Used Car Scams And How To Avoid Them


For many people, purchasing a car may be the second biggest expense they’ll ever incur — second only to purchasing a house. Finding the perfect used car option takes time and effort, but can be thrilling. Unfortunately, there are nefarious fraudsters and scammers who try to exploit second-hand car shoppers.
 
We wish it wasn’t true, but there are crooks who sell used cars in Calgary. Buying a used car in Calgary should be an exciting process from start to finish. Here are three among many common used car frauds out there, and how to spot and avoid them.

Tampered Odometer

One question you should always ask when investigating a used car is: how many miles on the odometer? As a general rule, vehicles with lower mileage will last longer (what you want) and will sell for higher prices (what the seller wants). A fraudster trying to sell used cars in Calgary may tamper with the odometer to display a false mileage.  Here are three signs that this may have happened:
  • Mileage on the odometer doesn’t match up with mileage on any repair records you’ve seen
  • The wear and tear on the tires, brakes, steering wheel, and upholstery is a lot more extreme than seems right for the low mileage on the odometer
  • The mileage is unusually low compared to other cars you’ve investigated of the same year

Title Washing

Cars that have been written off by the provincial Ministry of Transportation because they have been badly damaged can not legally be sold to be driven (only for salvage or parts). Some people will purchase those written off vehicles cheaply, then try to resell them in the used car market. To do that, the seller has to hide the car’s title history and the fact that it’s been written off. Here are three signs this may be happening. The best way to avoid this? Obtain a CARFAX report. 
  • The car is registered in a different province than yours
  • The seller will not tell you the car’s VIN number, meaning you can’t trace its history
  • The car isn’t new, but has a brand new interior suggesting that extensive damage has been covered up

Stolen Cars

A crook who has stolen a car may be motivated to convert that car to cash quickly by selling it to you. How do you know if this may be happening? The best way to avoid this? Obtain a CARFAX report. 
  • Ask for a copy of the registration and VIN number, and watch out for bad photocopies, illegible handwriting, or names that don’t match the person you’re dealing with
  • If the price seems too good to be true, it might be — especially if the seller wants cash
  • If the person is in a big rush to close a deal, there may be a crime-related reason why

How to protect yourself from used car scams

  • Buy a used car in Calgary from a reputable dealer, not online or curbside
  • Never rely only on photographs posted online or sent to you by email or text
  • Do not send money to someone selling a car before you meet them or see the car — even if they’re “out of the country” 
  • There are dozens of ways to make payments for cars. Stick to the tried, true, and traceable - cheques and money orders. Don’t send money through suspicious or unfamiliar websites or email addresses
  • Have the car inspected by a mechanic before you sign anything and before spending a dime
  • Make sure you see all the paperwork — registration, VIN, CARFAX report, safety certificate, and emissions certificate, and Used Vehicle Information Package — and make sure they’re consistent with each other and with the car
  • Ask questions, and listen for fishy answers