Auto Transport Scams and Auto Transport Companies to Avoid

Auto Transport Scams and Auto Transport Companies to Avoid

Auto Transport Scams and Auto Transport Companies to Avoid

How to Avoid Car Shipping Scams: A Guide to Safe Auto Transport

Car shipping scams, though rare, have been increasing in the transportation industry. As a consumer, it’s crucial to be aware of these scams and know how to protect yourself. We believe that shipping your car should be a hassle-free process, which means trusting your chosen transport company. In this article, we’ll explain how to avoid car shipping scams and select a trustworthy auto transporter.

Common Types of Auto Transport Scams (and How to Avoid Them)

Bait and Switch

The bait-and-switch scam is one of the most common tactics, but thankfully, it’s relatively easy to spot and avoid. It typically involves an auto transport company offering very low prices to entice customers, only to increase the price once the customer has committed. There is usually no legally binding contract at this point, but scammers rely on customers' emotional investment, hoping they will accept last-minute price hikes.

To steer clear of this scam, be cautious of prices that are significantly lower than industry standards. Remember: if a quote seems too good to be true, it probably is. Scammers often pressure customers into making quick decisions. If a company is pushing you to finalize a suspiciously good deal, consider looking elsewhere.

Upsell

While the auto transport industry aims for price stability, certain situations can lead to legitimate price adjustments. However, it’s important to differentiate these legitimate changes from the upsell scam. In this scam, companies initially offer attractive quotes, only to increase the price later, often after the vehicle has already been picked up.

Here’s how to recognize an upsell scam:

  • The price increase comes as a surprise after you’ve booked and the vehicle has been picked up.
  • The company provides vague or unconvincing reasons for the price hike.
  • You’re pressured to accept the new price without being given time to consider alternatives.

Reputable auto transport companies value transparency and clear communication. Any necessary price changes should be explained promptly with a detailed justification.

Imposter Auto Transporters

Some scammers impersonate legitimate and well-established auto transport companies. They may create fake websites or social media profiles using another company’s name and logo to lure customers before taking advantage of them.

Always verify a company’s identity and contact information before doing business with them. You can check their FMCSA or DOT numbers to confirm legitimacy. Ensure the company is easily reachable and provides a valid phone number with a responsive customer service team. If a company is difficult to contact or lacks a readily available phone number, steer clear.

Additionally, check the company’s listing on the Better Business Bureau (BBB) and confirm that their website, phone number, and address match the information provided by the BBB. You can also verify details through the FMCSA’s Company Snapshot.

Lastly, always check the name on the auto transport truck that arrives to pick up your vehicle. It should match the name of the company you’ve been dealing with. If there’s a discrepancy or if the truck has no name, consider it a significant red flag.

How to Spot Legit Auto Transporters and Avoid Scams

Gather Information on the Car Transport Company

Start by collecting all the contact details for the car shipping company, including the full company name, any DBAs (Doing Business As), addresses, and phone numbers (both local and toll-free). Request their Department of Transportation (DOT) and Motor Carrier (MC) license numbers. Once you have this information, conduct further research online. Check with the Better Business Bureau (BBB) and the Federal Motor Carrier Safety Administration (FMCSA) for any complaints filed against the company.

Don’t be discouraged by negative reviews; even reputable companies will receive some complaints. However, assess the volume of complaints relative to the total number of customers served. For example, 100 complaints out of 100,000 shipments is less than 1%. Additionally, review how the company addresses these complaints to gauge their commitment to customer service.

Read Online Customer Reviews

Checking online reviews is a standard practice when evaluating a product or service. Reviews from other customers will provide insight into the quality of service you can expect. Pay attention to the average rating of the company on platforms like Google Reviews, where a higher number of reviews generally reflects better reliability.

Understand the Terms and Conditions

Your car shipping quote should include detailed information about the transport process. A customer service representative should clearly explain the charges, terms, and conditions of your agreement, and be available to answer any questions you might have.

Ask When Payment is Due

Reputable auto transport companies will only request payment after the vehicle is assigned to a trucker. Some may ask for a deposit once your vehicle is assigned to a truck, with the remaining balance due upon delivery. Be cautious of companies that demand full payment upfront, particularly before a trucker is assigned.

Contact the Company Directly

Trust your instincts—if something feels off, don’t hesitate to call the company and speak to a representative directly. If the company is unresponsive or avoids taking your calls, move on to one that provides better communication.

Notice How They Handle Your Personal Information

Reputable auto transport companies will treat your personal information with care. This includes everything from your name and contact details to your vehicle’s make, model, and transport type. Customer data is a valuable asset, and it should be protected at all costs. A trustworthy company will always verify your identity when discussing shipment details to ensure that only you have access to your information.

Red Flags to Avoid When Choosing an Auto Transport Company

Unregistered Auto Transport Companies

Carriers and brokers in the auto transport industry must be registered with the FMCSA. A carrier owns and operates the trucks that transport vehicles, while a broker connects customers with carriers. Check the registration status of the company through the FMCSA’s website. If the company refuses to share its DOT or MC number, consider finding another provider.

Extremely Low Quotes

While it’s always tempting to find a good deal, beware of quotes that are much lower than industry averages. These too-good-to-be-true prices are often a sign of a bait-and-switch scam.

High-Pressure Sales Tactics

Scammers often use high-pressure tactics to rush you into making a quick decision without sufficient research. Legitimate companies will give you time to consider your options. Avoid companies that claim to be available for immediate pickup, especially during busy seasons when waiting times are typically longer.

Demanding Full Payment Upfront

A reputable car shipping company will not require full payment upfront, especially if they ask for payment via untraceable methods like wire transfers or digital wallet services. Be cautious of companies that demand full payment before the transport service begins.

Conclusion

By staying alert and conducting thorough research, you can minimize the risk of falling victim to car shipping scams. Always trust your instincts and choose a company that demonstrates professionalism, transparency, and a strong customer service track record.

Frequently Asked Questions

How do you trust a car transport company?

Check online reviews and ratings with the Better Business Bureau (BBB). Positive reviews and a high rating indicate that the company values customer service and is likely trustworthy.

How do I know if a car shipping company is legit?

Ensure the company has proper licensing, including a Motor Carrier (MC) number and a United States Department of Transportation (USDOT/DOT) number. These numbers are essential for tracking safety records and auditing purposes.

Is car shipping safe?

Yes, shipping your car with a licensed and reputable company is generally very safe. In many cases, it’s even safer than driving the car yourself, saving you time, money, and wear-and-tear on your vehicle.

What do I do if I’m the victim of an auto transport scam?

If you’ve been scammed, report the incident to the Federal Trade Commission (FTC). While they may not resolve the issue, your report helps investigate fraud cases and could prevent others from falling victim to similar scams.

 

Discover More About Car Shipping

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Since 2012, CarXnow has been redefining vehicle shipping across the U.S. and Canada — fast, secure, and hassle-free. With a network of 468 carriers and 625,020+ vehicles delivered, we have the right equipment to transport all types of vehicles — cars, trucks, motorcycles, and more. Enjoy guaranteed service, live GPS tracking, and transport up to 2X faster than the competition.

🚗 Get started today with a free quote and easy online booking! Our expert agents are available every day of the year to assist with your auto transport needs. 

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