Getting rid of your old vehicle oftentimes leads you to a crossroads on which path is best taken. The first is to scrap your car, while the second is to sell it. Car owners are faced with the following questions to help them decide:
- How can I scrap or sell my used vehicle?
- What’s the difference between scrapping and selling my car?
- How much can I get from scrapping my car instead of selling it?
The process of scrapping or selling your car depends on the city or country that you’re living in, as there are various laws and ordinances that you have to be wary of. Here in Ontario, you will need specific documents for selling your used vehicle. While there are various advantages and disadvantages to each option, it will all boil down to your preferences and/or needs at the moment. The rates that you’ll get for scrapping and selling your used car also adjust for different variables.
Scrapping/Selling your used car in Ontario
Once you have decided to let go of your used vehicle, it’s time to know the proper way to dispose of it, whether by scrapping it or selling it. To scrap a car in Ontario, you will need to arrange your car’s original ownership documents, together with a bill of sale prepared by the scrap yard company. The bill of sale will be yours to keep as an official record.
However, when selling your car in Ontario, more documentation is required for a safer transaction. These measures are intended to protect both you and the junkyard company from legal repercussions.
Before selling your used vehicle, you will need to acquire a used vehicle information package and ensure that your vehicle identification number (VIN) is aligned with the one on your green ownership document. Furthermore, you have to check and make sure that your car does not have any outstanding money owing on it.
For the actual transaction, you will have to provide the buyer with the used vehicle information package, a bill of sale signed with your name, your buyer’s name and address, as well as the date and time of the transaction. You will also need to give a signed application for transfer and a safety standards certificate. You will get to keep your license plates and the “plate portion” of your ownership permit.
Scrapping vs Selling your used car
Scrapping and selling your car both have their pros and cons, and it really just depends on your preferences. Some determining factors when selling a car include:
Safe transaction
This is one of the most important variables that you must consider when getting rid of your old vehicle. There’s a reason why regulations are put in place when you scrap or sell your car. It’s for you and your community’s safety. While there are a number of websites that regulate listings for various properties, including used vehicles, it would still take a lot of research for you to be sure that you are engaging in a legitimate transaction. SmartScrap, for the most part, are registered businesses. So you can be confident that every transaction is safe and regulated.
Quick transaction
When it comes to a hassle-free transaction, scrapping your car provides more convenience compared to selling it on the market. You just have to show up at the junkyard with all the necessary documents, negotiate the price, and then it’s sold! Some companies even offer digitized services for a safer transaction, as well as free towing services. Selling your car, however, takes a bit more of your time as you have to do intensive research on the market, the legitimacy of the buyer, additional documentation, and more.
Cash payout
The amount you’ll get when you scrap your car or sell it privately will depend on various factors. Junkyards look for certain variables when determining the quotation for a SmartScrap, including its make, model, and year. Other factors include your car’s overall weight, the amount of metal left in the car, and the current value of scrap metal in the market.
When selling your used car privately, it’s ideal to look at institutions like the Canadian Black Book or the Kelley Blue Book to get an idea of the current market value of your used car. However, you also have to consider its condition before setting an asking price. Most buyers will try to negotiate that price point, and you must also think about additional costs before making the sale, such as advertising and marketing costs.
Environment concerns
It can be argued that both options have their own advantages in being an environmentally friendly option, with car scrapping having its own regulations and ethical standards that help promote environmentally friendly practices such as recycling and proper waste management. Selling used vehicles, meanwhile, can help minimize the production of new cars.
