It’s not always easy knowing when your car is scrap and should be sold to a car wreckers.
There are even times when an emotional attachment to the car is what holds you back, even when you know it is the right decision financially.
To help you decide, here are some of the things you should think about and consider when deciding if your car is scrap.
Value of the Car If It Was Running and in Good Condition
A good starting point is finding out the value of the make, model, and year of your car if it was in good, running condition. This figure should become your benchmark. Specifically, if it will cost you more to get the car to a condition where it will run and be reliable than it costs to buy a replacement, your car is almost certainly scrap.
Significant Accident Damage
Significant accident damage to a car is also a good indicator it is scrap. This isn’t just because of the cost of repairing the damage. You also have to consider the fact that further problems with the car may be discovered during the repair process. When this happens, your repair bill can increase.
You also have to factor in a potential reduction in your car’s resale value as a result of it being in a significant accident.
Minor Accident Damage
The above points on significant accident damage even apply in situations where there is minor accident damage to the car, particularly if the make, model, and year of the car has a low value.
Problems with the Engine
Diagnosing and repairing faults in a car, especially older cars, is not an exact science. This means you can get a quote for a repair, but that might still not get the car into a proper and safe working condition.
Again, your starting point should be understanding the value of your car if it was in a good running condition.
You then need to look at the estimate you have for the repair. What happens if the final repair cost is 10 percent, 20 percent, or even 50 percent higher? In these situations, would it be cheaper to scrap your car and buy a used replacement? If so, it’s probably better scrapping your car rather then handing money over to a mechanic when you are unsure the work will absolutely get the car back on the road.
Calculating the Cost of Ownership
Another thing that many people fail to consider is the cost of ownership of a car that is accident damaged or that has problems – engine problems, for example, or electrical problems.
You may be able to fix whatever is wrong with the car now, but future issues can – and probably will – occur. Could it be better to not only cut your losses, but to also get some cash in your pocket right away? It’s worth thinking about.