September 06, 2021: Beware of Charity Vehicle Donations
We used to accept and receive donations through a company which accepted old vehicles. This essentially disappeared at some point when the tax incentive for it changed. But a few years ago we received a check out of the blue. (The last one we've seen, and it had been a while before we got that one.)
The paper work shows a gross value of $275.00 but the attached check was for $12.50 ! It is from Insurance Auto Auctions which I am not sure we ever had any direct contact with at any time.
So on the first page we see $275 as the gross value. But there is a Sales Fee of $60, a Tow Charge of $70, a Miscellaneous Charge of $45, and an Admin Fee of $75. Which leaves $25 in the last column for "Vehicle Sale Proceeds".
Then on the last page it shows Gross Sales of $275 and Processing Costs of $250 for Proceeds of $25. But there is more! The VDPC Proceeds are $12.50.
So our check was for a whopping $12.50.
The car was a 1996 Nissan Maxima, condition unknown. There was a 3 year gap between the Offered Date and the check date.
We don't know why this person donated the car where they did. It's possible that this was the easiest way to get rid of it. I recently had to get rid of an old (1986) Mazda truck in poor but running condition and for a while it seemed like a donation to a random charity was easiest. I did not care much who got the funds as long as the truck was removed. (In that case there were too many title complications for the charity people and I got more total, all in cash, from a recycling yard.)
If you ever want to just get rid of a vehicle and this is the easiest way that's great. But if you donate a vehicle expecting a charity to actually get anything out of it you may need to ask a lot of questions and follow up with the intended recipient afterward.
We are happy to get even $12.50 that was unexpected, but we would like to warn people that their donation may or may not be going where they think it goes.
The paper work shows a gross value of $275.00 but the attached check was for $12.50 ! It is from Insurance Auto Auctions which I am not sure we ever had any direct contact with at any time.
So on the first page we see $275 as the gross value. But there is a Sales Fee of $60, a Tow Charge of $70, a Miscellaneous Charge of $45, and an Admin Fee of $75. Which leaves $25 in the last column for "Vehicle Sale Proceeds".
Then on the last page it shows Gross Sales of $275 and Processing Costs of $250 for Proceeds of $25. But there is more! The VDPC Proceeds are $12.50.
So our check was for a whopping $12.50.
The car was a 1996 Nissan Maxima, condition unknown. There was a 3 year gap between the Offered Date and the check date.
We don't know why this person donated the car where they did. It's possible that this was the easiest way to get rid of it. I recently had to get rid of an old (1986) Mazda truck in poor but running condition and for a while it seemed like a donation to a random charity was easiest. I did not care much who got the funds as long as the truck was removed. (In that case there were too many title complications for the charity people and I got more total, all in cash, from a recycling yard.)
If you ever want to just get rid of a vehicle and this is the easiest way that's great. But if you donate a vehicle expecting a charity to actually get anything out of it you may need to ask a lot of questions and follow up with the intended recipient afterward.
We are happy to get even $12.50 that was unexpected, but we would like to warn people that their donation may or may not be going where they think it goes.
