You can find quality auto parts at a salvaged auto auction site.
If you need a car but you're on a budget, consider attending an insurance auto auction. You may find exactly what you're looking for at a price significantly below regular retail value for that type of car. These cars have been declared total losses by an insurance company, so you must accept that your purchase will have a salvage title to mark its previous damage. If you understand the process, however, you can make smart financial decisions.
Total Loss
Every state creates its own laws that define the total loss process and govern the insurers that operate there, but in general a vehicle is declared a total loss when it is more economical for an insurance company to pay the vehicle owner the pre-loss value of the car than to repair it. Most of the time, this is because the car sustains enough damage that the repair cost exceeds the value, but vehicles can become total losses for other reasons, too.
Insurer Retention
Regardless of the reason a vehicle becomes a total loss, the insurer legally owns the vehicle after it pays its customer the vehicle's value. In some cases, a customer can retain ownership of the vehicle in exchange for less money, but most of the time the insurer takes possession of the car in its damaged condition. The insurer, however, has no use for a damaged vehicle, so it tries to recover as much money as possible by selling the salvaged car at auction.
Salvage Yards
Salvage yards take custody of the vehicles and prepare them for auction. Some might strip the vehicles and auction only the parts, while others may sell the vehicles in their entirety. The yard charges a fee for this service and submits the balance of the car's sale price to the insurance company. In this way, the insurer recovers a portion of the money it lost settling the total loss claim. If you choose to keep your vehicle after it is declared a total loss, you lose a sum roughly equivalent to this salvage auction price from your settlement amount.
Buying a Salvage Car
When you bid on a salvaged vehicle, you agree to buy the car as is, with no warranty. Often, you won't even know the circumstances of how the vehicle became damaged. You assume all responsibility for repairing the vehicle to a condition your state deems safe for the road, and properly insuring it afterward. Some vehicles, such as stolen cars recovered after a finalized total loss claim, may have little or no damage. These can afford you great deals versus buying a non-salvaged vehicle of the same make and model. Some insurers may not be willing to insure a salvaged car, however, so you may need to look hard to find adequate coverage.
