Aunt had a stroke and will never drive again. Her car has been sitting in my driveway for 9 months rotting away. Insurance and registration continue to be paid. She is now on chronic care Medicaid.
What is the correct way to sell this car? Because I know whatever it is sold for will be considered “income/asset” against her Medicaid and I don’t want this to jeopardize her eligibility. We will pay the sale money to the nursing home or whoever should get it, but I don’t know what I should do to proceed properly and legally.
Should I call her Medicaid caseworker and ask? The car isn’t worth much and I can’t see the value of hiring a lawyer for $1K when the car is worth maybe $6K at best (it’s a junker).
4 Answers
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Start by knowing exactly what you have: make, model (look at the sticker in the driver's side door), year. Make sure you have the VIN number written down accurately. Then go online and look up same or similar vehicles for sale in your area, about a 25 mile radius. If there are none, then look nationwide to see if you can find anything that's close. If you find something, then that sale price will be what helps you decide yours.
Right now inexpensive "beaters" are in high demand. Last winter I sold a '98 Lexus SE 300 with 300+ miles, a broken muffler, broken radio, super worn interior, body damage, and on. BUT, it ran reliably and Lexus have an excellent reputation as used cars. We sold it for $1200 (and many prospects contacted us for it).
I strongly suggest the sale take place at the DMV so that the title gets transferred then and there. Don't take no for an answer. Been there, done that.
Don't underestimate the value of that car...your LO needs the money. Like IsThisRealyReal suggested, spend it on necessities for her, or put it towards a pre-paid funeral policy, or add to her Resident's Trust at her facility to spend on hair and nail care.
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Does Auntie need anything? Clothes, shoes, hearing aids, glasses, a nice walker/wheelchair? Think about that because when you call her case worker you will want to say, Auntie needs ?????? and I wanted to find out if I can use the proceeds from the sale of her car to purchase this/these items? What do I need to do to ensure I don't mess up her eligibility?
That's what I would do or send an email so the response is in writing.