How do online scams work?

One question we often receive is how do online scams work? What exactly are scammers trying to do? Fraud happens on both sides of the transaction.

Scammers looking to buy a car:

In the cases where they are offering to buy your car, they likely will mail you a check greater than your asking price and ask you to wire them the difference. They will claim some odd reason that the check is in the greater-than-asking-price value. The check is phony (they can look real enough to fool tellers) and then you’re out of luck after you’ve wired the money.

Scammers looking to sell a car:

In the cases where the scammer claims to need to sell a car, they are looking either to get a deposit from you for the car, or for you to advance them the cost of shipping. They will keep this payment.

In both cases, you likely have minimal legal recourse. Unfortunately, nearly all online fraud activity originates overseas. International governments are getting better about tracking down these criminals, but to this date they have not caught many of these thieves.

If you fear you have been a victim of a car buying scam or car selling scam, contact your local law enforcement officials. While local law enforcement hands are tied, they will investigate these matters. In fact, it’s important to report this crime, so that our government can make a case to foreign governments for more resources.

Did You Receive an Email Stating You Have Unread Inquiries?

Did it look like this?

(click to see larger image)

This is a "phishing" attempt to gain access to your account. If you receive this email, simply delete it. If you've already clicked on the links and logged into your account, email reportascam@cars.com. Your financial information is not in jeopardy. Our customer service team will help you.

Questions or concerns? Call (888) 780-1286 or email us.

Think You've Been Scammed?

If you're the victim of an auto-buying scam and have no luck trying to settle the dispute with the supposed buyer, it's critical to contact the appropriate authorities immediately. File a report with your local police department, and contact the consumer protection division of your state attorney general's office; you can find a listing of all 50 offices online at the National Association of Attorneys General. At the national level, contact the Federal Trade Commission's Bureau of Consumer Protection, the U.S. Department of Justice's Internet Fraud Division, Consumer Sentinel, the FBI's Internet Fraud Complaint Center or the National Fraud Information Center. If the scam was carried out via U.S. mail, you can also fill out the U.S. Postal Service's Mail Fraud Complaint Form. These websites are good sources to check out before you sell your vehicle, and they maintain current updates of the latest scams perpetrated against consumers. You can email complaints about a counterfeit check scam to the U.S. Secret Service at 419.fcd@usss.treas.gov, or contact your local Secret Service field office. Finally, if your situation involved a supposed buyer overseas, you should contact the appropriate authorities in that country as well. European victims of fraudulent car buying should get in touch with the European Anti-Fraud Office.

Questions or concerns? Call (888) 780-1286 or email us.