However, this post is not about the people who try to sell you a car on a neighborhood lot, where you can kick the tires, look under the hood, and take the car for a test drive. This post is about that wonderful market for trading goods and services ... the internet.
According to the article "Buyer Beware" in the July/August 2012 issue of AAA Westways Magazine, online transactions involving automobiles are increasingly becoming a problem. Between 2008 and 2010, 14,000 complaints were filed with the Internet Crime Complaint Center about online car selling scams. This complaint center is a partnership between the National White Collar Crime Center and the FBI. According to FBI estimates, the victims of of online used car scams lost $44.5 million during that same three year period of 2008 - 2010.
Examples of Online Used Car Scams
There are many different approaches scammers take in trying to trick people into sending money to a fraudulent website. Here are a few examples.
The buyer bids on a car, and afterwards receives an e-mail saying that they had the highest bid. They are then given instructions on how to wire the funds to the seller, who turns out to be a foreign criminal. There is no car, and no refund.
The buyer purchases a car and then is instructed to send the money to an "escrow service" that will transfer the money once the car has been received by the buyer. Unfortunately, it is not an escrow service, and the owners of the website simply keep the money and never ship the car.
A phony auto dealer has a website that advertises cars. Buyers are told to send deposits to hold the car they want. The dealership doesn't exist. Once again, no car and no refund.
Other Problems With Online Car Sales
Even if the seller is not a criminal who is planning a complete fraud, the online buyer of a used car can end up disappointed. Sellers are not always completely honest, and the car could have dents or other problems that are not disclosed to the buyer. If you think that the car of your dreams can only be found online, you may want to take a few steps to protect yourself.
How to Avoid Problems Buying Cars Online
If you really want to buy a car online, there are a few precautions you can take that may save you from problems.
1. Purchase a manufacturer-certified preowned car from a new car franchise. For example, you should be able to buy a pre-owned BMW, Mercedes, Volkswagen or similar car from a distant dealer and have few problems. However, you do need to remember that the cars are used, and will not be in perfect condition. On the other hand, at least you will know that the car really does exist!
2. You can buy the car through eBay and use their Buyers' Vehicle Purchase Protection plan. However, this is only designed to protect you from major fraud. It doesn't make up for the fact that you are not seeing the car in person, and it could have undisclosed dents or similar problems.
3. You can pay $125 to a company called Inspect My Ride. They will go and look at the car for you. However, they do not do a complete inspection to confirm that the car is in excellent working condition, and you are not guaranteed that the car will live up to your expectations. All you will really know is that the car actually exists, and is not a complete wreck.
4. Finally, you can follow the advice written on the Craigslist website. They suggest that you "deal locally with folks you can meet in person." According to them, this will eliminate 99% of scam attempts. It is certainly something to think about!
To stay informed on a regular basis about other lies, scams and hoaxes, follow this blog at: http://lies-and-lairs.blogspot.com/
Photo courtesy of http://www.morguefile.com/
Before you buy a used vehicle you can check its details to see if it's been stolen, written off or has any finance outstanding against it. You can check online or by telephone using services from the Driver and Vehicle Licensing Agency and private vehicle check companies.
ReplyDeleteUsed Cars in Savannah Ga
Thank you so much for providing this useful information to my readers. People do need to know if a used car has been stolen, written off or still has an outstanding loan agains it. Thank you!
DeleteYou can never be too sure in purchasing items from the internet. You have to do a more thorough inspection and evaluation of the car you want to purchase. What you can do is check the VIN in the driver’s door jamb, under the hood, and on the paperwork. Ensure the title and registration documents match the name and address of the previous owner(s), as well. Never play safe; find a car dealer that acknowledges buyer’s rights.
ReplyDeleteTimmy Radloff
Thank you so much for this information. I'm sure it will help many readers to avoid an unhappy situation when they buy a used car.
DeleteHi! I am glad to stop by your site and know more about certified used auto dealers. Keep it up! This is a good read. I will be looking forward to visit your page again and for your other posts as well. Thank you for sharing your thoughts about certified used auto dealers in your area.
ReplyDeleteMost often late-model, they differ from other used cars by having been inspected, refurbished, and certified by a manufacturer or other certifying authority. They also typically include an extended warranty, special financing, and additional benefits. Luxury marques Lexus and Mercedes-Benz were among the first to create CPO programs in the 1990s. There are variations as to what is termed certified pre-owned, so it's important to note the distinctions. Manufacturer (or "factory") CPO vehicles are only sold at authorized dealers specializing in that particular franchise. Factory CPO cars are generally five years old or newer and have less than 80,000 miles. They often cost more than vehicles certified by independent authorities, and are higher priced than a non-certified used vehicle. Independent programs can represent good value and an alternative to an OEM program. Independents may hold a vehicle to a higher standard than an OEM, or may be less stringent in their inspections. Independents include brands such as the National Vehicle Certification Program (or "NVCP"), Carmark, and others. Dealer-certified programs represent a third category, as they are often promoted as Certified Pre-Owned. These vehicles generally have not been inspected by anyone outside the dealership, but do typically carry a warranty or extended service contract to provide some protection to the consumer.
If you’re not satisfied with your purchase, simply bring it back to your dealer within the first three days or 150 miles (whichever comes first) to exchange it for a Chevrolet, Buick, Pontiac, GMC or Saturn that fits your needs. No regrets. No doubts. No question about it.
Certified USED Auto Dealers Massachusetts
Thank you so much for sharing this helpful information with my readers about Certified Pre-Owned cars.
ReplyDeleteVery cool blog, you have shared a great blog..we should all be aware that in every cars who sells online you can always encounter scams..so we need to be careful also..thanks a lot for sharing
ReplyDeletecash for my car
Thank you for your comments. Every time there is a disaster there is the potential that damaged cars can end up being sold over the internet. I hope everyone will be able to avoid some of these scams!
ReplyDeleteIt is important to be aware of the scams plaguing the internet right now if you’re planning to buy a car. One way you can avoid fake online automobile dealers is by looking for the address where the actual dealership is located. If there is an address indicated in the website, try to confirm the existence of the dealership by calling people who have a hold of local listings. See if it’s a legitimate business. You can also do some internet research to look for feedback on the business.
ReplyDeleteTyra Shortino
Thank you for your comments. There are cars that were damaged by Hurricane Sandy that may be on the market soon. People need to be aware of this, so they avoid buying these damaged cars.
ReplyDeleteHi there! great sutff here, I'm glad that I drop by your page and found this very interesting. Thanks for posting. Hoping to read something like this in the future! When you buy a Certified Used vehicle from auto dealers, strict eligibility requirements ensure you are getting a "worry-free" vehicle.
ReplyDeleteCertified Used Auto Boston
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