Totaled Car? These Are Your Options

If you’re wondering what to do when your car is totaled, look no further.

Many people get stressed out when they total their car because they don’t know what to do with them. While you may not be able to drive your car anymore, there are things you can do to get money for a new one.

When a car is totaled, insurance companies will look into the case to see how much money they should compensate. Aside from insurance, you can sell your car to earn more money.

Read on to learn more about what to do with a totaled car.

Check with Your Insurance Company

It’s important to check with your insurance when your car is totaled because there’s a chance that they’ll compensate you for the losses. Your insurance company will determine if they should repair your car and if the repairs would cost more than the car is worth.

Keep in mind that how your car was totaled will factor into how much you can get. In cases where you’ve gotten into an accident, you’ll need to have collision coverage. If you don’t, the insurance company won’t do much for you.

Insurance companies can go about replacing a vehicle for you, but they may only compensate you for repairs. If your vehicle is damaged beyond repair, the company is more likely to replace your vehicle, so be sure to check with them.

If you had a loan on the vehicle, you’ll still be responsible for paying that off. This means that if your loan is more than the vehicle’s worth, the insurance company won’t cover the difference. They will only compensate you for the value of the vehicle.

Insurance companies tend to send out compensation within a few days of your claim. In cases where you are financing, your check will usually go directly to the finance company. If you own the vehicle, you’ll receive the full check. 

Scrap the Vehicle for Cash

Scrapping is one of the quickest ways for you to get money for a totaled vehicle. When you scrap your car, a company will stop by and tow the vehicle for you. They’ll typically melt your car to make money from the various metals.

The downside to scrapping a car is that you won’t get much money for it. Because scrapping is meant to be a last resort, you won’t be able to get much money from it. It’s normal to see ranges of $150-300 being offered for totaled vehicles.

Sell the Car to an Auto Company

Rather than scrapping your car, you can sell it to an auto company that will use it for several things. While scrap yards try to lowball car owners, you can sell a totaled car to a company that offers good money.

Here are some of the things that a decent auto company will do with your car:

Remove Parts for Other Projects

No matter the shape and size of your total vehicle, some parts can be removed and used. This is beneficial to both you and auto companies because you can get more money while they can work on projects.

Depending on what kind of vehicle you have, your parts may be beneficial to other car owners. As vehicles get older, it becomes difficult to find the right parts for them. If your car has any of these parts, they can allow other owners to work on their vehicles.

Offer Discounted Prices

One of the best reasons to sell to an auto company is that you can give other car owners the means to buy parts without breaking the bank. These companies not only pay you good money for your car, but they also sell the parts from it at discounted prices.

Many of these companies will make vehicle yards that people can go through to browse for parts. They allow them to walk up and pull parts from vehicles as they please. If your car has been sitting on the lot for too long, a worker will pull parts themselves and put them on shelves.

Recycle When Needed

After your car has been used as much possible, an auto company will move on to recycling it. Unlike scrap yards, your car will be recycled to make new parts that can be used. These parts will still have discounted prices and can be used on projects within the company.

When your car is melted is for parts, the parts will be just as high of quality as they are when they leave manufacturers. Using a variety of molds, auto companies can make parts depending on what they need. This gives customers more options to choose from when they’re seeking parts.

Get Cash for Your Totaled Car Today

A totaled car doesn’t mean that it’s the end of the world for you. If you have things like insurance, you can get a decent amount of compensation for the loss. If you don’t have insurance, you can sell your car to several sources to get money.

There are several scrap yards and auto companies that are willing to purchase your vehicle. Scrap yards tend to pay less, so try to look for totaled auto shops that can make the most out of your car.

These shops benefit the auto community by providing low prices for parts and offering you more money. If you’d like, you can pull parts and sell them yourself.

Feel free to browse our articles to read more about the automotive industry.

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