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A Georgia-based used car dealer recently spent days setting up a 2017 Jeep Wrangler sale. The SUV only has 56,000 miles. Ahead of signing the deal, the buyer received the VIN and CarFax report. Since the customer had a “challenging” credit score, the dealer worked hard to structure a viable car loan agreement. However, when the buyer showed up on the lot and confirmed the Wrangler’s title status, they walked away from everything. The dealer was stunned…and took to social media.

What’s a rebuilt salvage title?

When a vehicle is involved in a bad enough incident (collision, natural disaster, etc.) that repair costs exceed its market value, an insurance company will total the car. The vehicle title switches from a “clean” status to “salvage.”

Then, if any entity (personal owner, dealership, etc.) wants to fix the car on their own dime, they can. After repairs, though, the car isn’t legally road-worthy until it’s inspected by the State Highway Patrol. Once approved, the owner can apply for a “rebuilt salvage” title status.

Now, it’s not unreasonable to question the mechanical health and viable longevity of a rebuilt salvage car. I worked at a shop for a decade and personally drove many salvage rebuilt cars. 

It’s critical to ensure proper repairs were made, especially if the damage included safety-related areas, like airbags, steering and suspension components, major system parts (like the radiator), or the vehicle’s frame.

Other than confirming the above, though, I wouldn’t hesitate much to pay less for a newer car that’s been properly repaired.

In this case, the buyer said he wanted a clean title car, but the dealer responded that it shouldn’t matter when your credit is only 550.

“Instead of worrying about a rebuilt title car, why don’t you rebuild your credit?”

The car dealer, Yusef Benallal, is also an auto loan consultant who helps drivers get out of bad car loans. Often, he posts client stories wherein the driver opted for a high-interest, high-payment auto loan for aesthetics….only to realize later on how devastating the deal is to their financial situation.

Benallal was shocked at suddenly losing a deal he worked on in good faith for about two weeks. The buyer knew – or should have known – the car had a rebuilt salvage title the day he walked into Legacy Motorcars to sign on the Jeep.

“But, at the same time, it’s part of the game,” he tells his followers. As an independent lot, “You deal with all types of credit profiles…you just gotta smile and wave.”

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