ST. LOUIS — Scammers are targeting people looking for a good deal on used cars, trucks and recreational vehicles, according to the Better Business Bureau's St. Louis office.
Thousands of consumers have fallen victim to this scam and have lost millions of dollars, according to a BBB study.
Scammers are posing as sellers and putting ads up on websites, like Craigslist. They list low-priced vehicles and say they need to sell them quickly due to a change in life circumstances, like a military deployment overseas, a divorce, or the death of a family, the BBB said.
Victims are directed to pay a third party, typically by wire transfer, to hold money in escrow and ship the vehicle. No vehicle is ever delivered.
“Buying a vehicle online from a reputable seller can be a safe and convenient way to shop during COVID-19, but as with any high-profile situation, scammers are finding ways to take advantage of unwitting buyers,” said Michelle L. Corey, BBB St. Louis president and CEO in a press release. “Consumers should use extreme caution so as not to let a low price and a sad story lure them into paying for a vehicle that does not exist.”
Scammers sometimes claim that the transaction is protected by the eBay vehicle protection program, the BBB said. In other cases, the criminals invent bogus websites connected to shipping escrow companies with addresses in towns across the U.S., particularly the Midwest. Those sometimes use the names and addresses of real businesses or car dealerships.
If you fall victim of an escrow scam, the BBB suggests contacting the following:
- Better Business Bureau - file a complaint with your local BBB if you lost money or report a scam online to BBB Scam Tracker.
- Federal Trade Commission (FTC) - file a complaint online at ftccomplaintassistant.gov or call 877-FTC-Help.
- FBI Internet Crime Complaint Center (IC3) - file a complaint online at ic3.gov/complaint.