Welcome, Guest: Register On Nairaland / LOGIN! / Trending / Recent / New
Stats: 3,207,342 members, 7,998,654 topics. Date: Saturday, 09 November 2024 at 10:15 PM

***You Can Actually Get A Cheap, Good Car At Salvage Auction*** - Car Talk - Nairaland

Nairaland Forum / Nairaland / General / Car Talk / ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** (18476 Views)

See What Droppng Your Car At Some Carwash Can Cause You - Photos / Has Any One Actually Seen This? / Is Toyota Matrix A Very Good Car For Guys (2) (3) (4)

(1) (2) (3) (Reply) (Go Down)

***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by BizBooks(m): 12:51pm On Jun 20, 2013
Preamble: Several companies and individuals here on NL have been actively encouraging
Nigerians to bid on cars at US auctions. They make it sound very easy and painless. While
bidding is easy, there are numerous pitfalls along the way which these companies do
not disclose until it is too late. The purpose of this thread is to prevent you from
falling into such pitfalls.


On a recent trip to Nigeria, a number of friends and acquaintances came to me with one
request – “Please help us buy good quality salvage cars from the US”. I politely told
them I will not be able to help since I do not go to salvage auctions and know absolutely
nothing about them. In fact, I attended my one and only salvage auction at Brandywine
back in 1998.

They pressed on and asked me to research the business when I get back. After I got back, I
forgot all about it until they started calling and asking how far I had gone with my research.
Soon after, I joined the major salvage auction companies here and commenced the research.
After a week, I felt I was ready and told them so. They wired money for the purchases and
told me what they wanted.

Without going into all the intricacies of salvage auctions, I will like to say the following:

1. Bidding on a car at salvage auctions is quite easy. In fact you can bid from the
comfort of your own home in Lagos. All you need is a computer and internet access. But
don’t let that fool you. Before you bid, you must have somebody on the ground in the US
who will help you in completing the transaction. If not, you may end up paying hundreds
of dollars in storage and late fees. For instance, if you win a car at Copart, you have
2 days to make full payment. Penalties will start accruing if full payment is not made
within that time. Also you have 4 days to remove the car from their premises once the
auction ends. After 4 days, they will start charging a $20 storage fee per day.

2. Do not let the low selling prices fool you also. Remember, after you win a car, the
auction company will add all kinds of fees and commissions to the final price. For
instance, a car that you bought for $1500 will end up costing you almost $1900 after all
the fees and commissions are added. If you fail to pay within 2 days or remove the car
within 4 days, the final figure will be much higher than $1900.

3. Before you bid on car, do proper research and verify that it runs and drives. This
is very important since most of the major shipping lines in the US no longer accept
non-running vehicles (unless you put them in a container). I have talked to Grimaldi,
AES and Sallaum and they all said the same thing, “No”.

4. All cars at salvage auctions are not equal. Most are in horrible condition while a few
are in excellent or close to excellent shape. The important thing is to take the time and
find those in excellent shape. When you find one, don’t expect to get it at a rock bottom
price as many people will most likely be bidding on it too.

With proper research, you too can get good quality cars from salvage auction. Remember to
read each auction’s FAQ and ask plenty of questions. Happy Bidding.

Important: Some people who bought cars from Nigeria without proper research have been
forced to abandon them here in the US when the cost got out of hand. For instance, those
that bought non-running cars had them rejected at the Port. They were then left at the
shipping company’s parking premises where they accumulated hundreds of dollars in storage
fees and eventually abandoned. Also, if you buy a severely damaged car, it may be rejected
at the Port even if it runs and drives.

2 Likes

Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by symbianDON(m): 10:24pm On Jun 20, 2013
nice one. Quite informative. Thanks.
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by BizBooks(m): 1:28am On Jun 22, 2013
It appears one week is not enough to learn the intricacies of salvage auctions. I have now
encountered 2 big problems on 2 of the 4 cars I bought for somebody. We are still looking
for ways to resolve the problems...will provide more details later.
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by BizBooks(m): 5:51pm On Jun 22, 2013
Problem 1: Do not buy a car at salvage auction based solely on appearance. I bought the
sparkling Toyota Camry Tiny Light below because it was super clean in and out. When I went
to pick it up, I discovered to my dismay that it wouldn't start. Granted it may be a minor
problem but this means that I have to ship it on a container since it doesn't drive. The
owner doesn't want to fix it here since American mechanics are too expensive. I think he
made the right decision (most mechanics here will charge 70 - $100 just to tell you what's
wrong with your car).

