How Does
Benefits
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A tow dolly is a way to bring a car with you when RV-ing. The main advantage is that at least two wheels are off the pavement when traveling. There are tow dollies that will keep all four wheels stationary. This can greatly reduce the wear on your car's transmission while it's being towed.
How it Works
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A tow dolly is attached to the RV with a trailer hitch. Because of the weight of the vehicle being towed, it's best to have at least a Class 3 hitch. Class 3 hitches attach to the frame of the tow vehicle. Your car is then driven onto the dolly. Most dollies accept the front wheels only. Once the wheels are secured to the dolly with tie-downs, the front end of the car is lifted off the pavement and locked into place. Now the car is placed into neutral so the rear wheels spin freely. Front-wheel drive cars benefit the most from this type of dolly because the drive train is completely disabled while the car is in tow. There are tow dollies that allow the entire car to drive into place and all four wheels are elevated. These are bigger, heavier units that can be cumbersome to work with at an RV site and add to fuel costs while in use.
Alternative to Tow Dollies
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You can choose to tow your car with a tow bar. Tow bars are lightweight, they fold up when not in use, and they're very convenient. Tow bars require hardware to be mounted to your car and keep your car's transmission engaged the entire time it's being towed. You may need to attach a transmission pump to your car to protect the transmission while towing.
Added Benefit
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If you're mechanically inclined and like to work on cars, a tow dolly can be used to tow project cars. Many SUVs and pickup trucks can handle the weight of a tow dolly and car.
eHow Article: How a Tow Dolly Works