People are often surprised by a scrap offer, in both directions. A big old Commodore that barely runs can be worth more than a tidy Corolla with a dead engine. Once you know what the buyer is actually paying for, the numbers make sense.
Scrap price or resale price?
The first question any buyer asks is whether the car is going back on the road. If it runs, is registered or could pass a roadworthy cheaply, and there is demand for that model, it is priced on resale: what a dealer or private buyer would pay, less the cost and margin of getting it there.
If it is not going back on the road, it is a scrap or parts car, and the model's resale value is almost irrelevant. What matters is the metal, a handful of valuable components, and whether anyone wants the parts.
Weight and the steel price
The base of every scrap offer is the car's weight multiplied by the current price for scrap steel per tonne. That price moves with global demand and with what Melbourne recyclers are paying on the day, so the same car can get a different offer from one month to the next.
Weight is why a Falcon, a Commodore or a Hilux usually gets a better scrap offer than a Lancer or an i30. We do not publish a per-tonne figure here because it changes, but any buyer quoting you one should be able to tell you what it is today.
The parts that lift the number
- Catalytic converter. Contains small amounts of precious metals. Its value depends on the model and whether it is the original factory unit. If it has been removed or swapped for an aftermarket one, expect a lower offer.
- Battery. Lead-acid batteries are recycled separately and have their own scrap value. Hybrid battery packs are a different conversation and can be worth considerably more.
- Alloy wheels. Aluminium is worth more per kilo than steel, and a straight set of alloys can be resold as they are.
- Reusable parts. Engines, gearboxes, doors, lights, panels and trim for models still common on Melbourne roads. Corollas, Mazda 3s and X-Trails sell parts steadily, and Commodores and Falcons have a loyal market now that neither is built any more.
What drags it down
- Missing parts, especially the catalytic converter, battery, wheels or engine.
- Fire or flood damage, which can make otherwise good parts unsaleable.
- A model that is rare here, because there is no parts demand.
- Difficult access, such as an underground carpark or a steep driveway.
- Paperwork problems. If you cannot show you are the registered operator, a legitimate buyer will not take it.
Why nobody should hand you cash
Despite the industry name, a scrap car in Victoria cannot legally be paid for in cash. Since 2018, Victorian law has banned cash payments for scrap metal, and that includes scrap vehicles sold to scrap metal dealers. Payment must be by cheque or electronic funds transfer, and the dealer must record the seller's identity.
In practice a legitimate buyer pays by instant bank transfer while the truck is in your driveway, and asks to see your licence. A buyer who offers a roll of notes and no paperwork is either not licensed or not planning to record the sale, and you do not want your name attached to either. The rules sit with Consumer Affairs Victoria, so check consumer.vic.gov.au for the current wording.
An example, with made-up numbers
Say two cars are offered on the same day. Car A is an early 2000s Lancer, a little over a tonne, not running, with a factory cat and steel wheels. Car B is a mid 2000s Hilux, a good deal heavier, running badly, with alloys and a battery that was new last year.
Car A is worth its weight in steel plus the cat, and not much else. Call it $250 as an example. Car B is worth more steel, plus alloys, plus a battery, plus a strong parts market for Hilux. The engine alone might be worth more to a wrecker than Car A entire. Call it $900. Those figures are examples only, not quotes, and depend on the day's metal price and the condition we find at pickup.
Tip. Do not strip the car before you sell it. People often pull the battery or the wheels thinking they will sell them separately, then find the scrap offer drops by more than they made. Leave it whole, tell the buyer exactly what is there, and let them price the lot.
If you are not sure whether yours is a scrap car or a resale car, our page on what we buy covers the difference, and a rego number and a photo is usually enough for us to tell you.
Send NZ Cars for Cash & Removals the rego, a photo and an honest word on condition, and we will price the metal and the parts together, tow it free and transfer the money before the truck pulls out.
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