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How does scrappage work?

  • 24-02-2020 1:47pm
    #1
    Registered Users, Registered Users 2 Posts: 8


    Hi All

    Would like some advice on how scrappage works with new cars as am unclear on this

    I see that some garages advertise the price of a car as having the scrappage already taken off. So does this mean that irrespective of how old your current car is/what value is, that when you turn up at the dealers, you get that scrappage value automatically?

    On the other hand if you go do a dealer who is offering 3000 euros scrappage, and you have to "present/offer" your car for scrappage , is the scrappage value what the car is worth on the market ?

    OR is it the case that providing its not falling apart , they will give the full scrappage value?

    I have a car bought for 3k, 3 years ago, so just wondering what value scrappage I am likely to get. Car is in good nick.

    Thanks in advance(and thanks for the previous advice)
    L2020


Comments

  • Registered Users, Registered Users 2 Posts: 51,360 ✭✭✭✭bazz26


    Scrappage in a lot of cases is just dealer speak for discount. Those that include it in their asking price means that they have already discounted the car they are selling. So if your old car is worth very little then the scrappage discount just bumps up its trade in value.

    The scrappage offers usually come with conditions like you have to have owned your current car for a certain length of time, it has to still have a valid NCT or cars up to a certain age are only accepted. The reason for this is to stop wheeler dealers buying cheap cars to use against these scrappage deals. Other reasons are so that a car that qualifies is max 10 years old with a valid NCT still has a sell on value for the dealer. With these scrappage deals the car doesn't have to actually be scrapped. The dealer will sell them on to the trade which in turn reduces the true value of the scrappage discount they gave you towards the car you bought off them.


  • Registered Users, Registered Users 2 Posts: 8 lucanite2020


    Thanks Bazz26

    So basically providing that the car has a valid NCT, is a certain age, and I have owned it for a couple of years(all of which are the case)that there should be no reason why I shouldn't get the full scrappage value?!

    That's comforting to know.

    I thought that the current value of the car had to be close/equal to the scrappage value on offer in order to get the full scrappage offer. OR that the scrappage value would be reduced to meet the current market value of the car.

    Thanks again for the advice
    L2020


  • Registered Users, Registered Users 2 Posts: 51,360 ✭✭✭✭bazz26


    It will depend on the terms and conditions of the offer which may vary from brand to brand or dealer. It might also depend on what your buying. For example, they are not going to give you 3k scrappage against a 10k car, but they may offer the maximum scrappage discount on a 20k or 25k car so you have to spend more to get the maximum scrappage discount. In some cases it's just a fudging of the figures especially against second hand cars.


  • Registered Users, Registered Users 2 Posts: 893 ✭✭✭U_Fig


    I was always under the impress that a scrappage scheme was implement my the government and meant that any cars given as part of this need to the be actually scrapped or at the least removed from the road within 60 days of the new car being registered?


  • Registered Users, Registered Users 2 Posts: 51,360 ✭✭✭✭bazz26


    The government hasn't had a scrappage scheme in years. Manufacturers and dealers just jumped on that bandwagon and used the term scrappage scheme to stimulate car sales rather than put old cars off the road. They are not the same thing.


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