What is Salvage title?

Is Buying from a Car Auction in the USA Safe? 

By Mike Richards Updated: 05/22/2019 Posted: 10/17/2015

A number of car buyers who are considering buying from a car auction in the USA may be  worried that buying through an auction will put them at unnecessary risk. It’s important to look at the reality of buying through an auction and the simple steps that you can take to remain as safe as possible. It’s not as dangerous as many people make it out to be.

Choosing the Right Auctions

You have a number of different types of auctions from which you can choose when you are thinking of buying from a car auction in the USA. It’s possible to find public auctions, as well as police and government auctions.

Also, there are dealer auctions that require you to have a dealer license if you want to attend. However, you can work with a proxy that has a dealer license in some of these auctions. They can bid on the vehicle for you. While they charge a fee, naturally, this option can present you with some great vehicles, including new and near new vehicles that you could get at or near the wholesale price.

When you are choosing an auction house to buy from, either in-person or online, you need to look into the history of the auction house. It’s important that you consider how long they’ve been in business, as well as the reputation of the company.

If it is a brand new auction house, and you can’t find honest and actual testimony from people who have used the auction, then you should proceed with caution, or perhaps even look for a different auction house that you can verify.

Research the Vehicles

This is where people often have trouble when they buy from a car auction in the USA. They see the low prices, and they never bother to look into the car’s history to see why it is at auction. Some of the vehicles available do not have any damage. They may be a theft recovery, for example.

In other cases, the vehicles have salvage titles and they have been in an accident. This doesn’t disqualify them from being a good vehicle to buy, but the buyer needs to be aware of exactly what they are buying. For example, the vehicles with salvage titles will need to have some repairs before you can get them back on the road. However, the price might be low enough that even with the repairs, you will be under budget.

When you take the time to know the pros and cons of each vehicle, you will be able to make much better decisions when it comes to buying. If more people simply took this step when they first started considering buying from a car auction, it would make their lives much easier.

Be Careful With Personal Information

Whenever you are buying a vehicle, whether it’s from a car auction in the USA or through any other means, you need to be careful with the personal information you provide. Vetting the auction site that you are considering reduces the chance of you becoming the victim of any type of fraud.

As you can see, you do need to consider a number of things when you are buying through an auction. That does not mean it is not a safe option, though. It simply means you need to use your common sense and be careful.

Explore our Vehicle Auctions, as well as finding more information about How These Auctions Work.