QuestionQUESTION: I bought a 2009 VW Jetta that was hit in the left rear quarter panel. I purchased it repaired. VW says that I can have the total status removed since the damage did not add up to the replacement cost of the vehicle. what is the process of getting the "total loss" status removed.
Thanks
ANSWER: Hello,
Depending on the state depends on the status of the brand of the title. If the title says "total loss" and you bought it that way, I have a little bit of concern and wonder if it can even be brought to a reconditioned or rebuilt status.Didn't they even run it through a state inspection process? Can they even supply receipts for the repair, plus documentation of the damage as well as what was needed to recondition the vehicle? That is required in all states.
Once repaired you should get a "reconditioned" or "salvage" branded title. Not too long ago you could there was Alabama and Georgia and maybe 1 or 2 more that a title could be "washed." Most of the time it would require the car to go through a safety and replacement parts receipts and additional documentation at the washing state. This would be for an unbranded clean title, but that process has become moot now.
Here is your problem in at least 2010 and 2011 that most people don't consider. The car can never have the title totally washed anymore and it will always have the reconditioned salvage brand on it, which you will never escape. Such vehicles are worth up to 40% less than a vehicle never branded.
You now have carfax that records the salvage brand. A majority of the insurance carriers have a database known as ISO netmapping, which keeps track of a majority of salvage branded and "Junk" cars.
Since a majority of dealers in the US use carfax and say you are trading in or selling, their offer will reflect the salvage depreciation.
Say you have State Farm and the car was totaled by Progressive and you have any type of property loss to the vehicle,if totaled again, you may be expecting actual cash value out of the loss. This won't happen. You will get actual cash value minus 40% even though you did not tell State Farm at the time of your policy that the car was previously a total loss.
Now, if you paid more than 60% of the value with the replacement parts and labor, you are screwed! The same holds true that you could have financed much more than the car was worth and you will be left paying for a car you don't have.
The advantage to having a Salvage branded vehicle is this in theory: You pay less to drive a newer car.
I wonder if that was a VW salesman that told you there would be no problem getting a branded title washed.
I wish people would take the time to research salvage vehicles BEFORE they buy them. Everyone researches prices, they may read the reviews, but when getting into an area like salvage, it is a whole different world!
If you actually listened to what a salesman told you because you liked the person, this is not good.
If they never had the vehicle state inspected to make the vehicle roadworthy, you might be able to get out of the deal, but I am sure I have enlightened you about the pitfalls with salvage vehicles you may have not considered.
http://www.autotheftexpert.com
---------- FOLLOW-UP ----------
QUESTION: Thanks. I am aware of the pitfalls of a salvage vehicles. Vw America was the ones that advised me to get the vehicle "washed" so that I am entitled to warranty work. I am having problems with the dsg transmission. A known fault.
I have the vehicle recertified and except for the crappy shifting it works well
I will send vw America the safety and what ever else I can get to have it washed and available for warranty work
Does NY state have the recertifcation process?
Thank you
AnswerHello,
OK, here is another situation. If totaled at the VW dealer and repaired by the VW dealer, they are the ones that are going to have to deal with VW of America on the warranty process. Like insurance companies, there is a paper trail that cannot be washed away. VW can go into their database and know that it was damaged and repaired. Only VW can determine if they will still warranty the problem and either they at VW were passing the buck, obfuscating the facts to sell you the car or were just plain ignorant.
No, you cannot get the title washed in New York and that is why Jersey and NY wholesalers were traveling to other states to get their salvage washed (and stolen cars with VIN switches).
I am not sure what you are trying to accomplish here. You can't wash the title and even if New York (which will not happen) gave you a clean undamaged title it still does not negate the paper trail VW has on the vehicle.
You can do none of this and for the VW dealer to instruct you to go to the state to get this handled is irresponsible and could also be looked at as fraud on your part through concealment.
I appreciate the situation that VW put you in, but if they feel that there should be an exception granted to your car to put it under warranty, they are the ones that have to certify to the manufacturer that the damage should have no affect on warranty issues.
How do I know all this? I have worked for and been exposed to new car dealers for over 30 years combined.
I have seen where the customer made the mistake of having the body damage repaired at the dealer who turned the car into the manufacturer as having been severely damaged and thereby ripping any warranty coverage from it. If the customer would have gone to a body shop having to repair the 50% damage on it, there would have never been a record the manufacturer knew about.
You have no idea as to how well your car was repaired and you can only take the dealer's word.
I guess what I am saying, if they want to be a party to warranty or title fraud, let them, but there is a record the VW of America can pull up or in Germany. Don't do their dirty work!
By the way, I am not an attorney, however I have seen warranty fraud and that never turned out well. I share my experiences of being in the automotive and insurance fields from all these years.
You don't have to believe me and it is easy enough for you to check around. This car is branded not just in the state, but also by VW. Demand that they take care of the warranty issues as long as your car would have been under warranty.
http://www.autotheftexpert.com
