Used Car Scams

You can save a lot of money buying a used car. Of course, buying used does come with its risks. But you can reduce your risk by inspecting the vehicle you hope to buy. A good used car checklist will prevent you from buying someone else’s problems. That doesn’t mean everyone trying to sell a used car is trying to rip you off. But it’s almost impossible to know who is and who isn’t. Fortunately, there are plenty of red flags for used cars, and detecting used car scams is getting easier. 

Used Car Scams

There are a lot of used car scams; you can never be too careful. Just as a word of advice, if the owner of the car won’t comply with your reasonable walk away. 

Curbstone

Curbstoning has two significant meanings. The first meaning is an individual buys a defective car intending to sell it for a profit. They may make some improvements to distract you during your use car inspection.  But the intent is the same: they want your money. 

The other curbstone is when a dealer poses as a private citizen and sells a car from a vacant lot or in front of a residence. The purpose is to avoid legal responsibility, such as a licensee, insurance, and the lemon law. The dealer is trying to get rid of junk at your expense. 

You can look up the vehicle’s history at carfax or autocheck. To see if this vehicle has been in an accident or has a salvaged title. 

Title Washing

Sometimes, vehicles are damaged or have negative remarks about them, like liens and reposition, salvage titles. A common scamming practice is to remove negative comments by altering the title. 

This is one more reason using a service like carfax is invaluable. 

Odometer Rollbacks

It may seem like a scam from the past, but it happens hundreds of thousands of times a year.  There are several ways to spot odometer rollbacks. 

 

• Examine the original title to check the mileage. 
• Carfax 
• Hire a mechanic to look for evidence of tampering or wear and tear that doesn’t match the mileage. 

 

VIN Cloning

Almost all vehicles come with a VIN. The manufacturer issues this number. 

Using the VIN, you can learn a lot about a car. You can know about accidents, liens, flood damage if the car was issued a salvage title, and much more. Using carfax and the VIN, you can learn much about the vehicle. 

Some scammers remove the VIN from the car they are trying to get rid of and replace it with a VIN of a legitimate vehicle with similar or identical features.  

I’m sure you can see the problem here.

If later it’s discovered, the car can be repossessed and returned to the owner. You are out of money and the car.

If it’s not discovered, you may have a car with serious mechanical problems. 

• To avoid this problem, examine the title and compare the mileage of what’s on the car to the title.
• Look for signs of tampering,
• submit the VIN to carfax, and compare the report to the vehicle.
• Insist on seeing the original title 
• Hire a mechanic to look for wear and tear inconsistent with the vehicle’s mileage and inconsistencies in the carfax report.

 

Lowballing

If it seems to be too good to be true, it probably is. 

Suppose a seller is trying to lowball you. Sell you a vehicle well below market value. You may be the next scam victim. It’s not uncommon for scammers to sell cars with significant problems like mechanical, liens, salvage titles, and more. Below market value. Because they want to get rid of the vehicle and collect some money. 

If the seller is trying to lowball, you may have one or more of the previously discussed scams to deal with.

Suppose you feel like the deal is too good to be true but don’t want to risk losing out on a good deal. Here’s what you can do. 

• Take the car for a test drive and look for reasons not to buy it. 
• Hire a mechanic for a presale inspection to learn the car’s working condition.
• Check the VIN with carfax. 

How to Safely Buy a Used Car

There are so many scams out there it’s important to protect yourself and your money. Take the time to do things correctly. Don’t allow anyone to hush you or convince you not to take a safety step. 

Request a vehicle history report. If the owner can’t or won’t provide you with one. Get the VIN and request a report for carfax or AutoCheck. 

Hire a mechanic to do a pre-purchase inspection. It may cost you $200, but it can save you thousands of dollars later.

Double-check the seller’s story. Use only the original vehicle title and vehicle history report to verify what the seller tells you.

Never make a cash sale because there’s no paper trail. Instead, use a cashier’s check because the seller must provide the owner’s legal name. If you fall victim to a scam, you have the seller’s information.

 

Conclusion 

Criminals will always find a way to usurp the law and find creative ways to take your money. Used car scams are no exception. 

If it’s too good to be true it’s probably too good.

Guard your money. Don’t hesitate to walk away.