Auto Transport Companies To Avoid

A car is a valuable thing, in relation to which all decisions should be made as carefully as possible. This applies to both the replacement of car parts, the search for a repairman, and issues related to the transportation of the “iron horse” (and this is not to mention the purchase, everything is very serious here)

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In the world of auto transportation, being aware of car shipping scams is crucial. This guide focuses on how you can prevent falling victim to shipping scams and identifies auto transport companies to avoid.

Therefore, when it becomes necessary to resolve issues with the transportation of cars within the state or between states, it takes a lot of time to solve it. After all, you need to find the best company that you can really trust. The US market today is full of various options and sometimes it is extremely difficult to figure them out, the slightest oversight can be very expensive for the owner of the car.

If the issue of transporting a car is relevant for you now and you are looking for a company you can trust, then you should carefully read our article. Compare the Carrier it’s a project created to help compare shipping quotes from the best auto transport companies and save your time and money.

How do fraudulent car shipping companies work?

The most common types of auto transport scams

How to identify a fraudulent shipping company?

How to avoid fraudulent car shipping company?

What to do if you are a victim of a scam shipping company?

FAQ

How Do Fraudulent Car Shipping Companies Work?

The number of road transport is growing every year. There are more and more people interested in receiving services of this kind, and therefore it is not at all surprising that this industry has become so attractive to scammers. There are a huge number of professional auto transport companies in the United States that provide services in this industry and have an impeccable reputation in the transportation services market, but unfortunately, not everyone cares about the interests of customers.

There are many auto transport scams out there today. Let’s take a look at the most common ones.

How Do Fraudulent Car Shipping Companies Work

They can be classified as follows:

Schemes related to pricing for transport services. Of course, the market for services in this area is huge, and therefore the client always tries to simply find the most attractive price for himself (sometimes everything else becomes simply unimportant, especially if the company’s website is trustworthy).

Reputation based schemes.

The Most Common Types Of Auto Transport Scams

The most common car shipping scams are:

Price switching scam

The scheme is quite simple, but at the same time, it “works”. Its essence lies in the fact that the price that was announced to the buyer is not real and one for which the carrier agrees to fulfill its obligations. So, imagine that you are entering into a contract with a company, and it contains language such as prices are “estimated” and “can be changed”.

In some cases, even the limit is not set, in others – the range of changes can vary hundreds of times. Next, this broker is looking for a carrier (and we remember that their prices are higher than those that attracted us as a buyer) and then, when the car is already on the way, it announces this to the customer (and according to the contract, the customer was ready for this and gave it your consent).

The carrier that took the job is not at fault, but the haulers will enforce the contract they signed with the shipping company. They are allowed to keep the vehicle if they do not receive the promised money. Accordingly, the customer will have to pay a higher price.

Scam with the original low price

Here the point is that the company offers a very low fee for the delivery of the car. When you start booking an order, additional fees appear. This includes processing fees, listing fees, loading fees, etc. When a company submits a contract, the total is much higher.

Since you’ve already taken the time to provide all your information, the sly salesperson is hoping you’ll say “yes” so that everything is done quickly, and you don’t have to start all over again. It is worth noting that this scam is quite primitive, and you can immediately cancel all transactions on the transaction. True, if it is combined with the aforementioned fraud option, it will be possible to suffer greatly.

“Doubles” of motor transport companies

Creation of sites of “doubles” of motor transport companies that have proven themselves in the market. Looking through the pages of the site, reading the information “About Us” (where the company positions itself as a reliable counterparty) and reading reviews, it is sometimes very difficult to believe that everything is fiction.

Fraud in the transport sector can be associated not only with cargo transportation services, but also with sales relationships. The following situations are possible here:

There may be such a situation: suppose you decide to sell a car, a scammer calls you and offers to buy your car. Next, you agree on a price, and they send you a check for the vehicle, as well as the cost of delivery from the transport company chosen by the buyer. This website that provides auto delivery services turned out to be a site that they control with a phone number that calls them or an accomplice. Then you pay money to the carrier company, after which your calls are blocked and you lose the amount that was paid for the delivery of the car;

Fraud with fake sellers and shippers. A scammer who poses as the seller of the car you want is telling you about a car delivery company, which is also a company that he or an accomplice runs. This fake car delivery company, usually a website run by a scammer, confirms they have the car when contacted. They agree to release the vehicle for shipment when payment is made. The customer sends the payment and that’s it.

