Auto Transport Scams and Companies to Avoid
The popularity of car shipping services is growing rapidly these days. There’s a large number of auto transport companies that are providing genuine services to the general public. However, unfortunately, there are a few that tend to deceit the consumers. Although common, such scams are still avoidable. In this blog, we will be delving deep into the tactics used by scammers, how to identify them and the measures you can use to avoid them.
What are Car Shipping Scams?
But first we need to understand what car shipping scams are; To put in simple words, these are illegitimate companies or individuals imitating genuine service providers.
Kinds of Scams:
Price Switching Bait:
The scammer poses as a company offering either an extremely low or market-competitive price. The victims of such scams often agree without further investigation. Once the booking is done, the scammers then increase the final cost.
Such scams often occur by adding clauses or words such as “estimated” or “subject to change.”Since the company looks genuine, the victim usually skims the document and skips over such parts. Now that the contract is signed, the victim can do nothing, and he is forced to pay the increased price.
Initial Low Price Scam:
In this scam, the scammers initially offer the customer a meager price. However, once the booking proceeds, additional fees such as delivery fees, boarding fees, listing fees, etc start to appear. Luckily, unlike the first scam, this scam can be avoided by not signing the contract.
Phishing Scam:
In a phishing scam, the scammer sends individuals a link through a resource that may look like a reliable auto transport company; the user clicks on the link to proceed, but nothing happens, and the scammer gets the individual’s personal information. Such links are shared via emails or text messages.
Fake Buyer and Seller Scam:
Fake Buyer:
The deceiver finds your listing and poses as a buyer interested in your vehicle. Once you have finalized the deal, you will receive a cheque (that will bounce later) for the amount of the demand you made. The scammer asks you to pay the shipping cost. Once you have sent the money, the supposed buyer disappears with hundreds of dollars.
Phishing Scam:
Fake Seller:
The scam usually goes like this: You come across a seller that replicates real auto transport companies. The presumed seller asks you to pay in advance. Once you have sent the payment, the seller disappears.
How to Identify Scammers:
Although it is difficult to guess whether the dealer is a scammer or not, there are indicators that you might be getting scammed! Be vigilant of such factors to save yourself in the future:
Pressure to sign a Contract: Fraudents often insist their victims to sign the contract. So that they are bound and cannot escape.
Payment Demands: Although it is common around the market to ask for a down payment, scammers usually ask for the full payment in advance.
Vague Documentation: To benefit themselves more, scammers generate vague contracts with shady phrases. Along with this, the deceiters also refuse to provide any detailed information about them or the agreement.
Lack of accurate information: One of the key indicators of an illegitimate service provider is the absence of key information such as physical address, contact information etc.
How Can I Protect Myself From Scams?
Understand the Market:
To Save yourself from potential fraud in the car shipping industry, you need to have comprehensive knowledge of the industry. There are three types of service providers in the industry
- Direct Carriers: Direct Carriers ship vehicles directly to and from without a middleman.
- Brokers: These are the middlemen direct shippers avoid; brokers act as mediators between you and the carriers.
- Auto Transport Companies: These companies provide you with the organization, carriers and mediators all in one place. Car shipping companies might be a better choice for you as many offer state to state shipping saving you from the hassle of dealing with brokers and carriers.
After you have studied the auto transport services, it is also important for you to have knowledge about the car shipping methods that are available. For example, if you are shipping a luxury car you may consider enclosed car shipping, this method of shipping ensures that your vehicle reaches you safely, extra protected.
Do Your Research:
Before finalizing any deal, be sure to do proper research, go through the company’s website and check for the accuracy of the provided information. You can refer to The Federal Motor Carrier Safety Administration (FMCSA) to check for MC and US Dot Numbers.
Additionally, you can use websites like Consumer Affairs, Better Business Bureau (BBB), Complaints Board, etc, to find ratings and reviews for different websites. You can also check for recommendations on social media platforms and ask around in your community.
Read Your Contract:
Never sign any contract without thoroughly reading it. Scammers often add shady and vague clauses in their contracts; if you come across any such phrase, stay away from that individual, and please don’t sign the contract.
What To Do If I Get Scammed?
If you have unfortunately been scammed, don’t worry, you are not alone. What you should do now is take action as fast as possible to minimize the damage. Try calling your bank the minute you get the hint of the deception. Many banks or financial service providers can often cancel or reverse the payment.
Report the spam to authorities and file complaints on review and complaint sites to save others from being hoaxed. The entire world is just one post away from you, use social media to spread the news about the spam. Share all the details of the scammers in your post, and let social media do its magic!
Why You Should Pick Genius Auto Trans:
Genius Auto Trans is a Virginia-based Auto Transport Company that offers reliable car shipping services nationwide. Genius Auto Trans understand how nerve-wracking shipping your car can be, which is why we try our best to make your vehicle’s journey as seamless as possible. We have you covered, from 24/7 cooperative and attentive customer service to safe and reliable door-to-door shipping. We have enclosed car shipping and a real-time auto-tracking system so you can be stress-free and fully informed throughout the shipping process.
Our teams at genius auto trans always stay up to date with market trends, trying to come up with market-competitive prices and budget-friendly discounts for our valuable customers. Since Genius Auto Trans values transparency, customer reviews and feedback can be found on our website so that future customers can make informed decisions.
FAQs
Fraudulent individuals pretend to be legitimate companies or car brokers. The deceptor usually aims to gain the personal information of the victim.
Car shipping companies can be verified by reading reviews on different platforms. You can also check the website (if any) for weird URLs or any grammatical mistakes. Legitimate companies are always cautious about such things.
If you have been scammed, report the spam immediately and contact your bank.
Yes, if you connect with a reliable auto transport company.
