The South African Police Service (SAPS) has issued a stark warning to anyone looking to sell their car online: beware of car deposit scams. Platforms like Facebook Marketplace have become breeding grounds for these fraudulent schemes, with scammers getting more sophisticated and bolder in their attempts to con sellers out of their vehicles.
With the rise of digital marketplaces and on-demand delivery services, crooks have capitalized on these technologies, exploiting unsuspecting sellers in various ways. Car deposit scams are among the most common fraud types today, alongside fake giveaways, counterfeit items, and gift card rip-offs.
What is a Car Deposit Scam?
It starts innocently enough: a buyer shows interest in your car listing, claiming to be eager to secure the sale. To prove their seriousness, they transfer a small deposit into your account to ‘hold’ the vehicle. You, the seller, let your guard down, thinking this buyer is genuinely interested. The buyer arranges to come for a test drive and, appearing completely trustworthy, even convinces you to hand over the keys.
That’s when it all goes wrong. The buyer drives off, and that’s the last you see of your car. The remaining balance of the supposed payment? Never shows up. You’re left with a fraction of the car’s value and the headache of filing a police report. This is just one version of how these con artists operate, and unfortunately, it’s far from the only one.
Other Common Scams in the Used Car Market
According to Auto Pedigree, here are other popular scams you should watch out for:
1. Test Drive and Disappear
The so-called buyer asks to take the car for a quick spin – and never returns.
2. Fake Deposit Proof
The scammer presents you with fake proof of payment for a deposit, convincing you to let them take the car home, only for the money to never arrive.
3. Overcharge Repayment
A scammer sends you a fake cheque or money order, claiming they accidentally overpaid for the car and request a refund. You refund them the ‘extra,’ only to later realise the original payment was fraudulent.
4. After-Hours Robbery
The scammer visits your home, ostensibly to look at the car, but is really scouting the property for security weaknesses. They then return after dark to steal the car—or worse.
5. The Finder’s Fee
A scammer cold-calls you, saying they have multiple buyers lined up for your vehicle. All you need to do is pay a small finder’s fee. After you pay, the ‘buyers’ disappear, along with your money.
Why Are Scammers Targeting Car Sellers?
It’s easy to see why these scams are becoming more common. The anonymity of the internet, combined with the proliferation of online marketplaces and lax enforcement, makes it a perfect playground for fraudsters. Add to that a large pool of desperate sellers in need of quick cash, and you have a recipe for disaster.
Protect Yourself from Scams
Not all buyers are out to scam you, but it’s crucial to remain vigilant. Here are a few key tips from SAPS on how to safeguard yourself:
- Keep all communication on the platform: Avoid moving to private messaging apps or giving out your phone number.
- Never share your personal or banking information: Fraudsters often seek this information to commit identity theft or other crimes.
- Meet in a safe location: Always arrange to meet in a public area, preferably in front of a police station.
- Research the buyer or seller: Check out their social media profiles. If their account is new or has little activity, that’s a red flag.
- Use Google’s Reverse Image Search: Scammers often use photos they’ve stolen from other listings. A reverse image search can help you determine if the pictures are authentic or lifted from elsewhere.
Red Flags to Watch Out For
If you’re a buyer, be wary of ads that push you to meet “on the street” or in secluded areas. These setups often lead to robbery or violence, as it gives criminals a perfect opportunity to strike and make a quick getaway.
Remember, if a deal seems too good to be true, it probably is. Trust your instincts, and don’t let the promise of a quick sale cloud your judgment. Always prioritise your safety and the security of your car above all else.
Stay safe, stay alert, and keep your wheels secure!
If it looks too good to be true, it usually is. For more information and to report any suspicious activities, visit the official SAPS website or contact your local police station immediately.
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