Question: Are Repossessed Car Auctions a new thing ?
Repossessed or Repo Car Auctions have been in existence for some time.
It is only since the internet has become popular, that ordinary people are finding out about them.
Question: How did it come about ?
Seized Vehicles are now a fact of life. A company may default on its Fleet lease payments; an individual may be unable to maintain monthly payments; Government Agencies may seize vehicles purchased with proceeds of crime, etc. These Organizations reclaim the vehicles then sell them to help recover the debt.
Question: Do many people know about Repossessed Car Auctions ?
Dealers have known about this lucrative source of cheap vehicles for some time. Some have formed close relationships with those organizations that repossess the vehicles and can enable a quick sale. The general public is slowly becoming aware.
Question: How do you find out about them ?
Sometimes the schedule of events are published in the newspaper, usually under the Public Notices section. Some are promoted to Licensed Dealers only. The internet is also a good source.
Question: Why don’t those that seize the vehicles offer them directly to the public ?
Those that seize vehicles are not car Dealers and do not have the infrastructure in place to handle the sales. Just the cost of storage can be very high. Auction Car Sale outlets have systems in place to handle the volumes.
Question: Do the autos come with a Warranty ?
Usually the vehicles are sold on an “As Inspected” basis. Some outlets do offer warranties or inspections for a fee.
Question: Can I take the Car for a test drive ?
The cars can be inspected prior to the auction and it is best to take someone to do this with you, if you are not qualified. They do not allow test drives but the vehicles can usually be started up.
Question: What costs are involved ?
Usually the final sale price and small registration fee, plus any warranty you may choose.
Question: Do I need to physically be there ?
Not always. A number of Repossessed Car Auction outlets provide a facility where you can bid remotely or advise the maximum you wish to go to.
Question: Why aren’t more people using Auctions to buy an auto ?
The majority of car buyers find it hard to change their buying habits. Provided you do your homework and research well you will get a great deal.