A factory manager lost a total of RM91,250 to a scammer in a ‘purchase’ deal of a used car. According to a news report by Sinar Harian, the 50-year-old factory manager became interested in buying the Audi A4 after seeing an advertisement on Facebook offering the car for RM20,000.
After completing transactions totalling RM20,000 to multiple accounts, the victim was asked to make additional payments for a customs duty and a few other charges. The victim who eventually filed a police report made 24 transactions between 17 August to 27 November 2021. The total amount came to RM91,250, a far cry from the offered price of RM20,000.
In our effort to prevent further used car ‘selling’ scams, we share critical information about such scams and how you can avoid them in this article.
Fraud cases of vehicle purchase increased by 94.5%
What has happened to the factory manager is not an isolated case. According to a report by Harian Metro, the Commercial Crime Investigation Department (CCID) of the Royal Malaysia Police (PDRM) has recorded 461 cases involving the ‘purchase’ of vehicles that do not exist between January to May 2021.
According to the Director of the CCID, Datuk Mohd Kamarudin Md Din, the number of recorded used car ‘selling’ scams has increased by 94.5% compared to the previous year within the same period.
Tactics by scammers
The CCID’s Director further stated that scammers of used car purchases often claim to sell imported used vehicles from Singapore, Thailand or Langkawi. To lure victims, they use social media for advertising the non-existent vehicles at a price lower than the market value.
Aside from the above-mentioned red flag, these are some common tactics by the scammers on social media as shared by the Cyber Crime Alert Royal Malaysia Police:
- Scammers will provide their contact number on their advertisement on social media
- Victims can only contact the scammers via WhatsApp
- The prices of the used vehicles are very cheap or lower than the market value of the vehicles. The usual reason for that is the vehicles will have to be scraped
- Victims will have to make multiple payments for the vehicle insurance, customs duty, road tax, delivery charge and other payments that can reach hundreds of thousand
- Victims will have to make payments to personal bank accounts (mule accounts)
- After months of dealing, victims will not receive the purchased vehicle as promised
Verify the identity and business of the seller
In an interview with Harian Metro, the CCID’s Director, Datuk Mohd Kamarudin Md Din, reminded the public to survey and compare prices of used or secondhand vehicles in the market before purchasing any secondhand vehicle.
Further, he encouraged the public to visit premises selling used vehicles. This is to survey and inspect the vehicles and speak directly with the verified sellers.
He also advised the public not to fall prey to advertisements on used vehicles offered at an incredibly low price. Some of the manufactured reasons by scammers are customs duty exemption, vehicles confiscated by the authorities or other unverified reasons.
Additionally, he advised the public to record every communication and payment transaction as evidence and ensure a legitimate purchase.
Before making any transaction, you should check the seller’s bank account and phone number through the website https://semakmule.rmp.gov.my/. This is to identify whether the bank account or phone number has ever been involved in a fraud.
You may reach out to the Commercial Crime Investigation Department for further inquiries through their info line at 013-211 1222. You may also contact them through the CCID Scam Response Center at 03-2610 1559/1599.
Purchase cars from verified sellers
Exercise caution whenever you want to make any payment transactions online or offline. If you wish to purchase any secondhand vehicle, ensure that you only buy it from a verified seller. This is to avoid used car ‘selling’ scams. Pay attention to any of the scammers’ tactics and verify the seller’s identity and business. To further help you, follow our tips to buy secondhand cars as we have shared in our past article.
In addition, like buying a car, you should also buy car insurance via trusted platforms such as Bjak, a flagship MSC status company trusted by more than 6 million customers. The payment methods are secure, so you can renew your insurance online at Bjak without any worry. Visit Bjak.my for free car insurance quotes online.
