How do I buy vehicles on eRepairables.com?
There are two ways to buy vehicles listed on eRepairables.com: either directly from the seller or indirectly through an eRepairables affiliate auction. Each vehicle will display a sale type that notes how it is being sold.
'Buy it Now' vehicles are offered by the seller at a set price. We provide the seller's contact information, and any transaction arrangements are worked out between you and the seller. Typically, you can contact the dealer with questions and visit the dealer to inspect the vehicle before purchase.
'Auction' vehicles are generally sold to the highest bidder who meets any minimum reserve price set by the auction. eRepairables.com operates as a broker to provide non-licensed public buyers access to licensed dealer-only auctions. When you enter a bid on eRepairables.com, we will present that bid to the auction. If the vehicle is won and payment made, pick-up or delivery can be arranged immediately and the paperwork will be processed to transfer ownership of the vehicle to you. There is no opportunity to personally inspect the vehicle and no one to provide more information about the vehicle unless a third-party inspection service authorized to enter the auction facility is retained.
How do the auctions work?
eRepairables auctions use a proxy pre-bidding system, whereby you provide us the maximum amount you are willing to pay, and we bid as little as needed to win the vehicle. We will only bid up to your proxy bid amount. Think of this as having a personal buyer attend the auction for you, with instructions to bid only up to some specified amount. You are able to enter your pre-bid up until the deadline noted, at which point you will have no opportunity to raise your bid.
Under this system, the winning price is generally not the highest bid, but rather some increment over the second highest bid, provided the seller's reserve price has been met. For a hypothetical example, suppose the seller's reserve price on a vehicle is $7,000, you place a proxy bid of $10,000, the second highest bidder placed a bid of $7,500, and the bidding increment for the auction is $100. Although you bid $10,000, the sale price for the vehicle would be $7,600; the second highest bid plus the auction's bid increment.
How much deposit is required to bid on auction vehicles?
No cash deposit is required, however we do require a credit card authorization equal to 10% of your planned bid amount. For example, if you wish to bid a total of $20,000 on a vehicle or any combination of vehicles, a $2,000 credit card authorization/hold is required. An authorize/hold does not automatically transfer money to us; it only ensures a buyer has the credit amount available to cover the obligations we incur on the bidder's behalf.
Is my credit card authorization refundable?
Yes, the authorization/holds will be voided 100%, provided you have no pending bids or balances due. For example, if you bid on a vehicle and are winning, you have an obligation and the deposit is not yet refundable. If you are outbid or the auction ends with no sale, you will no longer have an obligation and the authorization can be cancelled or held for future bidding activity.
How much should I bid?
There are at least two factors to consider when deciding how much to bid: How much is a vehicle worth to you, and how little can you bid and still have a chance at winning. Remember the first rule of success:
Never bid more than you are willing to pay; Never bid less than you are willing to pay.
How much a vehicle is worth is largely an individual question that depends on numerous factors including the vehicle type, the extent of any damage, the intended use of the vehicle, the vehicle's title, the location to where it is going, etc.... For these reasons, a vehicle may be worth more to one person than another, and so we can make no statements as to what a vehicle is worth.
However with this said, once you have determined how much a vehicle is worth to you, it is best to bid the maximum you are willing to pay for the vehicle and let the proxy bidding system do the work of bidding up as little as needed to actually win. Bidding intensifies as the auction nears end, and because you will not have an opportunity to increase your bid at the live auction, it is important to place your limit up front. Conversely, inexperienced bidders will place as low a proxy bid as needed to beat the current bid several days away from the live auction and will almost never stand a chance of winning with such bids.
How much are the fees for winning auction vehicles?
Fees only apply if a vehicle is won. Auctions charge a fee based on the sale price of the vehicle, and eRepairables.com charges a $300 brokerage service fee. You will see how much the total fees will be by typing a bid amount in the bid field on any vehicle auction page. Fees are calcuated as you type, and there is no need to place a bid to see the fees. Note however, fees are calculated assuming the proxy bid amount entered is the sale price of the vehicle. Fees would be less if the actual sale price is less than the proxy bid typed. The calculation includes fees payable to eRepairables.com and does not include shipping, fees charged by government entities for title transfers, or any other costs incurred by you for your intended use of the vehicle.
Late payment fees of $100 may apply if balances due for won vehicles are not made by wire transfer within 2 business days and storage fees of $20 per day may apply if won vehicles are not removed from the auction lot within 4 days.
Can you tell me more about a particular auction vehicle?
All information we have on a vehicle is provided to us by the auction location and displayed on the website. We have no further information available, and for that matter, we cannot attest to the information that is provided. There is inherent risk in buying auction vehicles, and all are SOLD AS IS WHERE IS WITH NO WARRANTY EXPRESSED OR IMPLIED.
However in some cases, you may be able to retain an inspection service authorized to enter the auction lot that can provide a full report on the a vehicle. If interested, contact us for more information.
When will I be notified of winning or losing?
In most cases, we will notify you of winning/losing an auction within 24 hours of the pre-bidding close time. However, there may be times a final determination takes longer. For example, you may have the highest bid, but it is below the seller's reserve price and the seller is preparing a counter-offer.
I won a vehicle, now what?
If you win a vehicle, you will be notified by email and the status will change in your bid admin panel on the eRepairables.com website. You will be able to view the invoice for the vehicle and get instructions for wiring payment. You should promptly make arrangements with your bank pay the invoice by wire transfer. Once payment is verified, we will send you papers that allow you to remove the vehicle from the auction lot. No vehicles can be driven off the lot regardless of condition. All vehicles must be towed by a carrier of your choosing. You should begin making arrangement for pick-up when you are notified of winning, but please wait until we have verified payment is clear before finalizing the pickup date. Paperwork to transfer title will begin immediately, however depending on government entities involved it may take days or even weeks to complete.
Why do I keep losing auctions?
There are really only two reasons you lose an auction; the seller's reserve price was not met, or someone else outbid you. The first rule of success is:
Never bid more than you are willing to pay; Never bid less than you are willing to pay.
Keep in mind that you are placing pre-bids that will be entered with the live auction sometime after the opportunity to pre-bid has closed. If you placed the maximum bid you are willing to pay, then you should not worry about losing an auction. However, if you are bidding only high enough to be the highest bidder at the close of pre-bidding, and you are actually willing to pay more for the vehicle, and you are getting outbid at the live auction, then you have broken the #1 rule.
The highest bid at close of pre-bidding is not a good indication of a realistic sale price. Bidding will intensify as the subsequent live auction nears end. Always place your maximum bid and let the proxy bidding system do the work of bidding up in increments only as necessary.
Why do I keep losing auctions by only $100?
If you happen to be the second highest bidder, the winning price will be your proxy bid plus the bid increment; typicially $100. So even though it appears you have lost by only $100, the first highest bidder may have bid thousands of dollars higher than you.
Can you tell me how much a vehicle sold for or the maximum proxy bid that was placed?
If you bid on a vehicle and the auction location provides us the final sale price, then we can pass that information on to you. However, not all auctions pass on this information to us, and none do if a bid was not placed. The highest proxy bid is never disclosed.
Can you tell me more about a particular vehicle?
Unfortunately, there is not any more information available than what is displayed. The auctions need to liquidate large quantities of vehicles quickly and can't spend much time inspecting the vehicles. So they are offered more on a take-it-or-leave-it basis. Keep in mind, we are providing public buyers the opportunity to participate in auctions that are intended more for dealers that can buy in bulk and absorb any bad surprises. Bidders have to review the information and images, and then assess (or guess) the probability that the worst case scenario is true and bid accordingly.