As you look for a used car, you might come across the phrase “salvage title”in a used car advertisement. The price is going to seem right and you’re really going to buy it. A used car salvage title is not a bad idea at all, but make sure you know what you’re getting into before purchasing a used car with a salvage title.
Here you have four things for you to do before buying a vehicle with a salvage title:
• Understand What a Salvage Title Is
• Get a CarFax report
• Get a Qualified Inspection
• Weigh the savings vs. future costs
Understand What a Salvage Title Is
Basically salvage title is given to any vehicle that has persistent damage worth 75% or more of its value. For example, if you drive a 2003 car $9415 and it suffers $7061 in damage in a collision, it’s going to be branded with a title stamped “salvage.” In other words, it’s not considered fit to drive. Sometimes it is also called a junk title.
Normally it is fraud to sell a vehicle without disclosing that it once had a salvage or junk title. That’s why titles will be branded “resalvaged” or something similar to denote a vehicle that has been repaired from a salvage title.
Here you have a chief tip when dealing with a “resalvaged” title. Make the seller demonstrate what work has been done. In some states, revenues for parts and repair work have to be submitted in order to get the resalvage title.
Get a CarFax Report
Usually, CarFax reports aren’t the be-all and end-all, but you’ll find them useful when dealing with vehicles with salvage titles. They give basic facts about a vehicle’s history if you know what you’re looking for.