Auto Dealer Odometer Fraud
Key Takeaways
- Odometer fraud involves rolling back the vehicle’s odometer to make it seem like the vehicle has lower mileage.
- The NHTSA estimates more than 450,000 vehicles sold yearly with false odometer readings.
- Check the vehicle history and have a mechanic look at the vehicle to reduce the risk of odometer fraud scams.
Buying a car from a used car lot is stressful enough. At the very least, auto dealers should be honest about the vehicle’s mileage. Unfortunately, some dealerships change the odometer to scam people into buying a high-mileage vehicle. Odometer fraud can cost consumers thousands of dollars.
Odometer fraud is more common than most people think. You have the right to sue the dealership for committing fraud. Talk to a dealer fraud attorney for legal advice on protecting your rights.
What Is Odometer Fraud?
Mileage is an important factor when buying a used car or truck. It indicates how much wear and tear the vehicle has endured. It can also determine whether the warranty still protects it. You may feel more confident buying a used vehicle with 20,000 miles on the odometer than one with 120,000 miles.
Unfortunately, auto dealers can commit fraud by tampering with the odometer reading to roll back the actual mileage. Busting miles or clocking the odometer backward can increase the vehicle’s value by lowering the mileage. Odometer fraud is not just a consumer protection issue. It’s also a serious crime.
Odometer fraud can involve disconnecting, resetting, or altering the vehicle’s odometer to change the mileage. This includes mechanical odometers and digital odometers. Digital odometer fraud can be more difficult to detect. You should be proactive when buying a used car to make sure you aren’t a victim of car dealership deceptive practices.
How Can Car Dealers Manipulate Mileage?
Rolling back odometers isn’t as difficult as you think, especially with the digital odometers found in most modern vehicles. Shady automotive dealerships can use on-board diagnostic tools to alter the odometer. These diagnostic tools are for diagnosing problems with the vehicle. But they can also help the dealership commit fraud.
How Common Is Odometer Fraud?
According to the National Highway Traffic Safety Administration (NHTSA), more than 450,000 vehicles are sold each year with false odometer readings. Odometer fraud costs American car buyers more than $1 billion per year. The average cost of odometer fraud is more than $2,300.
According to a Carfax survey, odometer rollback fraud is on the rise. Odometer mileage fraud has increased 14% over the last two years. The five states with the most cases of odometer rollback were:
- California
- Texas
- New York
- Florida
- Illinois
Can You Sue the Dealer for Odometer Rollback?
Under the Motor Vehicle Information and Cost Savings Act, a person may not make an odometer register a mileage different from the driven mileage. If an auto dealer defrauded you by rolling back the odometer, you can sue the dealer for damages. An auto dealer fraud attorney can file a civil fraud lawsuit against the dealer for compensatory damages. Damages for odometer rollback fraud include:
- $10,000 civil penalty
- Triple actual damages
- Attorney fees
What Are Signs of Odometer Fraud?
Watch for red flags that may indicate possible odometer fraud and take steps to protect your purchase. The NHTSA recommends the following:
- Check the vehicle title: Compare the mileage on the title to the mileage on the vehicle.
- Check the records: Consider any listed vehicle maintenance with the mileage. An older car will likely have had some work done. You can also check the maintenance or oil change stickers on the window, door frame, or glove box.
- Look for any crooked numbers: Checkon the odometer, gaps, or loose movement. This could indicate tampering with the mechanical odometer.
- Check the tires: For a newer car with low mileage, the tire wear should match the car’s odometer indication.
- Check the vehicle’s wear and tear: You can look for inconsistent wear patterns on the pedals or floor mats. The gas or brake pedals appearing to have heavy wear could indicate a vehicle with high mileage.
- Get a CARFAX or AutoCheck vehicle history report: The history report should help identify possible odometer differences based on the vehicle identification number (VIN).
- Have your mechanic check the vehicle: A trusted auto mechanic can look for other signs of possible odometer fraud beyond your view.
How Can an Auto Fraud Lawyer Help With Odometer Tampering?
A dealership that committed fraud by changing the odometer to show a lower mileage should be held accountable. An odometer fraud lawsuit can help you recover compensation for your losses. Your lawyer can also recover attorney fees from the dealership, so you won’t have to pay them. If you are a victim of odometer fraud, contact a dealer fraud lawyer to understand your legal options.
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