Donating Vehicles to Charity

Many charities accept cars as donations. Some of these charities use the vehicles in their day-to-day operations for transportation or hauling goods. Others might use them to sell individually to people with lower incomes, or they might accept donations of vehicles and then sell them as a group to generate more income for the organization. Donating a vehicle can be a mutually beneficial endeavor for the donor and recipient if it's done properly. A portion of the vehicle's value can be written off as a tax donation, and it's also a hassle-free way to get rid of a car that needs extensive repairs. Are you interested in donating your vehicle to charity? If so, read on to learn more.

Frequently Asked Questions ( 8 )   Add a Question

  1. What are the best organizations to donate a car to?
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    There are a staggering amount of organizations that are willing to accept vehicle donations. Nationwide organizations such as Goodwill, and the Salvation Army are two good places to start, there are also sites such as Charity Navigator that can give visitors information on organizations that accept vehicle donations. Calling the local better business bureau and asking which organizations accept vehicle donations can also be an excellent jumping off point.

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  2. How would someone apply to receive a donated car?
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    Contacting one of the organizations noted in question five or initiating a simple web search is probably the best way to find a program locally to apply for receiving a donated car. There are programs that assist veterans, single parents, low-income families and more to obtain lower cost transportation. Many state social service agencies or non-profit social service agencies may also be able to put potential recipients in contact with a reputable organization to apply for a donated vehicle.

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  3. What are the benefits of donating a car?
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    Very often, the person donating the car reaps the majority of the benefits, they are entitled to tax deductions and benefits and they are giving away a car without having to sell it personally or go through negotiations with a car dealership. The organization receiving the vehicles can generate income from the donation, use it to help clients or complete their day to day operations.

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  4. Can a car be donated online?
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    There are websites that offer to accept car donations online, but use common sense and do research before handing any vehicle over. Make sure the site is reputable and will provide the proper documentation of any donation it receives.

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  5. How do car donation programs work?
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    Donating a vehicle should be a pretty straightforward process. Most charities will have forms the person donating the car will have to fill out and the organization should provide a receipt to the donor stating the donation and the value of the vehicle for the donor's tax records. The donor would provide the car to the organization sign over the title and the transaction would be complete. The organization would then be free to do whatever they saw fit with that vehicle donation.

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  6. Can cars that don't run be donated?
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    This will depend upon the organization, if they are selling the vehicle for scrap metal, very possibly yes. However, the donor may be responsible for towing the vehicle to the charity, which would incur additional costs.

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  7. Will the charity appraise the car or does the donor?
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    The donor must be the one who gets the car appraised. Different tax penalties and benefits apply to varying values of vehicles, so it's important that the donor gets an accurate appraisal on the vehicle. Document with paperwork from the appraisal, photos, and a detailed receipt from the charity after the donation is made.

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  8. Any other sources of information to check?
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    Drop into a local Department of Motor Vehicles and ask them directly if they know of any reputable car donation organizations in the area that they would recommend. There are also comparison websites that can advise what the benefits of donating to different organizations would entail.

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