Totaled Vehicle? How to Make Money Off Your Car After the Wreck

Experiencing a car accident where your vehicle has been totaled can be gut-wrenching. It can be even more sorrowful if there were injuries. But after you’ve accounted for everyone involved, and you need to get your life back in order, you may be wondering what to do with the wreck. Fortunately, you have a number of options available when your car has been determined a total loss.

Elisabeth McCullough car accident video screenshot

Agree to the Money

Accidents happen, no matter if you were the cause or not. For a serious accident with injuries, a successful lawyer may even help you recoup your losses monetarily. If the damage is extensive, and your car is no longer in driving condition, you may want to take the most common route to your dilemma. The insurance company or at-fault owner’s insurer will be able to purchase the damaged vehicle. The amount is typically received via check and based on the current cash value of the car. If you were the one at fault, your insurance provider will need to subtract the amount of your insurance deductible before issuing the funds. While this may seem like a tempting offer, you want to determine how the insurance companies came to the monetary conclusion, as you can negotiate the sum of your wrecked vehicle. You should also do your own investigative work on the vehicle’s worth to ensure that you’re getting a fair deal.

Sell Your Vehicle

Your vehicle is usually deemed a total loss if it can’t be safely repaired. You can also consider it a loss if the repair costs exceed the worth of the car. When your insurance company purchases your totaled car, it’s typically sold for materials and parts within the vehicle. Buying junk cars with a company who specializes in vehicles that are damaged, wrecked or in less-than-perfect shape offers you another option, and the best guarantee. Because you’re working with the experts, the cash for junk process is also convenient fast and easy.

Keep the Vehicle and Spend Money on Repairs

There are many reasons you may want to keep a totaled car and spend money on the repairs after an accident. An older vehicle may have sentimental value. While the cosmetic makeup of the car may have deemed it a total loss, you may also not get the best settlement cash to purchase a replacement vehicle. Whatever the reason, you can hire a trustworthy mechanic to make the necessary repairs on the totaled vehicle. If you know your way around a vehicle, you may have the experience to tackle the job and repair the car on your own. Over time, you may be able to build the wrecked vehicle back to its safe driving condition.

Donate the Car

A totaled car that is no longer in good driving condition won’t do you any good. If the car was an older model. If the car was also in poor condition to start with, it makes even more sense for you to donate it to a charitable organization. At the expense of the charity, they’ll be able to tow your car for no charge and sell the materials and parts. You are rewarded with a tax deduction. While you may see the totaled car as a hefty deduction, the IRS allows only the depreciated value of the vehicle. You can also select which charity receives the donation from your wrecked vehicle.

Coping with a serious accident can be stressful, especially when your vehicle has been totaled. But with the above four options, you’ll still be able to make money off your damaged car after the wreck. Before you make your decision, you want to do your homework to ensure that you’re getting the best deal available.

Author: Ravi Kumarr Gupta