FAQ
What percentage of the money generated by the sale of my donated vehicle goes to my charity of choice?
Donate Cars MN (DCMN) believes that the entire donation process should be transparent. Donors as well as their charity of choice never pay any costs associated with the donation of a vehicle.
Most donated vehicles are sold at wholesale auto auctions to professional buyers. This sale generates what is called the “Gross Sales Price”. From this gross sales price any towing or transportation costs, as well as any auction and sales fees are deducted. What is left over is called the “Net Recovery Amount.”
From the Net recovery amount DCMN sends the charity of your choice 75%. The remaining 25% goes to DCMN for administrative fees.
How much is my vehicle worth?
This is an important question because it may have an impact on the tax deduction a donor might receive as well as the proceeds left to benefit the donor’s charity of choice.
Donated vehicles are sold at wholesale auctions and sell at a lower price in comparison to owners that sell their vehicles to private parties. So, resources such as Kelly Blue Book and N.A.D.A (National Automobile Dealers Association) can be unreliable when placing a value on a donated vehicle.
Once a donated vehicle is picked up and processed, an estimated wholesale value is assigned based on the year, make, model, mileage of the vehicle. This information determines the marketplace that is best to maximize value and minimize costs.
How will my tax deduction be determined?
DCMN offers no tax advice and suggests that donors speak to their accountant or tax professional. It is the responsibility of the donor to report vehicle value and tax status. Donors can refer to IRS publication 4303 “A Donor’s Guide to Vehicle Donation for the guidelines used to determine tax status.
How soon can my donated vehicle be picked up?
DCMN contracts with properly licensed and insured towing companies that will contact the donor to schedule a pick up date. Typically, a donor is contacted within 24 to 48 hours to make arrangements once an assignment is received. Generally, the scheduled date for pick up is within 3 to 5 business days.
How long does it take for my charity of choice to receive my donation?
DCMN understands that getting the donation to the charity of your choice is very important. In most cases the net cash proceeds are delivered within 45 to 60 days from the time the vehicle is picked up and the process is complete.
As stated, DCMN wants to ensure the entire donation process be transparent and welcomes any questions from donors wanting to check the status and timing of the sales process. Donors can call or email to receive an update at any time.