In past articles, we discussed scams on Facebook Marketplace where fraudsters pretend to be car dealers to collect deposits from unsuspecting buyers. Now, these scams are becoming more advanced. Some fraudsters are using AI to copy dealership websites and steal money.
These fake websites often look exactly like real dealership sites, even showing the same vehicle listings. Like Facebook Marketplace scams, fraudsters pretend to be the dealership. This tricks customers into thinking they are dealing with a trusted seller.
They may also send documents such as credit applications, bills of sale, and other forms that are normally used when buying a car. In some cases, victims have lost as much as $80,000.
Both customers and dealers need to stay alert to avoid losing money to these scams.
Here are a few steps customers and dealers can take:
- Check the Website Name
Make sure the website address matches the one listed on the dealer’s OMVIC profile. While scammers can copy a website’s design, they cannot use the exact same domain name. Dealers should also make sure their OMVIC profile is always up to date and accurate.
- Use Clear Disclaimers
Let customers know how and where you do business. This information should be easy to find. If you do not offer remote sales, say so. If you only accept deposits in person, make that clear.
You can also add a note telling customers your correct website address. For example, “For trusted information, visit our official site at ucda.org.”
Since scammers often copy entire websites, they may copy your disclaimer too. This can help customers spot the real site.
- Report Suspicious Websites
It is now easy and cheap to create and advertise a website. Scammers take advantage of this. They often create fake websites and promote them through search engines. When you discover one, always report it to OMVIC, the police and the RCMP: https://tinyurl.com/8wmzn6fv
Dealers should regularly search for their business online and report any suspicious ads or websites.
- Stay Diligent
There is no perfect way to stop these scams. However, staying alert can help reduce the risk. Members are encouraged to contact the UCDA Legal Department for more advice on how to prevent scams:
(416) 231-2600 or 1-800-268-2598.