How To Avoid Common Pitfalls When Shopping For a Car Online
Have you ever surfed Craigslist or eBay motors and found a deal that just sounded to awesome to pass up? Say a car that normally retails for $15,000 and someone is offering to sell it for under $10,000? Wonder if it's a scam? Unfortunately, it probably is.
The web is rife with scammers these days.
Unfortunately, the large purchases and sums of money associated with the automotive industry, as well as the highly emotional buying process, has drawn more and more of them to prey upon car shoppers, especially online ones.
In fact, there are so many online auto scams going on right now that the FBI recently issued an alert.
Here are a few of the most common scams and how to avoid them.
In one scam, autos are advertised at below market prices using established legitimate websites.
The buyer contacts the seller and is treated to a hard-luck story that seems to explain why the car is being sold so cheaply.
The con-man seller moves the transaction to another website and frequently offers a buyer protection plan from a well known, legitimate company like eBay.
The seller is instructed to wire a down payment in order to hold the car.
The buyer loses the down payment.
In a more creative scam, crooks steal the identity and good name of real auto dealers, then set up fake websites advertising inexpensive repossessed cars.
These websites even contain certification seals and security seals from real companies to lend additional credibility.
Again, buyers are instructed to wire a deposit to hold a car, but are instructed to stop by the address of the real dealer to pay the balance and pick up the car.
Dozens of people have showed up with official looking receipts for cars they placed deposits on.
Tens of thousands of dollars were lost.
Remember, if you are looking at a car online and the price seems too good to be true, it probably is.
Call the Better Business Bureau if a business is supposed to be involved and verify the company's involvement.
If a buyer only want to communicate by email or live chat, it is probably a scam.
Requiring a wire transfer "sight unseen" is another red flag.
It is impossible to spot every internet auto sales scam, but, if you keep the items mentioned in mind, you should be able to keep your money.
The web is rife with scammers these days.
Unfortunately, the large purchases and sums of money associated with the automotive industry, as well as the highly emotional buying process, has drawn more and more of them to prey upon car shoppers, especially online ones.
In fact, there are so many online auto scams going on right now that the FBI recently issued an alert.
Here are a few of the most common scams and how to avoid them.
In one scam, autos are advertised at below market prices using established legitimate websites.
The buyer contacts the seller and is treated to a hard-luck story that seems to explain why the car is being sold so cheaply.
The con-man seller moves the transaction to another website and frequently offers a buyer protection plan from a well known, legitimate company like eBay.
The seller is instructed to wire a down payment in order to hold the car.
The buyer loses the down payment.
In a more creative scam, crooks steal the identity and good name of real auto dealers, then set up fake websites advertising inexpensive repossessed cars.
These websites even contain certification seals and security seals from real companies to lend additional credibility.
Again, buyers are instructed to wire a deposit to hold a car, but are instructed to stop by the address of the real dealer to pay the balance and pick up the car.
Dozens of people have showed up with official looking receipts for cars they placed deposits on.
Tens of thousands of dollars were lost.
Remember, if you are looking at a car online and the price seems too good to be true, it probably is.
Call the Better Business Bureau if a business is supposed to be involved and verify the company's involvement.
If a buyer only want to communicate by email or live chat, it is probably a scam.
Requiring a wire transfer "sight unseen" is another red flag.
It is impossible to spot every internet auto sales scam, but, if you keep the items mentioned in mind, you should be able to keep your money.