Considerations before donating your car

Indeed, car donation is one of the youngest trends of donating something to the less fortunate. A donate my car to charity program may come in various forms. For example, you can donate any of the following:

a.) Car, SUV or sports car

b.) Trucks (trailer trucks)

c.) Heavy equipments

d.) Water vehicles (boats, barges, old yachts)

e.) Old private planes, etc.

The main reason why donate my car to charity was created is because many car owners just junk these vehicles at home or in their storage spaces. These may just be ruined or may cause pollution to the environment. Instead of making this happen, you can donate these to the charity. You can help the environment, the charity of your choice and you will also get the tax deduction you may need.

There are also many ways to donate your car. There is the standard process. In this option, the charity of your choice is connected with your car donation third party middle men or processers. Your car will then be on sale and will first be offered based on the actual Fair market value. However, at times, the car may be sold at a lesser value. This will be the basis for your tax deduction. The amount of your tax deduction is based on the amount of the money given to the charity. So, you have to know how much is given to your charity. The second type is usually not based on the sale but the car itself will be donated to the charity for use. The last mode is dealership and trade in.

When you decide to buy a new car, car donation is a good option. This is because you won’t have to worry anymore about having your old car repaired for marketability. The first option is the easiest among the three because all you need to do is to call the car donation processers. The last option or car dealership may not be the best option because you will usually get a much lesser price with the sale of your car. You may be tricked into dealing with a lesser value and get the minimum amount of your tax deduction instead of the higher one.