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How To Identify A Fraudulent Shipping Company?

It is not difficult to recognize a company, cooperation with which you should beware. The following points may indicate this:

if you requested a physical address and were denied. A company that has nothing to hide will tell you its postal address, apartment number and city without any problems;

the company requests a large deposit (prepayment for the provision of transportation services);

the company insists on the quick signing of the contract;

the company asks for your credit card number or social security number without any contract, this is a red flag. A legitimate company will never ask for payment information without negotiating all contract details and signing it with you.

How To Avoid Fraudulent Car Shipping Company?

In order not to become a victim of scammers, before sending money somewhere, signing contracts, etc., you must:

Check company reviews. There are several important points here: you should only contact trusted sites (you can find transport reviews fake); do not be afraid of a situation where not all reviews are ideal (this is even better);

Carefully read the terms of the contract for the delivery of cars. If there are points that confuse, then it is better to refuse to sign the contract. When a car delivery company operates transparently, the terms of service can be easily found on its website. Also, if necessary, employees will quickly send a link to the contract at any time – a careful study of the conditions will protect the customer from price increases, excessive delays and insurance, no additional fees, etc. Lack of immediate access to the transport contract may be a sign of fraud;

Especially watch out for companies that tend to make decisions too quickly;

Check whether the company has a license (if there is no license, then this means that we are talking about auto transport companies to avoid);

Make sure that the company works at a real address (which is indicated on the company’s website) and uses a corporate phone for communication, and not personal numbers or free voice lines;

Analyze market prices. If the price is too low, then most likely the company is a scammer;

Analyze the available payment options for services. Fraudulent websites sometimes require you to pay for their deposit or the entire service in advance using a money order or bank transfer. Examples are Zelle, Moneygram, Western Union, CashApp and bank transfer – sometimes they cannot be traced at all. A legitimate auto shipper will ask for only a deposit or full fee using a credit or debit card, or PayPal when a carrier is scheduled. This sort of transaction is easily traceable in the event of fraud.

What To Do If You Are A Victim Of A Scam Shipping Company?

Make a Report to FTC

If you are a victim of fraud, then you should contact the Federal Trade Commission. The FTC can sue those who repeatedly make fraudulent claims about the service. It is worth noting that the FTC does not address individual consumer complaints, however, if more than one client contacts them, they will initiate actions whereby consumers can recover their money as a result of a lawsuit. On the official FTC website, a separate section contains information on how to claim a refund.

Make a Report to the FMCSA

It is worth filing a complaint with the FMCSA when you notice that a company is using an FMCSA license. Complaints are always considered, and therefore rest assured that the FMCSA will take all possible action against a company that uses deception or fraud.

Navigating the complexities of car shipping requires vigilance to avoid falling prey to auto transport scams. At Compare the Carrier, we understand these challenges and are committed to providing you with reliable and transparent services. By being informed about the tactics used by fraudulent companies, recognizing the red flags, and understanding the best practices for 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. If you suspect you’ve encountered a scam, don’t hesitate to take action and report it. 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.

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FAQ

How can I identify auto transport companies to avoid?

Look for red flags like lack of physical address, unrealistic low quotes, and reviews suggesting fraudulent activities. Always verify their licensing and track record.

What are the most common car shipping scams?

Common scams include price switching after a vehicle is loaded, requesting large upfront deposits, and fake companies posing as legitimate carriers.

What should I do if I’m a victim of a shipping scam?

Report the incident to authorities like the Federal Trade Commission (FTC) and the Federal Motor Carrier Safety Administration (FMCSA). Also, consider legal action if necessary.

Can Compare the Carrier help me avoid fraudulent car shipping companies?

Yes, Compare the Carrier vets all its partner companies thoroughly to ensure they are legitimate and reliable, helping you avoid scams.

What are the signs of a fraudulent car shipping company?

Signs include lack of detailed information on services, no physical business address, aggressive sales tactics, and requests for full payment upfront.

How do I ensure auto transport scam prevention when shipping my car?

Research extensively, compare quotes, read customer reviews, and verify the company’s credentials. Always be cautious of offers that seem too good to be true.