Financial Blog

If you’re the type of person, who likes bargains and huge discounts, you may be excited whenever you hear about auctions. There are different used car auctions nowadays for enthusiasts like you, but the most popular is online auctions because it makes it easier for car buyers to join the bidding. Moreover, you only have to read the cheap repossessed cars for sale details through your laptop or mobile and do your bidding at the comfort of your home—no need to dress up and go to an event.

Buying a used car online is convenient but not without risk. However, despite the risk it may take, there are still many reasons why used car auctions are way better than buying from dealers.

1. Enjoy up to 40% price discount

Yes, you read it right. There are real bargains you can find in used car auctions. For example, you can save up to 40% less than the brand new version of the car. It’s affordable compared to buying from a distributor dealership. If you have a limited budget or looking for a great deal, repossessed cars are an excellent find as some are new or near-new.

2. Wide selection of car models and brands to choose from

Whether you’re looking for economy cars, trucks, commercial vehicles, SUVs, or even vintage cars, you can find them in an auction. You can also visit their used car warehouses to see the cars physically. However, there are some options like color, year, and car mileage you have to sacrifice. So you may have to browse different car listings to find something close to what you want.

Also, if you’re looking for a very particular model or brand, you’ll need to participate in more than one auction event. Once you get the hang of it, you’d wish you had enough money to buy those you wanted.

3. Shorter purchase time and process completion

When you buy cars at dealerships, it can get complicated, and you have many processes to go through. However, in auctions, the seller aims to dispose of vehicles as many as they can in a short time, so expect that the time and process are shorter.

In Security Bank repossessed cars auction, they announce the bid winners 3 days after the cut-off period. If you’re the winner under cash payment, you have 2 days to inspect the used car and make your full payment after inspection.

For auto loan payments, you must submit your requirements and pay the reservation deposit of ₱10,000 within 2 business days after award notification. If everything goes well, you have 10 banking days to submit your LOG to complete your purchase transaction.

Read more: The Complete Guide in Bidding at a Used Car Auction

4. Fast car turn around

Everything in an auction is a quick repo car sale, unlike in a traditional car dealership. Since these used cars are affordable and easy to deal with, sellers or banks tend to replace their vehicles monthly. Some online auctions even have bundled used cars for sale or lot sale offerings to quickly dispose of their cars and replace them with new ones. It’s like adding a discount to the discounted used cars in the form of bundled car purchases.

5. Assurance from the seller

Buying from online car sellers has a risk, but we can reduce it by transacting in reputable financial institutions like banks. Transacting with them will guarantee that the repossessed cars are well taken care of and in good condition. Furthermore, you have the assurance that the vehicle is legally acquired. They will also be transparent if you’re buying a car with legal document problems or records. When it comes to payment, all will be deposit to the bank’s corporate account, so you’re safe from any suspicious third-party sellers or online scams.