CARFAX: Odometer Fraud Increases Nationwide to 2.14 Million Vehicles
Rhea-AI Summary
CARFAX reports a significant increase in odometer fraud nationwide, with over 2.14 million vehicles potentially affected in 2024, marking an 18% rise since 2021 and adding 82,000 more cases from the previous year. The fraudulent practice, which can be executed quickly using modern technology, costs unsuspecting buyers an average of $4,000 in lost value, plus additional repair costs.
Nine out of the top 10 states reported increases, with Virginia showing the highest spike at 11.7%, followed by Arizona at 8.0% and Florida at 6.4%. The fraud typically occurs when sellers alter vehicle mileage displays to avoid lease charges or increase vehicle value.
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- None.
Negative
- Odometer fraud increased 18% since 2021, affecting 2.14 million vehicles
- Average loss of $4,000 per affected vehicle for buyers
- Virginia reported 11.7% increase in fraud cases
- Modern technology makes odometer fraud easier to execute
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"Odometer rollbacks can occur when an unscrupulous owner or seller of a car alters the miles that display on a car's gauge cluster," said Faisal Hasan, Vice President of Data and Public Policy at CARFAX. "This might be done as a way to avoid mileage charges in a vehicle lease or to dramatically increase the value of a car. Today's technology makes rolling an odometer back easier than ever." It can take a bad actor just seconds to roll back an odometer, causing unsuspecting buyers to lose an average of
"I located a beautiful Chevy 4x4 Truck that sounded perfect: Low miles, great condition, etc. When I ran the CARFAX on the vehicle, I discovered the truck had approximately 180,000 miles rather than the 108,000 stated," said Jimmy Hendon, a driver in
Nine of the Top 10 states with the most vehicles with rolled back odometers saw an increase this year.
How to protect from odometer fraud:
- Check for potential odometer fraud at www.carfax.com/odo.
- Obtain the CARFAX report for the vehicle's history and check the title, maintenance, and inspection records to compare the mileage on the vehicle.
- Check out the wear and tear at the gas, brake, or clutch pedals.
- Always have a trusted mechanic inspect the car before a purchase. They should be able to tell if a vehicle looks older than its odometer suggests.
Editor's note: We have a media tour on Dec. 10, 2024. A CARFAX expert and a mechanic will be standing by to show how easy it is to roll back a vehicle's odometer in real-time. Localized data available upon request. Please contact Em Nguyen at emnguyen@carfax.com.
About CARFAX
CARFAX, part of S&P Global Mobility, helps millions of people every day confidently shop, buy, service and sell used cars with innovative solutions powered by CARFAX® vehicle history information. The expert in vehicle history since 1984, CARFAX provides CARFAX Used Car Listings, CARFAX Car Care, CARFAX History-Based Value and the flagship CARFAX Vehicle History Report to consumers and the automotive industry. CARFAX owns the world's largest vehicle history database and is nationally recognized as a top workplace by The Washington Post. Shop, Buy, Service, Sell – Show me the CARFAX®.
S&P Global Mobility is a division of S&P Global (NYSE: SPGI). S&P Global is the world's foremost provider of credit ratings, benchmarks, analytics and workflow solutions in the global capital, commodity and automotive markets.
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SOURCE CARFAX