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How to Buy a Salvage Title Vehicle
The process to buy a salvage title vehicle is tricky, but if you are willing to take the risk it could save you a lot of money. A car that is totaled by the insurance company after a wreck becomes a salvage vehicle. Insurance companies then sell these vehicles to dealers at auto auctions. Before buying your salvaged car there are some things you should know.
First, you have to pay cash for the car. No finance company will approve a loan for a salvaged vehicle. You may be able to get an unsecured loan from your bank for a salvaged car, but most likely you are stuck paying cash. Secondly, you want to know what happened to the car before buying it. While buying any car is a risk, buying a salvaged vehicle is a much greater one. Salvaged vehicles can be repaired improperly, plus you will not be getting any sort of warranty on your car at all.
Some states require salvage titles on cars that suffer significant damage but are not totaled. It is important when looking at a salvage title to understand what happened to the car, get a vehicle history report, ask a lot of questions and most importantly have the car inspected by an independent third party. With a bit of work you may be able to get a decent vehicle for well below cost if you are willing to take a risk and do your homework.
