How Do I Avoid Car Buying Fraudsters?

Once you know what to look for, it’s much easier to know how to avoid car buying scams. This following checklist isn't a 100% guarantee, but it can protect you from most fraudsters: don't use money wires, bank transfers, or similar types of transactions. Try to deal locally with people you can meet and cars you can inspect. Then get the car inspected by a professional mechanic before you hand over any money. Demand a vehicle identification number (VIN) and look for a vehicle history report that matches the seller’s story. Take your time to think about the deal logically. don't get excited by a big offer and start making reckless decisions. don't fall for terms like “guaranteed” or “escrow.” Online marketplaces explicitly say they won't guarantee transactions through their platforms, and individuals who say otherwise are lying. Ask lots of questions to see if the story holds up. Call your bank to see if any checks or other payments have been 100% cleared before you give anything up. It’s not a done deal even when some funds start to become available. Trust your gut. If someone seems sketchy, they probably are. If a deal seems too good to be true, it probably is.

Be Aware of Car Buying and Car Selling Scams and Fraudsters AZ

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The internet is a blessing and a curse when it comes to buying a new car. It makes it easier than ever to do your research and find a good deal. You can get quotes from multiple different Chevy dealerships in Arizona without ever leaving your home. Unfortunately, though, it’s also easier for scammers to trick people by hiding behind their computers.

There are both car buying scams and car selling scams. You’ll see most of them in online marketplaces like Craigslist, eBay, or various online classifieds. It’s hard to track down a criminal online when you don’t know their real name or where they live. Often, the authorities won’t be able to do anything for you once your money is gone. This makes it critically important to be aware of the common car scams, how you can avoid car buying fraudsters, and the common warning signs of car buying scams.

Common Car Scams

The good news is that car buying scams often follow a predictable pattern, and most fraudsters can’t hide their true nature for very long. If something seems off, trust your instincts. Don’t take a big risk by giving any money to someone who doesn’t seem trustworthy. Many car sale scammers try to recycle the same tricks, so be on the lookout for situations like these three:

1 – The Fake Escrow

Fraudsters will try to take advantage of your skepticism by lulling you into a false sense of security. They may say they have an escrow service set up to hold funds or documents from both parties until the transaction has been completed. After offering you a great deal, they’ll tell you to send your money into this so-called “escrow” via eBay, PayPal, or another service.

Then they may say circumstances have changed and they need more money to cover additional costs. Once they believe they’ve taken you for all they can get, you’ll never hear from them again. You can try to track them down through your transaction trail, but everything is likely to be tied to a fake or untraceable account.

2 – The Fake Shipping Fees

Not unlike the fake escrow, this scam uses a misleading act to win your good favor. The scammer will offer to buy a car that you’ve privately listed for sale. This fake buyer will offer to pay at least full price, sending a cashier’s check with the full amount. This check will also include a little bit extra, which is to have the vehicle shipped.

The “buyer” will tell you to pass the extra amount on to the shipping company, at which point things will start to get fishy. For example:

- You list your car for sale for $10,000.
- A “buyer” sends you a check for $12,000, and you forward the extra $2,000 to another account to have the car “shipped.”
- Once the fake shipper cashes your check, your check from the fake buyer will bounce.
- At this point, your $2,000 check for “shipping” is gone, and you can’t get anything for the fraudulent check from the fake buyer.

3 – The Deal of a Lifetime

This one is a little bit more straightforward than our other examples. In this scam, you’ll find a really nice car for sale at a price that’s way too good to be true. This car may be a recent model with low mileage, a classic car, or an imported sports car. The fake seller will explain to you that they have to have the car shipped because of their circumstances (they’re too ill to travel, they’re living out of the country, etc.).

All you have to do is send them money, and they’ll have the car shipped directly to your door as soon as possible. The scammer will probably ask for a money transfer, but it could also be a bank-to-bank transfer, cashier’s check, or some other form of payment. As soon as they’ve got your money, you’ll never hear from them again. Their contact information will stop working and you won’t be able to get your money back once they’ve collected it.

Other Warning Signs

Beyond those three examples of common car scams, there are other red flags to look for. If you can’t find any information about a seller online, that’s something to watch for. Look for reviews. If you find negative reviews, definitely back out. If you can’t find any reviews, you’ll have to do some sleuthing about this individual. Search for their name, email address, and phone number in conjunction with words and phrases like “scam,” “fraud,” “complaints,” and “car buying.” If you can’t be positive it’s a real person, back out.

Scammers won’t want to meet you in person. If you can’t see the person face to face, don’t send them money. They’ll want you to send money online via gift card, cryptocurrency, or wire transfer. They may also talk about extra fees for shipping, transportation, or something else. The scammer will try to rush you, so get suspicious if they’re in too much of a hurry. Finally, assume someone is a fraudster if they won’t let you inspect a car they’re selling, or if they don’t want to inspect your car before buying it.

Car Buying Scams Vs. Car Selling Scams

A scammer can impersonate either a buyer or a seller. In either case, they’ll try to move quickly on a deal without providing you a lot of information. Consider all possibilities any time you buy or sell a car online.

How to Avoid Car Buying Fraudsters

Once you know what to look for, it’s much easier to know how to avoid car buying scams. This following checklist isn’t a 100% guarantee, but it can protect you from most fraudsters:

- Don’t use money wires, bank transfers, or similar types of transactions.
- Try to deal locally with people you can meet and cars you can inspect. Then get the car inspected by a professional mechanic before you hand over any money.
- Demand a vehicle identification number (VIN) and look for a vehicle history report that matches the seller’s story.
- Take your time to think about the deal logically. Don’t get excited by a big offer and start making reckless decisions.
- Don’t fall for terms like “guaranteed” or “escrow.” Online marketplaces explicitly say they won’t guarantee transactions through their platforms, and individuals who say otherwise are lying.
- Ask lots of questions to see if the story holds up.
- Call your bank to see if any checks or other payments have been 100% cleared before you give anything up. It’s not a done deal even when some funds start to become available.
- Trust your gut. If someone seems sketchy, they probably are. If a deal seems too good to be true, it probably is.

Why Choose Valley Chevy

Valley Chevy dealers have a reputation here in the Valley of the Sun. You know who we are and where we live because we’re your neighbors.

We have strong ties to this community, and we love to serve residents of Phoenix and the surrounding areas. Our reputation counts on your satisfaction, so you can visit us with confidence.

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