Last month, 20 defendants were sentenced for their involvement in a car-cloning scheme run out of Georgia. Members of the conspiracy stole dozens of vehicles worth more than $1 million, according to the FBI. Earlier this year, the FBI shut down a large car-cloning ring based in South Florida. In that case, more than 1,000 cars were sold to witting and unwitting buyers in 20 states and several countries. Authorities estimated losses of more than $25 million to consumers, auto insurers and other victims.
Carfax, which sells vehicle history information, estimates that more than 225,000 of the 1.5 million vehicles stolen each year end up with VINs from a legally owned vehicle and are resold.
The FBI warns that if you buy a stolen vehicle with a fake VIN and its true ownership is discovered, the car can be confiscated. If you've borrowed to buy the car, you'll still be responsible for any outstanding loan.
The BBB and FBI advise used car buyers to make sure the VIN on the dashboard, the driver's side door sticker, the car's frame and paperwork (title documents, service records, etc.) all match. If you are buying from a private seller, be sure to carefully check the title against the person's driver's license.
By next year, hopefully car cloning will be nearly impossible to pull off. That's because the National Motor Vehicle Title Information System should be fully operational. This Department of Justice database, operated by the American Association of Motor Vehicle Administrators, is an electronic system that will eventually link to all state and the District of Columbia motor vehicle departments.
Once all the jurisdictions are feeding the database with information, if a car is titled in one state, a criminal should not be able to steal its VIN and use it on another vehicle elsewhere. The database would indicate that the VIN is already in use. This search engine will also allow consumers to find information on the vehicle's title, most recent odometer reading and, in some cases, historical theft data. For more information about the database, go to www.nmvtis.gov.
Look, these scams pop up in good times and bad. Just stay vigilant, and always check things out.