Have you ever wondered, “where do donated cars go?” Maybe you have been looking into donating a car. Or, maybe you’ve just seen a lot of commercials about it lately.
What happens to your car after you give it to a charity may be important to you for several reasons. It could affect the value of your tax deduction. You may also want to make sure your car donation has the biggest charitable impact possible. After all, donating your car is a big gift!
Maybe you’ve looked into some places to donate your car, truck, van, or SUV. If you’re having trouble figuring out where your car will go after you donate it, then this could be a red flag. It should be obvious what the organization intends to do with your vehicle.
3 Places Donated Cars Typically Go:
- The cars are given to people in need. This is the goal here at Good News Garage! But, what we do with donated cars is rare in the car-donation industry. There are only a handful of car donation programs in the entire country that routinely award donated cars to people in need. We try to repair as many donated cars as possible and then give them to working, low-income individuals and families. These car recipients are featured all over our website, and often in the news, too!
- The cars are sold, whole or in part. The charity or business that receives the donated car may decide to sell the car and recoup funds from the sale. The car may be sold at an auction to a buyer who plans to use it or sell it again. Or, the charity may sell the car or parts of it to a junkyard or scrap yard. The majority of car donations organizations tend to sell most or all donated cars they receive at an auction. Some may sell them in private sales.
- The cars are used by the charity. The nonprofit that receives the donated vehicle may use it for operations. An example of this would be a program that delivers meals to people in need using a donated van. The Ready To Go program at Good News Garage uses donated vans and SUVs to provide on-demand transportation to low-income families. We are always appreciative of donated vans to help with this.
Donated Cars for People in Need
There aren’t that many places that give donated cars to people in need. However, we know that the need for safe and reliable vehicles is huge! Many low-income families cannot afford to make this big purchase.
As a car donor, giving your car to someone who really needs it to get ahead is a very generous thing to do. It’s also super helpful and makes an immediate impact. According to IRS Guidance on vehicle donations, when you donate your car to someone, you qualify for a fair-market-value tax deduction.
Curious to learn more about car donations?
Car donations are a highly useful, valuable, and sought-after item. You should make an informed decision about the organization you plan to donate to. This will make sure your vehicle has the biggest impact, and you make the best decision. Check out our FAQs for information on our donation process.