How to Donate Your Car to Charities for Disabled People

Donating your car to charity is a worthwhile alternative to selling your older vehicle to a private seller or trading it in at a car dealership. Most non-profit charities accept cars in various states of repair and use proceeds from the sale of the vehicle to fund research for diseases or for helping disabled people and low-income families with affordable and sometimes free transportation alternatives. Many car donations are tax deductible. The deduction amount depends on the resell value of the car and whether any repairs need to be done on the vehicle.

Difficulty: Moderately Easy

Instructions

1. Choose a charity for your donation. You can contact a local or national charity directly to find out if they accept car donations and they will guide you through their donation process. If you’ve haven’t decided on a charity, the American Institute of Philanthropy has a list of charitable organizations and contact information for most charities, including the disabled or terminally ill.

2. Donate your car to charities via a car donation company. These companies handle all the details of your donation and most will even arrange for your car to be picked up or towed. Most car donation companies offer you a choice of charities to make your donation to. America’s Official Car Donation Center has helped people donate cars to charities since 1992 and can be contacted toll-free at [phone]. Be sure to check all car donation companies with the Better Business Bureau before donating your vehicle.

3. Obtain a sales receipt at when you transfer your car to a charity or organization. This will help protect you from any liability associated with the vehicle.

4. Contact your insurance company to let it know the car has been donated and remove the license plates on the vehicle if applicable. The laws regarding plate transfer varies from state to state. Check with your local motor vehicles department to find out if plate transfer applies to you.

5. Keep all records of the donation for tax purposes. This includes sales receipts, appraisal value if applicable and tax forms. The charity or car donation center you used will be able to supply you with any tax forms you need to make a claim on your taxes at the end of the year.

Tips & Warnings

• Shopping around for charities will let you be in control of where your donation goes.
• Vehicle donations aren’t just limited to cars. Many charities will accept motorcycles, boats and most any vehicle.
• Be sure to ask your chosen charity or car donation company how your car will be used or if sold, how much of the proceeds will be going to the needy.

Resources

• American Institute of Philanthropy
• America's Official Car Dontation Center