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Auto auctionis a method of selling new, and most often, used vehicles based onauction system. Auto auctions can be found in most nations, but areoften unknown to most people. This is, such as in the case of theUnited States, because this a protected source for used car dealers.Since 1948, the National Auto Auction Association (NAAA) has beenhelping colleagues in the remarketing community. The NAAA consists ofover 300 domestic and international auctions. This organizationdemands that its members meet certain requirements and operatesecure, neutral auction settings. In other countries, such as Japan,auto auctions are well known and used (indirectly) by most people.Millionsof vehicles are sold at dealer auto auctions every year. Theseauctions are restricted for the general public and only licenseddealers can participate. Prices of vehicles sold at dealer auctionstend to be lower than those advertised on any dealer’s lot. Sellersforgo a potentially higher sticker price to take their inventory to adealer auction where it will be auctioned off for thousands less thanretail for a number of reasons. Maintaining aging inventory costsdealers both money and reputation. Most vehicles sold are off-leasereturns, replace, company cars, repossessed vehicles, and trade-ins.Pricing.Regardless of their source, vehicles are sent to auction with themain purpose to be sold quickly and hassle-free, and this usuallyhappens at prices that dealers can easily recoup with a small profitfrom a resale. Contrary to popular belief, cars seldom sell forunreasonably low prices at the dealer auctions. This may happen ifthere are not enough interested bidders or if the vehicle isexceptionally unattractive and should not be taken for granted. Manysellers put reserve prices on their stock specifically to preventthis from happening. The reserve price is not disclosed publicly anda “winning” auction bid is only considered a sale if the reserveprice is met. Sellers have the option to re-list vehicles that didnot sell at a particular auction.Condition.As with any used vehicle, overall vehicle condition varies greatly.Many aspects of the vehicle appearance may suffer in the term ofeveryday use and result in any of the following damages: stained orotherwise used upholstery, scratched bumpers, dings on the doors,chipped hood, dented quarter panels. Most of these can be fixed withtouch-up paint and/or a dent removing kit. Scraped wheels and worntires may cost more to repair or replace.Inspection.Pre-sale vehicle inspection or test-driving is not allowed at some ofthe auctions. Mechanics and guests are not usually allowed to see thecars until after the sale is completed. Some auction locationsinspect and prepare the cars for sale if the listing dealer sochooses (at a premium). More extensive reconditioning is alsoavailable. Many auctions offer (for a fee) post-sale inspections forqualifying vehicles which can determine mechanical or frame damageissues which allow the buying dealer a window of opportunity to backout of the purchase. On the other end, sellers can also (for a fee)have their vehicles pre-sale inspected which allows purchasingdealers to buy with confidence that the vehicle passed a pre-saleinspection and if free of any mechanicalor frame damage issues.When car buyers takepossession for sales carsbefore their financing arrangements are complete, they're risking abig money mess if the loan falls through. And some less scrupulousdealers will take advantage. Here's what you need to know to avoidthe yo-yo financing trap. The consequences of this dubious dealerpractice are no fun: Either you pay more to keep the new car youthought you'd already bought -- or you lose it. It's an embarrassing,and potentially expensive, problem. What kinds of abuses? Typically,something like this happens: You're at a dealer and you decide to buya car. You sign some paperwork and maybe leave a down payment, andthen drive the car home the same day. You think you're done: Happynew car! But then, a few days later, the dealercalls with sad news: Your financing application was turned down. Ifyou want to keep the car, you'll need to arrange other financing at ahigher rate. You might even need to increase your down payment. Ifyou don't, the dealer might tell you they'll repossess the car -- ormaybe even report it stolen.If you are interested tobuy or sell the car, then you can easily join in any online auction,where you would be able to get your most favorite car or also cansell your used car. There is a big scope, waiting for you in theauction and there you will get sufficient advantages of buying orselling your favorite car. So, keep your searching through online forthe best one, you are looking for a quite long time.