What To Expect When You're Selling A Junk Car

Selling a junk car might seem like a no-brainer: Find a buyer, sell the car, pocket the proceeds. Nothing beats the feeling of a cash for clunkers deal, but are you getting the most money for your junk car? Like used cars that actually run, junk cars have value, and what they're worth boils down to many things, such as running condition (if the engine turns, the vehicle moves on its own power, or is unable to run), if the car has a salvage title (which is different from a rebuilt title), and the amount and severity of damage the car has.

However, certain junk vehicles can fetch higher prices from scrapyards, auctions, private buyers, and online dealers, which boils down to their weight, metal content, and parts demand. For instance, pickup trucks are heavier than most cars and have a higher part demand owing to their popularity, so you'll probably get more money for a junk pickup than a sedan.

Diesel trucks are also in high demand and can fetch higher prices at scrapyards, while SUVs, minivans, and hybrids have many usable parts like transmissions, differentials, interior pieces, batteries, and precious metals. It's the same deal with exotic and luxury cars that have sophisticated electronics and aluminum frames. 

Now that you know bigger, heavier junk cars typically command top dollar, here are other things to expect when getting rid of the old, dilapidated jalopy that's been irritating the heck out of your significant other.

Getting the most value out of your junk ride also depends on where or to whom you sell it. Junkyards are the easiest, most typical route, but their primary focus is recycling metal and they'll only pay based on the car's scrap weight. If you're thinking about hauling your ride to the junkyard (another disadvantage, since online junk car buyers typically offer free towing and hauling), try salvaging valuable parts first that you could peddle separately to online customers.

Your local dismantler or salvage yard is another great option. Unlike most junkyards, salvagers look at usable parts as well as the car's weight, which could mean more money in your pocket. Meanwhile, private buyers looking for project cars could do better than a salvage yard, but the hard part is finding an interested buyer, since those that are willing to fork over big cash are for highly desirable, collectible models like old Honda Preludes, the transcendent Volvo P1800 (which earns the distinction of being the highest-mileage car to roam the planet), and Series II Ford Broncos.

On the other hand, you can donate your junk car to nonprofits or charities. Yes, you won't get money doing so, but you can get a tax deduction for your troubles. But in order to do so, the charitable, educational, or religious institution must be registered with the IRS. Consult your accountant or visit the IRS search tool to find all the qualified Tax Exempt Organizations and Government Entities near you.

Before deciding where to sell your old, busted jalopy, try your luck with online junk car buyers like Junk Car Reaper, Peddle, Copart, or Pick-n-Pull. They usually pay more since their business models essentially combine how junkyards, scrapyards, and private auctions operate. Online buyers look at the scrap metal value, the usable spare parts, and other resale opportunities, whether at auction or to wholesale buyers.

The best part? Online junk car buyers make it easy as pie to sell your junk car. In most cases, free pickup and towing are part of the service, and getting started is merely entering the make, model, or VIN of your car to get an instant cash offer. It's a stellar option if you don't know much about cars and hate dealing with low ballers or cheapskates. The free towing part is like icing on the cake, and most will pay outright after inspecting your ride.

There are things worth checking before deciding on getting rid of your old clunker. Of course, it helps to remove valuable accessories (if any) and any personal items before heading to the scrapyard, and you should have the title and necessary documents before proceeding. The vehicle title is of utmost importance since it serves as your legal proof of ownership of the junk car.

Moreover, most states require the seller to have the title before legally selling to junkyards, scrapyards, or private buyers, since it will be close to impossible to transfer the vehicle ownership without it. Then again, it's legal for dealers to sell a car in advance of the title and paperwork, so go figure. Other documents worth having include your driver's license, registration, and insurance papers. It might sound finicky, but having papers to confirm your identity and proof of ownership of the junk car will streamline the entire selling process.

Finally, there are two things you need to do after selling your junk car. First, you might need to surrender the license plates to your local DMV to avoid future liabilities related to crimes, tolls, and traffic tickets. The last part is to cancel the auto insurance policy on the car (if any) when selling online or to a local scrapyard, but there's a catch: You should wait for the registration to be officially transferred to the new owner if you sold the car to a private buyer who plans on restoring or fixing it.