June 25th, 2009

Icredible as it might seem, it is possible to buy cars that work right and are clean and almost new for the price of an expensive dinner in a nice restaurant. There are some types of special car auctions, where car prices are unusually low. This are called the repossessed car auctions, and can be found in any city at a give announced time. Repossessed car auction are usually held by governmental or public institutions , like banks, insurance companies or the IRS.

For those who wonder why the cars have been repossessed, then they should start guessing the answer from the name of the institution holding the auction. These cars might be coming from non-paying bank customers, that failed to pay the leasing or other credits and the bank had to come and reposes their belongings in order to try and make up for the lost credit. Another type of confiscated cars are from police and IRS supplies, that confiscate cars that can not be justified or can not be registered. The last type of cars sold in governmental auctions are those that used to belong to governmental institutions, like police cars or military dump trucks.

It really doesn’t concern you where these cars come from, you will have nothing to do with previous owners and their problems because this care are not property of financial institutions that sell them usually with no reserve pricing. This means a new car, or a car that has just one year of use, will be entering auction at prices as low as $50. The cars are sold by the respective institutions at such low prices because they tend to over-accumulated in time and if kept for much longer their storage costs will become too expensive.

You can find the time and location of these car auctions in various newspapers, where an announcement will be placed once, one or two weeks before the auction. Car dealers benefit a lot from these used cars, as they can buy a good car at prices that are way below those they can sell the car to clients. The attendance of usual car buyers is low because the event is advertised for a short period of time and so many dealers usually go and bid on cars that they discourage any other bids.

 

 

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