Why Companies Can Offer Cash for Scrap Cars
Scrap cars can have greater value then you think, so if you have a scrap car on your driveway, it could be worth a lot of money. Scrap cars are ever increasing in value, due to the continuous supply of metal that is required within the industrially developing countries like China and India. China consumption of metals has increased heavily over the last 10 years, meaning the price of scrap is healthy.
A value of £250 can be reached for a ton of metal from scrap cars, along with £60 pounds for wheels, and catalytic convertors. Therefore a scrap yard could earn an excess of £400 for a decent size car. Cars can often be worth more value as a scrap car as opposed to being a road worthy vehicle. Hence at Giveacar we have realised the potential of the value of scrap metal, and encourage the disposal of cars through salvage auction or the scrap metal of the shell.
To enable the owner of the vehicle to achieve the most money for the junk vehicle, there are a number of steps that are undertaken. These can be done by the owner themselves or by the scrap yard to obtain the highest value from the car. Firstly, a determination of the valuable components of the car needs to be established. These parts can then be removed from the vehicle to be sold separately adding value to the scrappage of the car.
The tyres will need to be removed because they are unable to be compressed. The tyres can be sold if they are still legal, if not the rubber can be recycled, however consult the scrap yard beforehand because it can cost the scrap to recycle them. Once all the component parts are taken then the shell of the car can then be compressed, and valued for the metal.
The value of the scrap of the car will depend on the vehicles make and model, as well as the age of the vehicle. The reason for this is that older vehicles contain a lot more steel than vehicles of today. A lot of new cars are replacing steel with materials such as plastics, fibre glass, carbon fibre and aluminium, to enable them to crumple in the event of an accident.
This therefore shows a growing trend in the value of cars, for example an older car is likely to achieve higher scrap value than a newer car because of the increased presence of metals. This trend is likely to continue with the increased amounts of people using smaller cars. If you look on the roads there are an increasing amounts of micro cars, like the Fiat 500 or the Smart which contain very little metal at all.
In the future cars are increasingly going to be of less value to scrap due to the reduced amounts of steel being extracted and used within the car. For example the T25 designed by Gordon Murray, is specifically stated as having only £25 worth of steel in it, as opposed to the cars in the pasts.
Hence car disposal will have to adapt to the new materials being produced within the industry, and adapt to recycling costly products. Which here at Giveacar, we encourage re-use and recycling of as many components of the car as possible.