Donate a car and get cash for Junk Cars - Donate vs Cash

Most of us have been there: We have a “junk car" we can't, don't, or won't drive anymore, but we're not sure what to do with it.

Rather than trying to pawn your car off on someone else for what little amount of “blue book" value it might have, consider the pros and cons of charity car donation vs. getting cash for your car.

Car Donation

Pros of Car Donation

When you donate a car to charity, you can:

• Make a charitable contribution to your community or community in need.

• Often take advantage of tax deductions.

• Generally, the charity must have the status 501 (c) (3) or be a religious organization for you to make a tax-deductible car donation. Ask the charity to consult such documentation or use the Internal Revenue Service (IRS) EO Selection Audit to determine if the charity has the status of 501 (c) (3). Always work with a tax professional when it's time to file your tax deductions.

• Find ways to make use of these "other vehicles" by simply picking up dust like motorcycles, boats and other recreational vehicles. (Learn more in our section on donations from other vehicles.)

• Usually, the vehicle is picked up for free. (It depends on the charity you choose.)

Cons of Car Donation

As wonderful as charitable contributions, there are some drawbacks to donating car versus cash for cars.

For example, when giving a car, you can:

• Fall prey to car donation scams, which often take away a lot of the money meant to help the charity (if the charity even exists).
• Learn more in our section on car donation scams.
• Walk without cash in your hand.
• Aside from tax deductions, there is no financial incentive to give a car to a charity.

Cash for Junk Cars

Pros of Getting Cash for Your Car

If you are skeptical about car donation, maybe getting money for your car is the best option.

Some advantages to choosing money for unwanted cars include:

• You get Cash!
• Whether you choose a formal "money for cars" program or sell your car at a garbage dump, you get money in your pocket.
• Sometimes this money acts as an incentive to buy a newer, more fuel-efficient vehicle.

• In general, you help eliminate polluting vehicles from the highway.
• Most of the money for unwanted car programs or junkyards do not put these vehicles back on the roads.
• Maybe have the vehicle picked up for free.
• It depends on the program or the discharge you choose.

Against money for an unwanted car

However, taking the money for the road of junk cars is not the best for everyone.

For example, get money for cars:

• Renounce your tax deduction option.
• You can not make a tax deduction on a vehicle you sell as you can by donating cars to charities; in fact, this could add to your income tax requirements. Speak with your tax professional before making a decision.
• Means that you need to find a way to transport your junk vehicle.
• Again, it depends on the program or the breakage, but if neither of them offers a free pickup program and your junk does not work, you are facing towing responsibilities.