Donating a car

Donate a car to a charity, it will not only make you and those you have donated to feel good, but will serve as a nice tax benefit.

Maybe you’ve just got a new job, maybe you finally got that bonus, maybe you just got lucky on a lottery ticket, or maybe you’ve just decided that it is time for a new car. You have the brand and color all picked out and you are ready to sign the papers and drive it off the lot once you’ve cleared your driveway of your old ride.

If you car is still in decent shape you may be thinking of selling it back to the manufacturer or selling it to a willing party. If the car is in poor shape you may be tempted to sell the parts to a junkyard for cash. While these are both options, there is another path unwanted cars can travel—that is the path of charity.

Donating your car to a charity is a generous and easy option if you take the time to do minimal research. Not only will it benefit people in need, but you can do it at no cost and you will receive a tax deduction in the process.

The easiest way to obtain information on donating your car to a charity is through the “America’s Car Donation Charities Center”, online at www.donateacar.com. The site walks you through the easy process and allows you to research hundreds of charities that are available to receive you donation. There are other websites that offer similar information as well. Regardless of which website or organization you choose to go through to donate your vehicle you will follow a similar procedure.

You will first be asked to fill out a donation form and submit it, either electronically or via mail. You will need to show proof of ownership as well as fill out some other information, such as your name, address, telephone number, vehicle description, approximate mileage, VIN number, and etcetera. You will then be presented with a list of charities to which you will be able to donate your car. Once you have decided on the specific charity simply indicate you choice in the provided box on the form.

After you have submitted the form and it has been received by the company arranging the donation a tow company will contact you and arrange a time to pick up your old car. The towing will be of no cost to you. In several weeks to several months you will be contacted by the specific charity you donated your vehicle to indicating the wholesale
“fair market” value of your car. You can use this number in your tax forms to receive a tax deduction.

You may also donate used boats, motorcycles, trucks, cans, commercial vehicles, jet skis, and even buses. While cars and other equipment that is in working condition receive the highest fair market value, most donation centers will accept those that are not running. The only requirement is that the value of the vehicle must be less than the cost of towing it.

Before you go through with the donating process, you should be clear on a few issues. You should first contact your insurance agent about when you can cancel your insurance on the donated car. You are responsible for the vehicle until the car donation transport company picks it up, but laws vary from state to state.

Also, you will need to take care of the registration fees if the registration expires while the car is in your possession or if it will expire before the vehicle donation is picked up. If the Registration expires after we pick up your car donation then it is the responsibility of the donation center.

Once you have ironed out all the details you can go through with the donation process. By the end of it all you will not only have gotten rid of your car for free, received a generous tax benefit, but you will have also given back to those less fortunate than you. For these reasons should seriously consider donating your car and encouraging others to do so.