05 Mar 2018

Can You Still Get Cash For Scrap Cars And Cash For Cans In Victoria?

by Dave

Up until September 2017, it was legal for recycling facilities to offer cash for scrap cars and cans in Victoria. Whenever you made a delivery at the facility, you had the option to receive your payment in cash that same day. According to laws passed by the Andrews Government, however, the payment of cash for cans and cars has now been banned. It has been hoped that this will help authorities to crack down on theft and organised crime.

Politicians agreed that, in the past, thieves and drug addicts (in particular) would often steal older model cars and sell them to unscrupulous wreckers, no questions asked, in order to make some quick cash. “New South Wales has banned cash payments for scrap metal and that seems to have been quite effective,” opposition consumer affairs spokesman, Russel Northe said. “It should have been introduced [in Victoria] some time ago.”

Recycling facilities will also be banned from possessing or trading an unidentified vehicle, and they will be required to keep records of all transactions involving scrap metal (the aim is for there to be traceable information for every transaction made). Police will also be equipped with greater search powers, allowing officers to search second hand dealers’ business and storage premises for signs of stolen or unlawful goods without a search warrant.

Businesses will face maximum fines of more than $30,000 if they fail to comply with these new laws.

So, how will these new laws affect me?

At the moment, the new laws are not yet in force, so recycling facilities will continue to pay cash for scrap cars and cash for cans. They will continue to do so until the new laws come into affect, which is expected to occur on or around the 30th of May 2018 – so if you’re looking to make some quick cash, you might want to get in soon! Once the new laws are in play, facilities will pay you via electronic bank transfer or cheque (made out to a specific payee).

For now, continue about your scrap practices as you always have been. Just be aware that, if you primarily deal in cash, you will have to accept changes to your payment methods come May 2018. Whilst cash for scrap cars and cash for cans may have seemed like a lucrative way to make some extra money in the past, it’s going to get a lot harder to make this sort of lifestyle work. Of course, if you’re doing everything legally, it shouldn’t be a problem.

“Banning cash for scrap [cars] will undermine the business model of criminals who steal cars,” Police Minister, Lisa Neville, said. “We are closing a loophole that for too long has been exploited by organised crime groups.”