It is a common conception that crashed cars inevitably wind up in open‑top dumpsters. Yet, in practice, some are salvaged and given new life with new owners. Keep reading to discover who buys crashed cars, the pros and cons of each option, and how to prepare your car for sale.
What Does “Crashed Car” Mean?
If a car has been damaged in an accident, collision, or other incident, it is considered a crashed or wrecked car. The level of damage is usually classified into four categories, which we will discuss later in the article. A car can be considered crashed even if it has incurred minor damage, such as scratches, dents, or cosmetic issues that don’t impact the vehicle’s functionality.
Salvage cars, on the other hand, require expensive repairs to restore them. A car can be labeled as "salvage" by an insurance company if its repair cost is near or exceeds the vehicle’s value. However, these are usually considered irrational and uneconomical to repair due to the significant damage caused. But no matter the level of damage, there’s always someone who can be a potential buyer. Some might buy one for restoration projects, while others might buy one for components and parts.
Who Buys Crashed Cars? Your Options Explained
Junkyards and Salvage Yards
These are the go-to options for those looking to sell their crashed cars quickly. Junkyards and salvage yards typically purchase damaged vehicles for parts or scrap metal. The process is usually straightforward: all you need is the vehicle title to prove ownership, obtain a quote, and transfer the title. However, keep in mind that payouts are generally low, as the vehicle’s value is primarily determined by its scrap metal weight and usable parts.
Additionally, junkyard buyers often act as intermediaries, buying cars from individuals and reselling them to junkyards or salvage yards. This can also lead to slightly better offers, as they may be inclined to pay more to secure a vehicle before selling it to a junkyard. However, this process may entail extra steps and negotiations.
Pros and Cons
Pros | Cons |
Super convenient | Payouts can be low if your car has reusable parts you're undervaluing |
Payouts are decent for scrap value | Might involve some haggling |
Minimal paperwork | If it's far, towing adds hassle and time |
The process usually takes only a day or two |
Dealerships and Trade-Ins
Some dealerships are willing to accept damaged vehicles as trade-ins, especially if you're purchasing another car from them. They might fix up the vehicle for resale or send it off to an auction. This option is most suitable for cars with minor to moderate damage, but it may not be available for totaled vehicles.
Pros and Cons
Pros | Cons |
Easy trade-in process when buying a new car | Lower payouts |
Streamlined paperwork | More paperwork if financing is involved |
Time-saving | Might take longer if appraisals drag on |
Private Buyers
Selling to private buyers can yield higher payouts, especially for cars with minor damage or salvage titles that mechanics might want to repair. You'll need to advertise the car on online platforms or in local listings, and be upfront about its condition to meet legal requirements. The downside is that it may take some time to find a buyer, and the negotiation process can be tricky.
Pros and Cons
Pros | Cons |
Potential for higher payouts | The least convenient listing and showing |
You control the process | Negotiating eats up time |
Basic paperwork | Paperwork can get messy with liens or titles |
Safety concerns with strangers |
Online Car-Buying Services
Online platforms are an easy way to sell cars. You enter your vehicle information and receive a quick estimate. A big advantage is that these platforms often provide free towing services. They accommodate various levels of damage, though the offers depend on the car’s condition. It’s a straightforward option for those prioritizing speed and ease.
Pros and Cons
Pros | Cons |
Very convenient with at-home appraisals and pickups | Payouts might be average |
Quick payouts via direct deposit | Less personal touch |
Minimal paperwork (online forms) | If your car doesn't match the photos, it could delay things. |
Fast process, often wrapped up in days |
Insurance Companies
If your car is totaled, there’s an insurance buyback option. Your insurance provider may suggest purchasing it directly, especially if you're interested in retaining it for spare parts or repairs. This option generally subtracts the salvage value from your settlement payment. While it's not very common, it's a good idea to inquire about it when resolving a claim.
Pros and Cons
Pros | Cons |
High convenience if they're totaling your car | Your coverage caps payouts |
The company handles claims and buys it outright | The process can take weeks |
Payouts are fair based on policy | |
Paperwork managed by the insurance company |
Preparing Your Crashed Car For Sale: How to Get the Most Money for a Crashed Car
Begin by removing valuable parts such as the stereo, good tires, or catalytic converter, as these can bring in extra cash if sold individually - just be sure it's legal in your area.
Give the car a light cleaning to improve its appearance, but don’t hide any damage - be honest about the car’s condition to prevent any disputes or price reductions later on. Being upfront about dents, mechanical problems, or missing components sets clear expectations, which can save you time and effort. If there’s a lien on the title, address it in advance to avoid delays. Having everything prepared ensures a smoother and quicker sale.
Compile all necessary documents, including the title and maintenance records, to demonstrate ownership and value. Most importantly, seek multiple quotes. Contact junkyards, online car purchase services, and private sellers to compare offers. Different buyers will assess the car's value differently; for example, salvage yards might offer low prices, while private buyers could pay more for repairable components.
Avoid accepting the first bid; exploring your options can increase your payout. Be prepared to negotiate, but know your car’s value based on its condition and current market value.
When to Sell vs. Repair a Crashed Car
To determine whether it's worth selling or repairing a crashed car, you should conduct a cost-benefit analysis. Sell your car if the damage is major and structural, such as a bent frame or totaled engine, and the repair costs exceed 50% of its value. Salvage car buyers or junkyards can offer quick cash for these vehicles. Use tools like Kelley Blue Book to estimate the vehicle’s value and obtain quotes from mechanics.
If the car has incurred minor damage, like dents or scratches, and is relatively new with low mileage, repairing it might make more sense. If you have maintained your car well and it’s of a newer model, it can still have good resale or trade-in value after repairs.
Final Thoughts
Selling a totaled vehicle, whether it has been in a crash or is otherwise damaged, can feel overwhelming. Still, there are various options available for those wondering who buys damaged cars. Junkyards and salvage yards offer quick cash for car scrapping services, while dealers may accept trade-ins.
Private buyers often seek cars that can be repaired for projects, and online platforms provide convenience. Insurance companies may purchase totaled cars during claims. Whatever your situation, there's an option available to help you sell your wrecked car.