Scam. They just want the $500.
I bought and sold my BMW M3 privately (>70k bought, sold for >40k), both times were reasonably smooth.
I was paid with a cash deposit and then a bank draft for the remaining value. I was a bit worried that the draft wouldn't clear, but it ended up being okay.
Based on the quote I got from the dealer, I sold it for about 6k (~15%) more than what the dealer would've paid me.
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