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6 Ways to Avoid Car-Buying Scams

6 Ways to Avoid Car-Buying Scams 1

From 2010 to 2020, people bought used cars more frequently than new ones. There are currently around 280 million vehicles being used in the U.S. The vast majority of car sales each year are on the second-hand market. As a highly lucrative industry, there is no shortage of criminals looking to make a quick buck. There are plenty of great ways to protect your car once you own it. From a comprehensive alarm system to a custom car cover, you can avoid unnecessary damage. But how can you ensure you`re protected when buying a car? While car dealerships are generally reliable in terms of car-buying scams avoidance, they are often much more expensive when buying second-hand.

In the world of eCommerce, the internet is fast becoming one of the most popular places to shop for second-hand cars. While this gives car buyers more choice, it also makes them more vulnerable to scams. It`s important to exercise caution and avoid potential scams. Here are some ways to make sure you aren`t deceived.



1.     Beware of Ads That Are Too Good to Be True

Used vehicles still have a general price range for their make and model. If a price is much lower than that range, someone is likely trying to con people. The seller wants to make as much money as possible, so it does not make sense to sell it at a lower amount unless they are hiding something that would lower the vehicle`s value.

Too good to be true scams often revolve around a fast “take it or leave it” offer before the buyer gets a chance to see the car. Be wary of emergency or hard-luck stories from the seller, claiming that the reason for the low price is due to a sudden medical diagnosis, military deployment, or other similar circumstances.

Although some scammers can be convincing, most lack patience and want to trick you before you can change your mind. If they`re pushing for a sale or a deposit before you get to see the car, take this as a red flag. In such a competitive market, you can negotiate good deals, but rarely at extreme discounts.

2.     Don`t Buy Without Seeing the Car

After traveling hundreds of miles to view vehicles only for the deals to fall through, it`s easy to lose patience. However, this is a necessary step in purchasing a reliable car. Never buy without seeing and inspecting a car in person. Photos can be a good indication of a vehicle`s condition, but they don`t tell the full story. In some cases, scammers use fake or falsified images to con buyers into a quick sale. In other scenarios, selective sales photos are used to hide vehicle damage or flaws. Ensure you take the time to examine the car and meet the seller before buying.

3.     Give the Vehicle a Thorough Inspection

When you travel to see the vehicle, it`s important to give it a thorough inspection. If possible, take a mechanic with you to give a professional opinion on the car`s condition. Alternatively, a knowledgeable friend can fill this role. Having a mechanic or a car enthusiast look at the car can make it much harder to hide any defects. Always ask for documentation regarding the vehicle`s past. From the service history to the ownership records, official documents can help gauge important information regarding care and maintenance. It can also be used as evidence to back up claims made by the seller. Other details to look out for during vehicle inspection include:

Test driving the vehicle is an important aspect of the inspection. It allows you to get a feel for the car`s handling and comfort and indicates any glaring issues you hadn`t noticed, such as squealing brakes, which may mean the brake pads need to be replaced.  

4.     Be Wary of Car Clocking

Car clocking refers to the process of rewinding a vehicle`s odometer so that it shows fewer miles than the vehicle has accumulated. While this process is technically legal, the information should be disclosed by the seller. However, scammers often adjust the mileage without telling buyers, to increase the value of the car. Car clocking may be difficult to spot, particularly if the seller attempts to cover it up by failing to disclose documents and maintenance history. Look out for signs of wear and tear that don`t align with the number of miles displayed on the dash. Indicators to focus on include:

5.     Use Reputable Sites with Secure Transactions

If you must carry out a transaction online or if you`re buying from a virtual auction house, ensure you use reputable sites with secure transaction protocols. The first step is to only use a trusted website. Ensure there is a closed lock icon before the URL, and it displays “HTTPS” at the beginning. This indicates that the website is secure and that your data is encrypted.

For extra precaution, read the website`s privacy statement. This contains information regarding what the site does with your information, including your banking data. When making a purchase, use a credit card over a debit card payment. Credit cards generally give more fraud protection, keeping your money and information as safe as possible.

Source: New Africa/Shutterstock.com

6.     Don`t Give Out Key Personal Information

Your personal data is extremely valuable, even more so than a car. Many modern scammers are extremely strategic. Car sales can be a simple cog in the machine of a more comprehensive criminal racket. With access to personal information such as your name, address, banking information, and Social Security Number, a criminal can cause you serious issues. Avoid sharing key personal information, and make sure to keep an eye on your accounts after any transaction.

Stay Protected at All Times

Buying and maintaining a vehicle is expensive enough without having to deal with the fallout of a scam. If you`re purchasing a car from an unlicensed seller or a website, it`s essential to be cautious. Do your research, inspect the vehicle in person, and take it for a test drive if possible. If you have any doubts or suspicions, enlist help from an experienced and knowledgeable car enthusiast. While you can potentially save a lot of money buying a vehicle from an alternative source to dealerships, there is a high risk that it is a scam. Stay protected at all times, never give away your personal information, and always meet in a public and well-lit area.