MOTORISTS are being warned of an elaborate scam that has already fooled 3,000 drivers – here’s how to avoid it.
Car buying scams are on the rise, with criminals taking advantage of people searching online for their next set of wheels.
A BBC investigation recently revealed just how easy it is to fall for such scams, while exposing a fake car dealership website that defrauded people out of thousands of pounds.
Pietro Pagliuca from West Yorkshire told the BBC how he transferred almost £4,000 to a legitimate-sounding company for a second-hand Nissan Qashqai.
He even chatted with someone saying they were a sales directors, before parting with his cash – and he even saw what he thought was a company stamp on the invoice they sent him.
But, he was scammed, and according to Action Fraud the number of people being conned is growing.
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Last year there were 3,000 reports of online fraud from UK drivers – a 21 per cent rise compared to 2019.
Now, learner driver insurance company Veygo has released its top six tips to avoid becoming part of those statistics.
Veygo CEO James Armstrong said you should ask the dealer as much information about the car as you can.
He said: “Make sure you know its make, model and year of manufacture, and the registration number so you can do your own checks on its history before taking anything further.
“As part of the BBC investigation, they found real listings were copied by fraudsters, so when you have all the information about a used car, search online to rule out that a listing has been cloned.”
James said before engaging with a seller, potential buyers should check the market value of similar vehicles.
He added: “By offering a bargain, fraudsters can reel you in and make a purchase hard to resist.”
If you think you’ve found a great deal on a used car online, always arrange to view it in person, James said.
He said: “This will help you check its condition and that everything else is up to scratch. You could take it for a test drive, too.
“Always bring a friend or family member with you for a second opinion.”
James said the AA has a useful directory of approved car dealerships who have signed a dealer promise to offer top-quality customer service.
He said: “They’ll also help you sort out any issues between you and a dealership that’s registered under the scheme.
“It’s good practice to search the dealership’s name online and on social media before you pay them a visit.
“This will uncover any discrepancies in the information you have been given and any reports of suspicious behaviour from other car buyers.”
Even if you have seen the car in the flesh, never pay for it online using a direct bank transfer, the CEO said.
He added: “This offers you no protection if you have been scammed.
“More banks now ask you to tick that you understand you could be being scammed when transferring money online, which waivers your rights if the worst does happen.
“Instead, as with any other large online purchases, use money-protected services like credit card or PayPal.
“If the dealer demands a bank transfer, it’s time to walk away.”
James said: “If you have any suspicion that an online car dealership or seller isn’t legitimate, or if you fall victim to a scam, report it to Action Fraud immediately.”
