Salt Lake City, UTJonathan had no reason to double-check the clean title on a vehicle he was about to purchase. That clean and clear designation guaranteed the car had no record of accidents, falsified odometer, theft or other incidents that could affect its viability and selling price. But less than a week after laying down his money, Jonathan discovered his vehicle's records had been updated, revealing a previous major car accident.
"Our family car was in an accident so we were looking for another," says Jonathan. "In June 2007 I found a 2006 Toyota Avalon XLS, off the internet, located in Albuquerque. The price was good; I made some inquiries; they said it was in good condition and they provided a Carfax vehicle history based on its vehicle identification number (VIN). It was clean."
Carfax is one of several companies that, for a fee, check vehicle history through an extensive compilation of data from government sources, state Department of Motor Vehicles, auctions, car dealers, police reports and repair shops.
Jonathan felt confident enough to put $1,000 down and fly to Albuquerque. He was further encouraged by the size and professionalism of the dealership. "They assured me everything was all right," he says. "I did look the car over but I'm not a mechanic by any means, so I was going on instinct. It drove well. So I paid the rest in cash, hopped in the vehicle and did the 11 hour drive home that evening. The car handled really well overall; I was pretty impressed."
Just a few days later, the car showed its true colors, in fact different colors--beside the driver's door and silver and off-silver on the rear passenger door.
"I took it to a dealer," says Jonathan, "who proceeded to tell me that the car was mechanically okay but it had been in a front end accident. The bumper, hood, both fenders and driver's door had been replaced, which would explain, in part, why the VIN appeared on every part of the vehicle except the hood and either of the front fenders."
Differing VIN numbers could indicate the car had been rebuilt using parts from other cars.
The dealership in Albuquerque was slow to return Jonathan's calls. "They wouldn't work with me," he says. "They said I'd purchased the car 'as is'. Then they offered to trade it back but at a much lower price since I'd put a thousand miles on it since. When I threatened to go to court they came back with 'that would bring us good publicity but you do what you have to do'."
Even more troubling, Jonathan found that the original Carfax data on the Avalon had been updated, which confirmed that he was now stuck with a previously totaled car. On top of that, his attorney painted a pessimistic picture of their 50-50 chance of winning the case. Having bought the vehicle in another state would further add to his costs, which included the purchase price of $23,500 plus taxes.
"All I want is a car in safe and good condition," says Jonathan. "The dealer told me that I had access to the same information as they did and sure, if you looked at the car carefully, it was obvious it had been in an accident but unfortunately, I'd arrived late in the evening in Albuquerque and I was tired so it took me a couple days to figure things out. I said to them, 'you guys put it through your 100 point inspection, didn't you notice?' They said sometimes they did, sometimes they didn't.
My degree is in finance, not mechanics, and the numbers were good. I'm more frustrated and upset with Carfax than with the dealer. You know a dealer will try to swindle you. But I have no idea how this could happen, for this information to be updated a year and a half after the fact, that seems impossible to me. I can't imagine how many people are in this situation. It's preposterous.
Right now, I'm working with a smaller dealership to trade the 2006 in for another car. I want another Avalon because it's a highly rated car.
My advice is to anyone buying a car that might have been in a car accident is to take the extra step, take the car you want to purchase to a third party. That dealer didn't disclose what he knew to me, but he put a lot of the blame back on me."
Jonathan is one of thousands who have unwittingly relied on erroneous vehicle history reports when buying used cars or light trucks. The most authoritative source of vehicle history reports is insurance companies, and vehicle research services have no access to these records. Nationally recognized consumer attorney Bernard Brown told Consumers Affairs, "There are delays between the time a state issues a salvage title and when that information is reported to [Carfax]. Eventually the company may get that information, but it may be a year."
To prevent costly and dangerous discoveries on used cars, experts agree that the first step in uncovering a car's past accident, after the obtaining a vehicle history report, is finding a trusted mechanic, have the vehicle hoisted, and let the real investigation begin.