Navigating the auto transport sector requires a keen understanding of which providers are reliable and, more importantly, which auto transport companies to avoid.
The sheer volume of options in the U.S. market can make it challenging to differentiate credible services from potential car shipping scams; an oversight in this selection process can lead to significant complications and expense.
This guide is designed to equip you with the practical knowledge needed for robust car shipping scam prevention, ensuring you can identify red flags and secure a trustworthy carrier for your vehicle’s transit. If you’re currently vetting companies, the information here is vital for making an informed decision.
Compare the Carrier is dedicated to simplifying your search, offering a platform to assess quotes from reputable auto transport services and save you valuable time and resources.
How Do Fraudulent Car Shipping Companies Work?
With more vehicles hitting the roads every year, the demand for auto transport services has surged. Predictably, this boom has also rolled out the red carpet for scammers eager to exploit unsuspecting customers. While the U.S. is home to a vast number of professional, reputable auto transport companies that pride themselves on integrity and excellent service, there’s an undeniable underbelly of operators solely focused on a quick, dishonest buck. It’s important to understand what the worst auto transport companies have in common to recognize them early. These auto transport scams are a persistent threat, and understanding their methods is crucial for robust car shipping scam prevention. If you’re not careful, you could easily become a victim of shipping scam.
So, what tactics do these fraudulent outfits employ? Most car shipping scams can be broadly categorized, as shown below:

They can be classified as follows:
The Most Common Types Of Auto Transport Scams
When you’re trying to avoid becoming a victim of shipping scam, it pays to know exactly what you’re up against. Here are some of the most prevalent car shipping scams you might encounter:

The Price Switching Scam
This is a classic bait-and-switch. The company quotes you a price that seems reasonable, or even a great deal, to get your business. You sign a contract, often with fine print stating that the price is an “estimate” and “subject to change”. In some predatory agreements, there’s no specified limit to this change, or the potential increase can be substantial. Here’s how it typically unfolds: the entity you booked with (often a broker) secures your order with that lowball quote. Understanding the fundamental difference between carrier and broker is essential to grasp how this scam operates. Then, they search for an actual carrier.
Since their initial quote might be too low to attract a legitimate carrier quickly, they might eventually agree to a higher price with a carrier. Once your car is loaded and on its way, they hit you with the inflated price. The contract you signed supposedly gives them leeway to do this. The actual trucking company (the carrier) isn’t necessarily the culprit here; they’re fulfilling a contract they signed with the broker/shipping company at an agreed price.
However, carriers often have the right to hold your vehicle until they receive full payment as per their agreement with the broker. This leaves you in a terrible spot: pay the higher price or risk not getting your car back in a timely manner, if at all. This is a serious red flag for auto transport companies to avoid.
The Lowball Offer with Hidden Fees
In this scenario, a company lures you in with an exceptionally low base rate for shipping your car. Once you’re well into the booking process, having invested time and provided your information, a slew of additional, often vaguely explained, fees suddenly appear. These can be labeled as “processing fees,” “service charges,” “fuel surcharges,” “listing fees,” or “special loading fees”. By the time they present the final contract, the total cost is significantly higher than the initial quote. The strategy here is that the dishonest salesperson hopes you’ve already committed enough time and energy that you’ll agree to the higher price just to get the process over with and avoid starting your search again.
While this particular auto transport scam can sometimes be easier to spot if you’re vigilant (allowing you to cancel the transaction before you’re locked in ), it can be devastating if combined with other tactics like the price-switching scam.
Fake or “Cloned” Transport Company Websites
Scammers are adept at creating sophisticated-looking websites that mimic legitimate, well-established auto transport companies, or they might invent a company from scratch that looks entirely professional. These sites can feature convincing testimonials (usually fake), information “About Us” that paints a picture of reliability, and even what appear to be legitimate licensing numbers. It can be incredibly difficult to tell that the entire operation is a facade designed to collect deposits or full payments for services they never intend to provide. Asking the top questions to ask your transport company before committing is a crucial area for car shipping scam prevention.
Fraud Involving Vehicle Sales Transactions
Auto transport scams aren’t always isolated to the shipping service itself; they can be intertwined with fraudulent vehicle sales. Here are a couple of ways this plays out:
How To Identify A Fraudulent Shipping Company?
Spotting a company you should steer clear of—a prime candidate for the list of auto transport companies to avoid—isn’t overly complicated if you know the warning signs. Pay close attention; the following red flags should immediately raise your guard, helping you differentiate between scammers and the top 25 best car shipping companies:

How To Avoid Fraudulent Car Shipping Company?
To make sure you sidestep auto transport scams, here’s your due diligence checklist. Before you even think about sending money or signing on the dotted line, you absolutely must:

What To Do If You Are A Victim Of A Scam Shipping Company?
If you’ve unfortunately been targeted by one of these auto transport scams, it’s crucial to take specific actions. As of 2025, the primary regulatory bodies and reporting procedures remain your strongest allies in seeking recourse and helping prevent others from falling into the same trap. Here’s how to respond:

Successfully navigating the complexities of car shipping requires ongoing vigilance to avoid falling prey to auto transport scams.
At Compare the Carrier, we understand these challenges and are committed to providing you with access to reliable and transparent services. By being informed about the tactics used by fraudulent companies, recognizing the red flags, and understanding the best practices for car shipping scam prevention, you can safeguard yourself against becoming a victim.
Remember, knowledge is your best defense when dealing with auto transport companies to avoid. Always conduct thorough research, seek transparent communication, and trust your instincts; these are the core strategies that can help protect your car during shipping. If you suspect you’ve encountered a scam, don’t hesitate to take action and report it using the resources above.
With Compare the Carrier’s guidance, you can confidently and safely navigate the world of auto transportation, ensuring a stress-free experience for your vehicle’s journey.
FAQ
What’s the number one red flag that identifies one of the auto transport companies to avoid?
The single biggest car shipping red flag is a price that seems too good to be true. A quote significantly lower than the competition is a classic lure used in the most common car shipping scams to hook you before revealing hidden fees or executing a price-switching scheme.
What are the most prevalent auto transport scams I should be aware of today?
The most common auto transport scams are the bait-and-switch (where the price increases after booking), the lowball offer packed with hidden fees, and the use of fake “cloned” websites that mimic legitimate companies to steal your deposit. Whether you are shipping a standard sedan or require specialized classic & exotic car shipping, the risks are similar. Effective car shipping scam prevention means knowing how to spot these specific tactics.
What is the first thing I should do if I believe I’m a victim of shipping scam?
If you suspect you’re a victim of shipping scam, you must act immediately. The first step is to file official reports with the proper authorities. Contact the Federal Trade Commission (FTC) to report the fraud and file a complaint with the Federal Motor Carrier Safety Administration (FMCSA) through their online portal or hotline.
Besides checking reviews, what are the best car shipping scam prevention techniques?
Excellent car shipping scam prevention goes beyond reviews. Always verify a company’s FMCSA license, demand a full contract and read every word before signing, and confirm they have a verifiable physical address. Also, scrutinize their payment policies; pressure to pay large amounts upfront with untraceable methods is a sign of potential auto transport scams.
How do I know if the company I’m talking to is legitimate or just another one of the auto transport companies to avoid?
Legitimate companies operate transparently. They have a real physical address, will provide their license number upon request, offer a detailed contract without high-pressure tactics, and use professional communication channels. If a company is missing these basics, it’s a strong sign they belong on your list of auto transport companies to avoid.