Trading in your old car with a dealer could be the most painless way of disposing of it. You will get less as a trade-in than as a private sale, but it's an easy and convenient way to help fund the purchase of your replacement car if buying from a dealer.
Don’t get too hung up about the trade-in price as it's the change-over figure (the cost of moving from your old to your new car) that's most important.
Make the car presentable but don’t waste money fixing minor cosmetic problems.
Used car dealerships
Some motor dealers may buy cars outright, without you buying a vehicle from them. This could be a quick and acceptable way of disposing of a used car.
- You won’t make as much as you would on a private sale but you’ll have less hassle.
- You won’t have to worry about the paperwork or getting a safety certificate.
- If you are considering this option make sure you shop around to get the best deal.
Selling on consignment
Selling on consignment is when you give someone your car (e.g. a motor dealer) to sell on your behalf. Generally you set the minimum price you will accept and the dealer will add a commission to it.
Make sure the dealer you select is licensed and that you have a contract that clearly sets out:
- the reserve price
- what expenses are involved and who is to pay them
- how long it will take to get your money after the sale and how you will be paid
- that the dealer is liable for any damage, penalties or fines incurred relating to the vehicle during the consignment period
- any other special conditions you think need to be clarified.
Also ensure that you can still sell the car privately or withdraw from the arrangement without penalty.
Note that you will have little control over who drives your car while in the dealer's possession. As the registered owner you may be held responsible for anything that happens to the vehicle, including traffic infringements.