From the Better Business Bureau of Central Virginia:
After owners of flood damaged cars settle with their insurance companies, vehicles are sometimes refurbished and resold. Occasionally a middleman intentionally hides a car’s history through a process known as “title washing,” and then sells it to an unsuspecting buyer in a state unaffected.
Better Business Bureau (BBB) urges used car buyers to be cautious of unscrupulous businesses and individuals who may try to sell flood-damaged cars as standard secondhand cars, without revealing the vehicles’ history. You can find general tips for avoiding scams at BBB.org/AvoidScams. If you’ve been the victim of a scam, help others spot fraudsters by reporting your experience at BBB.org/ScamTracker. BBB has the following tips for car shoppers::
Ask to see the title. Check the date and place of transfer to see if the car came from a flood-damaged state and if the title is stamped “salvage.”
Carefully check the dashboard and electronic components. Examine all gauges to make sure they are accurate, and there are no signs of water. Look for indications that the dashboard may have been removed. Test the lights, wipers, turn signals, radio, heater and air conditioner several times.
Check the interior spaces. Look in the trunk, glove box, and beneath the seats and dash for signs of rust or water damage. Check for open drainage holes in the bottom of the vehicle. Look for discolored, faded or mildewed upholstery and carpeting. Recently shampooed carpets may be cause for concern.
Get a vehicle history report from a database service. The National Insurance Crime Bureau’s (NICB) free database lists flood damage and other information. But take note: NICB reports are only helpful if the car was insured. If the owner of an uninsured flood-damaged car tries to sell it on the open market, you may never know there’s a problem until things like the electrical system go bad.
Remember to check under the hood. Look for standing water, mud or grit in the spare tire wheel well or around the engine compartment under the hood.
Do a smell test. A heavy aroma of cleaners and disinfectants might be masking problem.
Research the dealer. Always check out the BBB Business Profile of the dealer at bbb.org.
Get an inspection. Before buying any used car, you should get a pre-purchase inspection by a trusted mechanic. Click here for more tips on buying used cars.
BBB serving Central Virginia serves Richmond, the Tri-Cities, Charlottesville, and Fredericksburg, as well as 42 surrounding counties from Fauquier to Mecklenburg and Northumberland to Amherst. The nonprofit organization was established in 1954 to advance responsible, honest, and ethical business practices and to promote customer confidence through self-regulation of business. Core services of BBB include business profiles, dispute resolution, truth-in advertising, consumer and business education, and charity review.
