give notice of the change of ownership of the vehicle in writing to the Licensing Authority for the parish in respect of which the motor vehicle is licensed.
Complete the Transfer of Ownership Form required by the Barbados Revenue Authority
Inform the Licensing Authority of the name and address of the new owner of the vehicle
Return to the Licensing Authority the registration card issued in respect of such motor vehicle

You should also let the Licensing Authority know if you intend to keep the registration number. You can access the forms to sell your vehicle here.

You can also visit the Barbados Revenue Authority website to fill out the forms to apply for vehicle transfer or first-time registration.

License numbers can be reserved for a specific period, so check with the BLA on how long they will hold your number.

Risks and Challenges Involved in Selling a Car

There are inherent risks and challenges involved with selling a car.

Some risks and challenges you may face trying to sell your car include:

Indecisive potential buyers – You may have potential buyers stringing you along with no real intention of purchasing the car. This can be time-consuming and frustrating as you navigate test-driving sessions, phone calls, and inspections by their mechanics.
Length of time to sell – Depending on the make, model, state, and price of your car, you may have difficulty selling it. To mitigate this problem, try to find out the retail price of the car, be realistic, and regularly maintain your car.
Fraudulent buyers – Be wary of people or companies encouraging you to pay a deposit or those offering you the upfront cost using sketchy means. You have to be on the lookout for bad cheques and fake escrows. You may also be exposed to premium rate scams via text messages or become the victim of phishing emails seeking payment information.
Disputes from buyers- Buyers may threaten you if they change their mind, feel that you should be liable for a car issue, or due to any dissatisfaction with their purchase. You may be tied up with court disputes as well as experience harassment whether in person, over the phone, or online. While there is no foolproof way to avoid this, being honest upfront with your buyer can help them make an informed decision and manage their expectations.
Incomplete documentation- Ensure you gather all required documents before trying to sell your car to avoid hiccups in the process.

Tips for Buying and Selling a Car in Barbados

If you’re planning on buying a car in Barbados, here are some tips to help you safely find your next car:

Conduct thorough background checks on the vehicle. For example, check that the road tax is up to date and whether or not it’s been reported stolen or scrapped.
Verify ownership and ensure you get proper documentation. You’ll need proper documentation to ensure a legal sale.
Make sure you bring a mechanic to check out the vehicle. Your mechanic will be able to see issues or potential issues you can easily miss. Do not rely on the seller’s assessment of the vehicle or their mechanic.
Verify that the vehicle you are buying has the correct chassis, engine, and registration numbers by contacting the Barbados Licensing Authority.
Avoid paying for a vehicle you did not see, verify the information for, and have inspected by a third party.
Use secure payment methods such as bank transfers, credit cards, and cheques. If you’re taking cash, do the handover in a bank to have the notes checked.
Meet in safe, public locations such as a police station.
Avoid carrying large sums of cash. Doing so can make you a target and run you the risk of losing it.
Have a trusted person accompany you during viewings or test drives.

General Safety Precautions

You have to be very careful when buying and selling a car. Here are some general safety precautions to help you to protect yourself:

Keep all correspondence and agreements in writing.
Avoid sharing personal details unnecessarily.
Stay vigilant against scams or fraudulent buyers/sellers. If something is too good to be true, it probably is. Always do your due diligence.
Collect and keep receipts in a safe place.

Selling a car in Barbados comes with its unique risks and challenges, but can be a rewarding experience. Always ensure you do your due diligence and do everything legally and safely. Vet your buyers carefully, keep your car in your possession until you’ve been fully paid, and be on the lookout for fraudsters.

Once your car is sold and you’re looking for insurance for your new ride, consider General Accident. We’re ready to help you protect your new, prized possession. Fill out this form for a quick quote today.