A Holiday Gift of Your Old Car Can Help Charities and You
7 December 1999
A Holiday Gift of Your Old Car Can Help Charities and You
MONROVIA, Calif.--Dec. 7, 1999--Since childhood we've been told that giving is better than getting, so a holiday opportunity to give and get is certainly worth exploring, said Harvard Palmer, vice president, Vehicle Donation Processing Center Inc.Many people celebrate the season by giving their old cars to favorite charities, and getting a tax break and a solution to their vehicle disposal problem in return.
"Donating cars to charity is one of the few opportunities left where everyone benefits," Palmer said. "Proceeds from the sale of the vehicle help the charity, and who isn't looking for a tax break, especially near the end of the year?"
For the donor, the charitable sale eliminates the hassles that go with selling an older car. When working with a well-known processing firm with a good reputation and a solid track record, both charity and donor know that tax write-offs will follow the IRS's "fair market value."
How much the charity receives from the sale of a donated vehicle varies with the car's value, up to thousands of dollars. But regardless of the income from each individual car, the amounts can add up to sizable donations, said Palmer, and that's what's important to charities.
For Palmer's Vehicle Donation Center, after fixed costs are paid, the company and charity split the net. (Towing and auction fees generally amount to about $200.) Every transaction is on the public record. There are no up-front costs to the charity. Vehicle Donation Processing Center works with 50 charitable organizations, and the company guarantees no charity client will ever lose money.
Julie Grosse, manager of the Petaluma-based Polly Klass Foundation that helps find missing children, said recently in the Wall Street Journal that her organization raises 60 percent of an $850,000 annual budget through a car donation program that has been managed by Palmer's team for more than four years.
"There are very legitimate organizations in this business. But like all industries, there are some bad apples too," said Palmer. "If you want to do some good for others this holiday season, as well as some good for yourself, check out the processor and the charity. If the information on both is public, and both have a quality track record, there's nothing to fear."
