One of the most inconvenient aspects of purchasing a new car is disposing of the car you are replacing. There are three main options to consider: resale on the private market, dealer trade in, and selling to a junkyard for parts recycling. All of these options have their advantages and disadvantages. Resale is time consuming, and requires a commitment to returning calls and negotiating with potential buyers. Trade in is easy, but can give a good portion of your car's value to the dealer. Selling to a junkyard is a good option if your car has no resale value, but also involves finding a salvage car buyer. One way to make good use of an unwanted car is to consider donation to a licensed charitable organization. If you decide to donate your car you can receive several advantages:

Simplicity. Charities that accept car donations are professionals, and have made the donation process as quick and painless as possible. A worker will come to your home; you will sign the car over to the charity, and receive a tax donation receipt for your donation. Then the car will be towed away, and you will have room to park your new car the same day.

Help someone in need. Whether it is an animal shelter, food bank, or some other organization, there is likely a charity that you think highly of. When you donate your vehicle to charity, you get to give a substantial gift to support a cause you believe in. The organization that receives your car can sell it and use the money to fund programs to help those less fortunate.

Giving makes financial sense. While it might seem that donating a car will cost you the money you might have made on its sale, sometimes it can be more financial beneficial to donate a car than it is to sell it. Consider the money it may take to repair your old car to make it appealing to a new buyer, as well as the costs to market your vehicle for sale. When you donate a car, you can deduct the fair market value from your taxes. This offset in taxes can sometimes be greater than the money you would make on a trade in, or even a sale.

Only you can decide the best way to dispose of your used car based on its value, and the time and energy you have to devote to its sale. After considering all the options, you might find that it is in your best interest to donate your car.