The moral of the story is:
Do not buy any car from salvage auction unless it clearly states
"Runs and Drives". If it simply states "Engine Start", do not buy it. It will not drive and
shipping companies will not accept it for RORO.
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by ikedek: 9:35pm On Jun 22, 2013
Thanks for the infos
Can u let us have some salvage auction websites?
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by BizBooks(m): 11:05pm On Jun 22, 2013
ikedek: Thanks for the infos
Can u let us have some salvage auction websites?

The popular salvage auctions here include Copart.com, iaai.com and exporttrader.com. I am
using the term "salvage auction" loosely as some of them sell both clean and salvage cars.
Copart appears to be the easiest to deal with. The others have too many requirements and
restrictions especially if you do not have a dealer license.
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by ikedek: 10:01am On Jun 23, 2013
Thanks for ur reply
Are u based in the Us?
If yes what state?
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by BizBooks(m): 1:11pm On Jun 23, 2013
ikedek: Thanks for ur reply
Are u based in the Us?
If yes what state?

I'm in the East Coast. This thread is mainly for educational purposes. So I will not discuss
business matters here. If you need help buying or shipping a car from the US or if you
encountered problems with a car you already bought at auction, contact me at [email]BizMotors@aol.com[/email]
I may be able to assist you.

1 Like

Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by Nobody: 1:50pm On Jun 23, 2013
Copart is good, I've been a registered member since 2007, and purchased quite a lot from them on behalf of my clients.
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by FindOut(m): 2:07pm On Jun 23, 2013
Very good thread. Bizbooks, I'm currently working on an article on buying salvage cars from the US. Do I have your permission to use some of the info you have provided as part of the article? It will be on this website: www.autoinfo.com.ng

Thanks.

1 Like

Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by BizBooks(m): 2:26pm On Jun 23, 2013
@Find Out,

Yes, you are free to use some or all of the information without attribution.

4 Likes

Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by FindOut(m): 3:53pm On Jun 23, 2013
BizBooks: @Find Out,

Yes, you are free to use some or all of the information without attribution.

Thanks a lot . However, I shall still acknowledge you as a source smiley
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by ikedek: 4:20pm On Jun 23, 2013
Ok Bizbooks I wil write you,thx
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by BizBooks(m): 1:18pm On Jun 27, 2013
Mistake Number 2: I have talked about the first mistake I made at salvage auction wherein I
bought a car based solely on appearance. Upon picking up the car, I discovered it wouldn't
start even after it was jumped. The second mistake was buying a car without first verifying
that the title is available. I have known for quite a long time never to buy a car if the
title is not ready. Here in the US, a car is worthless without the title since you cannot
ship, drive or register it.

But in this instance, the folks at Copart were a little deceptive in their advertizing and
still are. Instead of clearly stating that the title is not available, they wrote a "P"
under the title column. When I saw the "P", I did not pay much attention to it. After I
purchased the car, Copart then told me that the "P" means "Title Pending" and that the
seller has up to 30 days to send it. To make matters worse, they insisted that I pick up
the car within 4 days or else it will incur storage fees. In my opinion this is very
mean-spirited on their part since they know that a buyer cannot do anything with a car
without the title. Now instead of taking the car directly to the Port, I had to park
it somewhere while we wait for the title. When and if the title ever becomes available,
I have to pay the tow truck driver a second time to take the car to the Port.

So if you are trying to buy a car on Copart and see something like this:
Title State/Type: CERTIFICATE OF TITLE (P), do not buy that car. That (P) means "Pending".
However, if you decide to buy a car with a "Pending Title", make sure you have a place where
the car will be kept while you wait for the title. Copart will not allow you to keep it on
their premises even though they know you cannot ship it without the title.

4 Likes

Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by EvilSirit: 4:05am On Jun 28, 2013
BizBooks: Mistake Number 2: I have talked about the first mistake I made at salvage auction wherein I
bought a car based solely on appearance. Upon picking up the car, I discovered it wouldn't
start even after it was jumped. The second mistake was buying a car without first verifying
that the title is available. I have known for quite a long time never to buy a car if the
title is not ready. Here in the US, a car is worthless without the title since you cannot
ship, drive or register it.

