As more families look to stretch their
dollar, buying a used car, instead of new, is increasingly popular.
Unfortunately, some law enforcement are reporting that VIN cloning—which
targets used car buyers—is on the rise and Better Business Bureau advises car
buyers to do their research or they could unknowingly purchase a stolen car.
Nearly 4 million used cars were purchased
in May, up 23 percent over April, according to CNW research. As a reflection of
our current economy, at the same time, new car sales are down 34 percent. One scam that specifically plagues used car
buyers is VIN cloning, which is essentially auto identity theft used by car
thieves to unload stolen cars. According to the most recent numbers from CARFAX,
as many as 225,000 of the 1.5 million cars stolen every year have been
subjected to VIN cloning.
“VIN cloning has two victims,” said Frank
Whitney MidCal BBB CEO. “The first is the victim who had their car stolen, and
the second is the unsuspecting buyer because, when the police track down the
stolen car, they’re going to give it back to the rightful owner and the new
owner will suddenly have no car or a way to get his or her money back.”
A car’s vehicle identification number, or
VIN number, is a unique number that serves as a way to recognize a specific car.
The number is also used by law enforcement to track down and flag stolen cars.
For this reason, car thieves will “clone” a stolen car’s VIN number to match
that of a car that isn’t stolen.
Sometimes the thieves will punch out a new
VIN and replace the stolen vehicle’s dash VIN with the new one or they use
computer technology to print out authentic looking documents with phony VINs.
The last step is selling the vehicle, usually through classified ads or other
informal methods. Some altered vehicles end up in auctions, sold through
classifieds or on unsuspecting used car lots.
When police are able to track down stolen
cars they will seize the car from the buyer and there is usually little
recourse for the unsuspecting buyer to get his or her money back.
BBB recommends taking the following steps
to avoid becoming a victim of VIN cloning:
- Be
extremely cautious if you see a late model luxury car or SUV selling
significantly under normal market price.
- Do
not fall for the “we need cash quickly” excuse; exercise due diligence.
- Check
the VIN number on the dashboard, inside the door jamb and under the hood
against the car’s title documents for discrepancies.
- Closely
examine the car’s title, registration and other documents. Fake documents
sometimes contain misspelled words.
- If
you still have questions about the validity of the vehicle’s VIN, obtain a
comprehensive vehicle history report.
- If
you believe your car has been cloned—one giveaway according to the FBI is
if you receive a notice for unpaid parking tickets—contact your local law
enforcement.
For more advice on shopping for a new or
used car, visit www.bbb.org