[Philkotse guide] The pros and cons of having a salvage car

Car shoppers often came across used vehicles with attractive prices that seem to be in excellent condition but have a salvage title. More often, these cars are also called rebuilt titles and branded titles.

In some cases, these vehicles represent good value. But there will also be circumstances where salvage trucks and cars could cause a string of headaches to its owners. Nevertheless, all cars with salvage titles should be viewed with heavy caution.

If you’re interested in salvage cars, you should know how to determine if the salvage truck or car is worth the risk

If you’re interested in salvage cars, you should know how to determine if the salvage truck or car is worth the risk. Philkotse.com will help you identify if the salvage car is a smart choice. Let's first understand what a salvage car is.

What is a salvage car?

A vehicle is deemed salvaged if the repair cost is higher than the worth of the car. Usually, the car’s damage can be from weather, theft, and accident. 

In this case, the car will be given a salvage title to inform future buyers that an insurance company deemed the vehicle a total loss.

In other cases, a perfectly fine car would receive a salvage title if it incurred any damage even from a simple fender-bender, but this instance is infrequent.

Typically, the car's owner has been compensated by the insurance company. The title of the vehicle will be in the insurer's hands. The totaled car will be bought at auction, repaired and then resold.

A vehicle is deemed salvaged if the repair cost is higher than the worth of the car

Other salvaged cars will be sent to the junkyard where they will be picked up stripped of any parts and components that can still be reused.

Salvage car needs to pass the state inspection first before it can return to the road. The inspection is done to verify that it’s been repaired properly and is safe to use.

When it comes to appearance, the car title of a salvage car can pretty much look like a normal clean title of a non-salvage car.

In some cases, the salvage title is printed on a paper with a different color, or it is marked "rebuilt" or "salvage." It's crucial to do proper research when it comes to salvage cars and salvage car titles and back it up with a vehicle history report.

>>> Check out: 5 Steps to Know If You Are Buying a Flood-Damaged Car

Salvage car pros

You can save a significant amount of money

One of the biggest advantages of buying a salvage car is its price. If you're a frugal car buyer, then this will be one good idea for getting a salvage car.

Cars with salvage titles are relatively cheap. You may notice the potential in a salvage car that nobody else does.

The said potential can come in two forms:

• A salvage car is a source of spare parts and components, and lots of car buffs go for salvage cars because of that reason.
• Some salvage car can be repaired to be utilized as a low-cost, run-to-the-store kind of ride, most particularly if you have the means and desire to repair vehicles inexpensively.

A salvage car is a source of spare parts and components

You could get lucky

As we mentioned earlier, insurers total cars because they’re already beyond repair following the accident. However, some insurers do it for different reasons.

In some cases, the insurance company agrees to total a vehicle as a portion of a bigger settlement, to minimize a potentially larger payout arising from other property damage or medical claims being studied by the insured. 

There are also instances when the insurance company fails to look closely at the damage of the car before they make their decision. In any case, if you look closely and thoroughly at salvage title cars and happen to find one of these good cars, then you have the gain.

In some cases, the insurance company agrees to total a vehicle as a portion of a bigger settlement

>>> In terms of insurance company: Which is the best car insurance company in the Philippines?

Salvage car cons

Before you purchase a salvage car, you have to make sure it can still be repaired at a relatively cheap cost. Or you can spend a lot of money and time repairing it.

Take note that there will be times when the damage of the car is extensive, but it's not easily identified. Some examples include a crooked frame or electrical faults because of flood damage.

If you’re not an expert in terms of identifying car problems like this, then you need to ask the help of a trusted mechanic to inspect and check the car before you make a purchase.

Take note that there will be times when the damage of the car is extensive, but it's not easily identified

>>> Read more:  9 signs to check a used car for accident damage

The salvage title stays forever

When a car is totaled and branded as salvage, this brand will forever be at the title. Even if the vehicle is repaired and brought back to its working and running condition, it will still be a salvage car.

If you were able to return the salvage car to its safe running form, it's required to have it checked and approved by the DMV so that you can legally operate and drive it on the road.

When a car is totaled and branded as salvage, this brand will forever be at the title

The salvage title will be rebranded as "rebuilt." However, everyone will still recognize that it was once a salvage car.

Additionally, if you have a rebuilt title, and you plan to sell it, later on, the asking price for your car will be significantly low, no matter how much money and effort you put into it.

Getting car insurance for a salvage car will be a hassle

Most car insurance companies are cautious when writing comprehensive or collision policies on formerly salvage-title or rebuilt vehicles.

It is because if the salvage car gets involved in an accident, the insurer will have difficulties in figuring out if the damage is because of the latest accident or the one that caused it to be a branded salvage car. 

>>> Do you know how to prevent your car from being damaged by potholes?

Getting car insurance for a salvage car will be a hassle

Also, the salvage vehicle used to be unfit to be driven on the road, so the possibility of breaking down and leading to a more severe accident. Other car insurers will not write a policy for a salvage vehicle. But for those who do, it will surely charge you a much higher fee.