Worst of the Worst used cars revealed
|
Sydney, Australia, 9 July 2014:
• Damage Types: written-off, insurance claim, odometer wind back
• Worst Locations: QLD, VIC, SA
• Used car fraud costs an average of over $4,000 per incident
If you’re in the market for a used car this new financial year, where you buy it could make all the difference in how likely you are to be scammed according to Veda’s vehicle history site CarHistory.com.au.
In fact more than 1 in 10 unsuspecting used car buyers
Analysis of CarHistory data over 12 months to May 2014 found more than a quarter of a million used cars returned a negative result, representing 10.5% of all used cars sold. This costs Australians $530 million each year – or over $4,000 per incident
The most common damage types were vehicles being written-off, insurance claims and odometer wind backs, known as ‘clocking’ – an illegal process of rolling back an odometer to lower kilometres.
The warning comes as many people have traded in or sold vehicles to take up new car offers at the end of the financial year.
CarHistory.com.au spokesperson, Nandie Volkland, warned buyers that negative reports on used cars should be taken seriously as they represent a potential safety risk and can be costly.
“The used car market is traditionally swamped with vehicles in the months following tax time, so this report is a timely warning for consumers to do their homework before they buy to avoid unknowingly purchasing a dodgy used car,” she said.
“Our 12 month analysis shows that 205,000 of all used cars had been written off, another 30,000 had insurance claims and another 27,500 had been wound back. Finding out a car’s history before buying helps consumers to make an informed choice and avoid being scammed.”
Buyers should also be aware that it’s riskier buying in certain states, Nandie said.
Queensland took out worst state with 13.8% negative reports, with South Australia a close second (13.6%), followed by Victoria (12.3%).
Nandie added: “We’re warning consumers to protect themselves by getting an independent inspection by a mechanic and getting a CarHistory Report with buyback insurance – the report covers odometer readings from trusted sources – an important consideration as any vehicle with its odometer wound back will not carry the manufacturer’s warranty.
“Buying a used car can be daunting as there is so much choice. So buyers need to take steps to protect themselves from shonky sellers and find out the full history of the car they intend to purchase. $36.95 is a small price to pay for peace of mind and safety for you and your passengers,” she said.
Based on vehicles checked on CarHistory.com.au over a 12 month period until May 2014. may be in for a nasty surprise, a new CarHistory report shows.
2.5 million used cars sold annually of which 4.8% (120,000) of respondents, or a member of the respondent’s family, have been a victim of fraud or deceit with an average loss of $4,419, according to a 2013 survey conducted by CarHistory.com.au.