But in this instance, the folks at Copart were a little deceptive in their advertizing and
still are. Instead of clearly stating that the title is not available, they wrote a "P"
under the title column. When I saw the "P", I did not pay much attention to it. After I
purchased the car, Copart then told me that the "P" means "Title Pending" and that the
seller has up to 30 days to send it. To make matters worse, they insisted that I pick up
the car within 4 days or else it will incur storage fees. In my opinion this is very
mean-spirited on their part since they know that a buyer cannot do anything with a car
without the title. Now instead of taking the car directly to the Port, I had to park
it somewhere while we wait for the title. When and if the title ever becomes available,
I have to pay the tow truck driver a second time to take the car to the Port.

So if you are trying to buy a car on Copart and see something like this:
Title State/Type: CERTIFICATE OF TITLE (P), do not buy that car. That (P) means "Pending".
However, if you decide to buy a car with a "Pending Title", make sure you have a place where
the car will be kept while you wait for the title. Copart will not allow you to keep it on
their premises even though they know you cannot ship it without the title.
Thanks for the insight

1 Like

Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by calculusx(m): 6:05pm On Jun 30, 2013
Bizbooks, there are too many things to learn when buying from salvage auction. With my 5yrs experience,i'm still learning. Sales Tax is another thing to look out for as Tax Laws differs for each state. I bet you will enjoy iaai more than copart. Happy Bidding

1 Like

Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by BizBooks(m): 7:19pm On Jun 30, 2013
calculusx: Sales Tax is another thing to look out for as Tax Laws differs for each state.

Sales Tax? Copart does not charge sales tax. So far, I have purchased 4 cars from them and
was not charged sales tax for any of them. Do they charge sales tax at iaai?
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by calculusx(m): 8:31pm On Jun 30, 2013
BizBooks:

Sales Tax? Copart does not charge sales tax. So far, I have purchased 4 cars from them and
was not charged sales tax for any of them. Do they charge sales tax at iaai?

Yes they do and the Tax can be double in some states. I will advise you try iaai cos they provide more details about their vehicles. As for Copart,hhmm i have my reservations for them
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by bellong: 8:51am On Jul 02, 2013
calculusx:

Yes they do and the Tax can be double in some states. I will advise you try iaai cos they provide more details about their vehicles. As for Copart,hhmm i have my reservations for them

You will only be charged a sales tax if you didn't submit tax forms. They have some tax exemption forms on their website which are expected to be submitted before an out of state buyer can be exempted. IAAI too has those forms. Fill the forms and send to customer service, follow it up with a call and your registration will be updated. You will be exempted from the tax.

Maybe you were charged because you didn't submit the forms. IAAI and Copart to me are the same. salvage autos, I am registered on both.
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by calculusx(m): 9:03am On Jul 02, 2013
bellong:

You will only be charged a sales tax if you didn't submit tax forms. They have some tax exemption forms on their website which are expected to be submitted before an out of state buyer can be exempted. IAAI too has those forms. Fill the forms and send to customer service, follow it up with a call and your registration will be updated. You will be exempted from the tax.

Maybe you were charged because you didn't submit the forms. IAAI and Copart to me are the same. salvage autos, I am registered on both.

Thanks bro. Its part of the learning process.

1 Like

Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by bellong: 9:08am On Jul 02, 2013
calculusx:

Thanks bro. Its part of the learning process.

Welcome sire.... I know the address of your office.. Grew up in that area.
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by Emperoh(m): 4:54pm On Jul 02, 2013
I have never paid sales tax on any purchase. Maybe because i have always rented a licence to be able to buy.

As per which is better between IAA and Copart; i can't say. Like Bellong, i use both and it is dependent on where i get a good deal. Cars on Copart are cleared to view in terms of picture quality than IAA but IAA gives you more details in terms of situation.

Whichever way, i ensure i do my due diligence before i bid. I also prefer to buy cars with Insurance companies as seller than private individuals.

