When your car is picked up, the collection driver will trigger your payment to be made by bank transfer. This means the money will be with you quickly – and the Authorised Treatment Facilities (ATF) we work alongside are following the strict law surrounding the payment for scrap vehicles. Generally, this will mean the payment will be the same day but may be up to 1 business day after collection.
Why are cash payments illegal?
In 2013, the government created the Scrap Metal Dealers Act to help make sure both the buyers and sellers of scrap metal are protected against any criminal activity. The act states that a dealer must not pay for scrap by any means other than a cheque or electronic transfer. All scrap vehicles are covered by this law.
To handle scrap vehicles, a scrap yard must meet ATF standards – and following the Scrap Metal Dealers Act is an important part of this. As long as they do, they will be able to legally scrap your vehicle – and produce the official paperwork to confirm this has been done. Without this paperwork, you could remain legally liable for the vehicle – so it’s important that you use a scrap yard that follows the law.
How can some scrap yards offer to pay cash?
It’s not uncommon to see traders offering to scrap your car for cash – especially on social media sites, classified advert services, and, in some cases, on signs at the side of the road. It’s important to understand that the businesses doing this are not scrap yards – as an approved scrap yard simply cannot pay for a scrap car with cash.
Instead, these ‘businesses’ are usually individuals looking to make a quick profit from your scrap car. Since few people know the true value of a scrap car, traders will often simply make a cash offer for the car, before selling it on to an ATF for the fair price – or, in some cases, making some repairs and putting a potentially unsafe vehicle back on the road.
Traders operating like this tread a thin line between staying legal and breaking the law – and, if you want to be certain that you’re getting the best price to scrap your car, it’s much safer to make sure you’re using an authorised treatment facility; like the scrap yards we work alongside.
There are many risks involved with selling your car to a trader who buys scrap for cash. Firstly, you will not be provided with the appropriate paperwork confirming the destruction of your car. Secondly, you may find yourself liable for offences relating to the car – even if you seem to have passed ownership on. To get the best price and service you can rely on to keep you safe, request an instant quote from our network of authorised scrap yards.
Why will I be paid after collection?
Payment is always arranged after collection to ensure the vehicle that’s being scrapped is both present and has been accurately described when the price was issued.
While we have never quoted for a Rolls Royce and turned up to find a Mini; innocent mistakes do sometimes occur – especially around engine size and trim level. A quick inspection of the car before it’s removed means we can confidently offer the very best price for your vehicle.