Impounded vehicle auction
Encyclopedia
An impounded vehicle auction is a type of auction that specializes in selling abandoned and disabled vehicles. Once a car is tow
ed by municipalities or private companies and the requisite time has passed, the cars are auctioned to recover the cost of towing and storage.
These auctions are typically held by an auctioneer on the grounds of the tow lot, but Internet-based auctions are becoming more common. (TowLot.com,Proxi Bid)
Most states require a rigorous process to determine the owner of the vehicle and the disposition of the title
before allowing a vehicle to be auctioned. This includes a title search, publication of an impending sale and certified letters in an attempt to give the vehicle's owner an opportunity to pay towing and storage costs and recover the vehicle. In the case of serviceable vehicles, the towing company may offer this documentation in a packet known as the possessory lien papers, which can be used to obtain a new title. Given the expense of the process, many lots will charge a significant fee for the papers.
States and municipalities vary widely in their treatment of impound auctions. In some states, bidders must register as salvage dealers or restoration companies in order to bid. In Missouri
, impounded vehicles may only be offered to the general public with a salvage title
, while other states have no restrictions on who may purchase a vehicle.
Impounded vehicles are offered as-is, where-is with no warranty. Those auctioning the vehicles likely have no knowledge of its mechanical condition beyond the obvious (such as rust
), and are generally exempt from providing warranties. As a winning bidder, one must purchase and take possession of the vehicle, even if it is not capable of leaving the lot under its own power. Keys are not always available, and in cars with a digital dash
, the mileage may not be known.
Towing
Towing is the process of pulling or drawing behind a chain, line, bar or some other form of couplings. Towing is most visibly performed by road vehicles, but anything from waterborne vessels to tractors to people can tow cargo. Troop carrying and cargo carrying gliders were towed behind powered...
ed by municipalities or private companies and the requisite time has passed, the cars are auctioned to recover the cost of towing and storage.
These auctions are typically held by an auctioneer on the grounds of the tow lot, but Internet-based auctions are becoming more common. (TowLot.com,Proxi Bid)
Most states require a rigorous process to determine the owner of the vehicle and the disposition of the title
Title
A title is a prefix or suffix added to someone's name to signify either veneration, an official position or a professional or academic qualification. In some languages, titles may even be inserted between a first and last name...
before allowing a vehicle to be auctioned. This includes a title search, publication of an impending sale and certified letters in an attempt to give the vehicle's owner an opportunity to pay towing and storage costs and recover the vehicle. In the case of serviceable vehicles, the towing company may offer this documentation in a packet known as the possessory lien papers, which can be used to obtain a new title. Given the expense of the process, many lots will charge a significant fee for the papers.
States and municipalities vary widely in their treatment of impound auctions. In some states, bidders must register as salvage dealers or restoration companies in order to bid. In Missouri
Missouri
Missouri is a US state located in the Midwestern United States, bordered by Iowa, Illinois, Kentucky, Tennessee, Arkansas, Oklahoma, Kansas and Nebraska. With a 2010 population of 5,988,927, Missouri is the 18th most populous state in the nation and the fifth most populous in the Midwest. It...
, impounded vehicles may only be offered to the general public with a salvage title
Salvage title
In the United States, a salvage title is a form of vehicle title branding, which notes that the vehicle has been severely damaged and/or deemed a total loss by an insurance company that paid a claim on it. The criteria for determining when a salvage title is issued differ considerably by state...
, while other states have no restrictions on who may purchase a vehicle.
Impounded vehicles are offered as-is, where-is with no warranty. Those auctioning the vehicles likely have no knowledge of its mechanical condition beyond the obvious (such as rust
Rust
Rust is a general term for a series of iron oxides. In colloquial usage, the term is applied to red oxides, formed by the reaction of iron and oxygen in the presence of water or air moisture...
), and are generally exempt from providing warranties. As a winning bidder, one must purchase and take possession of the vehicle, even if it is not capable of leaving the lot under its own power. Keys are not always available, and in cars with a digital dash
Electronic instrument cluster
In an automobile, an electronic instrument cluster, digital instrument panel or digital dash for short, is a set of instrumentation, including the speedometer, that is displayed with a digital readout rather than with the traditional analog gauges...
, the mileage may not be known.