Government Seized Auto Auctions – Are They Legit?

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Government seized auto auctions may be something new to car buyers especially for first timers. Very often, we hear of people going to the car showrooms to view the latest car models or even know someone who is going to the used car dealer to buy a second hand car. Other than heading to the car showrooms and second hand dealers, you may not know that government seized auto auctions are real gems when it comes to buying a used car or nearly new car at a huge discount. Here are some facts about such auctions for all potential car buyers especially those who are looking for used vehicles.

Did you know that there are literally thousands of cars that go into the surplus inventory of the government and banks?

Since many vehicles are seized or repossessed by government and banks everyday, the monstrous expenses to find a storage space for these cars are huge and maintenance costs can escalate quickly. So in a bid to bring the costs down, government agencies and banks are ready to auction them off at government seized auto auctions for as much as 90% off the retail price you see at car showrooms. The next time you see your neighbor driving a Mercedes convertible, it may not mean that he or she is rich. The car may have come from such an auction.

Government agencies such as Internal Revenue Service (IRS), U.S. Marshals Service (USMS), U.S. Customs Service, Small Business Administration, U.S. Department of Defense, U.S. Bankruptcy Court, U.S. Department Of The Treasury, Department of Agriculture (USDA), Department of Energy (DOE) and many others could be the ones who took these cars in.

Since the anti-mob laws in the States are forcefully enforced, the constant raids on drug dealers and other mob activities have seen many posh luxury cars seized by the government. They are not interested to make any profit out of it but rather to quickly sell them away lest the costs of maintaining them becomes a liability to the government coffers. This is where you get top class, and sometimes near new condition cars on sale at ridiculously low prices in government seized auto auctions.

At government seized auto auctions, there are also repossessed cars taken by IRS from people who default on tax payments, and also others who fail to pay up their installments to banks and financial institutions on time. You can find a lot of models like Mitsubishi, Toyota, Ford, Nissan, Honda, Chrysler, Lexus and other brands.

In fact, it is quite likely that there are many cars going for anything from $200 onwards. The eagerness of the government and banks to quickly sell off the seized or repossessed vehicles is an advantage and opportunity for all interested car buyers to drive home a quality vehicle for a huge discount.

Posted under Government Auto Auctions

This post was written by admin on February 8, 2017

9 Comments so far

  1. Theo Shaw August 11, 2010 6:40 pm

    Auto loans these days are a bit expensive, this is also a side-effect of the economic recession-,;

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  1. official January 14, 2024 9:50 am

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