6 Red Flags when Shopping for Used Cars Online

While it is quick and easy to shop for a used car online, it is also a hotbed of suspicious listings, hasty sellers, and scams. Whether you are using a popular marketplace, a dealer’s website, or a social media site, applying a little caution in advance can help. Here are some red flags to be aware of, and some quick checks that could help keep you and your cash safe.

1. No VIN or incomplete VIN information

A seller unwilling to provide a complete VIN (Vehicle identification number) is a very serious indication of a potentially big issue. The VIN is your key to accident history, mileage, title history, and even manufacturer’s recalls. If a seller is providing only part of the VIN or saying it is unavailable, assume they are trying to deceive you somehow.

Take the VIN number you receive and run it through an Internet-based decoder Also cross-reference with free recall databases. If it does not match the pictures or trim level he/she is providing, walk away!

2. Fake or Misleading Certified Pre-Owned Badge

While ‘certified’ labels are used to substantiate a higher price when selling a vehicle, too many have never learned about the credentialing process behind the term. Some sellers use logos from reputable dealer websites to market a vehicle as certified. If you see a listing that states something about certified pre-owned vehicles, check to see whether it is legitimate.

A true certified vehicle will have gone through a thorough multi-point inspection, will still have warranty coverage, and will also contain the brokerage’s documentation from the dealer selling the vehicle.

If a listing has quotes highlighting the benefits of certification but cannot show an inspection report, proof of warranty or receipts from the selling dealer for the certification, the certification is, for all intents and purposes, worthless.

Ask for the full inspection sheet and warranty. If the seller dodges, they are probably trying to hide something.

3. Insistence on Paying the Deposit Immediately

Scammers will prey on your urgency. If sellers say you need to wire them money ‘before someone else takes it,’ or for a car that is ‘in transit,’ and ask for a reservation fee, that’s very likely going to be an issue. Legitimate sellers don’t ask for a deposit before you have the opportunity to inspect and approve the vehicle.

Do not use wire transfers for deposits. Safe holding methods like escrow services give you a buffer if something goes wrong.

4. Suspicious or Unverifiable Service Records

A properly maintained car will have verifiable services; visits to a dealership, service logs, and receipts from legitimate repair shops. A common ploy of online scammers is to post a blurry picture of a repair invoice or screenshot that does not match the vehicle’s stated mileage or date. If the service history looks too good or minimal, be cautious. A vehicle with 140,000 miles and zero maintenance history is concerning as the paperwork may be fake or altered.

Request a high-resolution image or PDF of the invoice, then call the shop listed on the invoice to confirm the work. If the seller does not allow that, it is a red flag.

5. Title Washing Indications

Title washing is hiding serious problems—flood damage, totaled vehicles, or handed down from old family members who haven’t repaired or maintained their vehicles for many years. A dishonest seller may attempt to ‘reset’ the titling status especially when selling in a different state.

Search for a number of title records for the VIN across databases to determine if numerous or abrupt mileage changes occurred during interstate movement.

6. Influencer-Driven Resale Without Genuine Accountability

On TikTok, Instagram, and YouTube, you often see a vehicle flipper promoting a ‘crazy deal’ or an ‘exclusive find.’ Although some people that do this are legitimate, many flippers don’t have a dealership license, a warranty obligation, or any record-keeping requirement. A fast, slick-looking video does not replace basic due diligence.

These instances become riskier if the influencer promotes doing business in a different location by requesting cash-only sales or suggesting you don’t have documents because they want to help you avoid paying dealer fees.

If someone is flipping lots of vehicles, ask for the seller’s license number! Find it through your state’s motor vehicle agency and verify it. If they can’t give you a seller’s license, it is likely a risky deal.

Endnote

Online car shopping doesn’t have to be dangerous—you simply have to verify everything. Verify the VIN, certification, the service records, and your payment. It only takes a couple of minutes to verify the information to avoid months of financial regrets.

If a listing seems questionable, don’t do it. There will always be other cars out there, but there may not be another chance to recover your money.

Author Profile

Adam Regan: Deputy Editor

Features and account management. 3 years media experience. Previously covered features for online and print editions.

Email Adam@MarkMeets.com