With everything going digital, it’s only suitable to sell cars online. Buying cars online is faster and more convenient; some might say cheaper. But with this, some might find a way to scam you out of your money. Not only online, but you can also still be scammed by physical dealers impersonating themselves as legit car sellers. Let’s find out the scams to watch out while buying used car.
Used Car Buying Scams To Watch Out For, what are they? There are different ways for you to be scammed of your money. Fake escrows, fake ads, fraudulent wire transfer, and many others. So when buying cars online, try to be vigilant and always look out for sketchy behaviors from the sellers.
Different Scams To Watch Out For
It’s a lot more stressful to be always on high alert for scammers when you buy a used car because you have to make sure the vehicle is in perfect condition and you’re getting a great deal for it. The scams to watch out while buying used car are mentioned below
Fake Ads
In this method, scammers advertise cars they don’t own, then show pictures of the vehicle matching the exact description. Everything will look legitimate. They will include information on how to contact them like email addresses, phone numbers, or other methods.
Always ask to meet in person so you can inspect the vehicle and ask for the vehicle’s identification number. If the seller does not comply, walk away.
Title Washing
In this scam, the fraudster gets rid of any evidence of damage to the vehicle, especially when the car has been declared a total loss. When the vehicle is heavily damaged, repair or the repair cost is equivalent to getting a new one. The insurance company brands it as a total loss.
It should be noted that there can be different types of branding, including total loss, junk or salvage, and rebuilding from salvage, as well as damage caused by fire, storms, and floods.
A savage or complete loss vehicle can be fixed and rebuilt to functionality, inspected by the state, and approved. Cars that go through this process can be sold with a lower market value, and the seller should always let the buyer know. To obtain a new title, the swindlers take the vehicle to a different state where the branding is not recognized, rebrand it and sell it for a higher price.
To avoid this scam, always run a VIN check. You can run it using Carfax, VinHistoryUSA, and AutoCheck.
Gift Cards
Now, this method should be a no-go area, and there shouldn’t even be a consideration on your part. Gift cards are untraceable, and even the police won’t be able to find them. A lot of people have been scammed by this method. They get your number from craigslist or anywhere online, offer to sell you the car, and the only form of payment is through a gift card.
If it’s too late and you are already a victim, you can contact the gift card company and hope they refund the money. To avoid it, dont pay with any untraceable currency, not just gift cards.
Just Needs Scam
The phrase “Just Needs” should be an immediate red flag. The seller tells you the car needs a minor repair, like fixing the brake pipes or a new alternator. When you do purchase the vehicle, you’ll discover there are a lot of things to be fixed.
There shouldn’t be an exception when avoiding these vehicles, even if it’s as little as getting a single spark plug.
Car Cloning
In this scam, the sellers steal VINs or fraudulent documents and make the vehicle seem legit. If the police discover the car’s real identity after you bought you go to jail for the stolen VINs and documents.
To avoid this, use the NMVTIS system to run the VIN and the title information, and you dont have to worry. It’s free to use.
eBay As A Third Party
With this scam, you find a car you are interested in on craigslist or any other site, you make inquiries, and the seller contacts you and tries to convince you to buy it quickly. They give you a sob story on why they can’t meet in person or they need it urgently.
They then say they are using eBay Motors as a third party. They then send an email looking like it’s from eBay Motors with payment instructions. When you send the money, the seller won’t deliver your vehicle, and you’ll lose your money. eBay Motors doesn’t act as a third party for other sites, so be careful of this scam.
Conclusion
Always be careful when buying used cars cause there are a lot of rip-offs. Always avoid sellers not willing to meet in person, always pay using traceable methods, never buy a vehicle that has a price above its value, always ask for the vehicle’s information, and last but not least, never buy a car from a dealer in a hurry to sell it.
FAQ’s
- Can I Get Scammed In Market Place?
On the Facebook marketplace, you can find genuine merchants selling their vehicles. But there will always be scammers waiting for you to fall victim. So you must carefully and extensively research the car and seller before purchasing it.
- How Do I Get My Money Back If I Was Scammed?
You can contact the company or bank that issued the credit card or debit you used to make the payment and explain what happened; they can then help you reverse the transaction and get your money back. But if you use a gift card, there is nothing they can do.