All in all, i have been on this business for about 4 years now and i am still learning
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by TopeFl(m): 6:06am On Jul 03, 2013
One Copart location is right behind my house here in Gibsonton (12020 U.S. 301 Riverview, FL 33578)They do not charge taxes. You have to have a broker to register you for a certain amount to be able to buy cars. Each car u buy, u would pay the broker and also Copart fees. I walk into the copart grounds to check the cars out then go back home and bid online when its 12pm on friday (thats the sale time for this location). I buy often from there per demand from Naija brothers. I can be of help to anyone interested. I might be there again this week.

tip2datop@yahoo.com
www.folatopeautos.com
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by BizBooks(m): 10:55am On Jul 03, 2013
@Tope Fl,

You're right. Copart does not charge sales tax. I think Calculusx is confusing their commission
with sales tax.
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by lotannam: 6:40pm On Jul 03, 2013
Please can someone tell me how much coport charges as commission.as in the %
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by bellong: 7:45pm On Jul 03, 2013
lotannam: Please can someone tell me how much coport charges as commission.as in the %


The commission is not in percentage but in ranges of price paid. U can get the list on their website
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by famousdude: 5:42pm On Jul 06, 2013
Please,how much does it take to rent a car for a day?
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by FKBZ: 5:07pm On Jul 10, 2013
hello guys would love to get a car from salvage auction saw some for below 1000 dollars and wont mind getting it but i want to know what it takes to ship to nigeria.

if there is anyone out dere dat can purchase one of me and i do the payment.

pls holla.

based in nigeria though.
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by bellong: 5:17pm On Jul 10, 2013
FKBZ: hello guys would love to get a car from salvage auction saw some for below 1000 dollars and wont mind getting it but i want to know what it takes to ship to nigeria.

if there is anyone out dere dat can purchase one of me and i do the payment.

pls holla.

based in nigeria though.

Depends on the level of damage you are looking at. Are they runners or non-runners? If they are non-runners, they will have to be containerised. Which of the auctions are you interested in?
A running vehicle can be shipped via ro-ro provided the accident is not beyond what the shipping company can accept.
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by Dizzybizzy: 1:47pm On Jul 13, 2013
BizBooks: Problem 1: Do not buy a car at salvage auction based solely on appearance. I bought the
sparkling Toyota Camry Tiny Light below because it was super clean in and out. When I went
to pick it up, I discovered to my dismay that it wouldn't start. Granted it may be a minor
problem but this means that I have to ship it on a container since it doesn't drive. The
owner doesn't want to fix it here since American mechanics are too expensive. I think he
made the right decision (most mechanics here will charge 70 - $100 just to tell you what's
wrong with your car).

The moral of the story is:
Do not buy any car from salvage auction unless it clearly states
"Runs and Drives". If it simply states "Engine Start", do not buy it. It will not drive and
shipping companies will not accept it for RORO.
I bought a similar vehicle from Copart 5 weeks ago. It was clearly stated "Run and Drive"
Unfortunately when the truck driver went to the yard, he discovered the vehicle doesn't even start. He bought a new battery and fixed and yet it didn't start.
Now I'm forced to accept the vehicle in that condition because "all sales are final and "as is, "where is".
Sometimes the information on auction websites are incorrect and misleading. So even with several years of experience one could fall victim.
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by Opiosko: 12:19pm On Jul 14, 2013
Suscribed
Re: ***You Can Actually Get A Cheap, Good Car At Salvage Auction*** by calculusx(m): 7:13pm On Jul 14, 2013
Dizzybizzy:
I bought a similar vehicle from Copart 5 weeks ago. It was clearly stated "Run and Drive"
Unfortunately when the truck driver went to the yard, he discovered the vehicle doesn't even start. He bought a new battery and fixed and yet it didn't start.
Now I'm forced to accept the vehicle in that condition because "all sales are final and "as is, "where is".
Sometimes the information on auction websites are incorrect and misleading. So even with several years of experience one could fall victim.


GBAM!!!! On Point. Especially Copart

2 Likes

(1) (2) (3) (Reply)

Smart ForTwo Explodes After Owner Accidentally Fills Air Intake With Petrol / Innoson Motors To Manufacture Nigerian Army Vehicles / Reactions To Policemen Flagging Down Your Car

(Go Up)

Sections: politics (1) business autos (1) jobs (1) career education (1) romance computers phones travel sports fashion health
religion celebs tv-movies music-radio literature webmasters programming techmarket

Links: (1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

Nairaland - Copyright © 2005 - 2024 Oluwaseun Osewa. All rights reserved. See How To Advertise. 75
Disclaimer: Every Nairaland member is solely responsible for anything that he/she posts or uploads on Nairaland.