A Vehicle History Report is Not a Pre-purchase Inspection

The only reliable information contained in a Carfax report is the vehicle's DMV record. However, Carfax can report negative title comments such as rebuilt, salvage, true miles unknown, thief recovery, etc… ONLY if the title was changed at the DMV and ONLY if Carfax received that record.

However, for many years, Carfax stated that their vehicle history reports were “...your best protection against buying a used car with costly, hidden problems.” That is very bold statement considering a Carfax report cannot reveal the CURRENT condition of ANY mechanical or electrical system.

There are many past and present Carfax customers that have been misled to believe the information in a Carfax report is complete and accurate. Many of these customers have filed individual lawsuits and a class action lawsuit against Carfax. When confronted by irate customers, Carfax hides behind their disclaimer. (FYI, Carfax does not allow phoned in complaints or a listing of their management or corporate officers).

Seven Problems with a Carfax Report (or any Vehicle History Report):

First, if the vehicle has been rebuilt (salvaged) Carfax can only report this information if the States’ DMV changed the vehicle’s title to “salvage, rebuilt, reconstructed, etc…” However, Carfax does not tell their customers that there are some states that do not have remarks on their titles such as “savage, rebuilt, true miles unknown, thief recovery, etc…”  Also, the DMV cannot change the title to ‘salvage, rebuilt, etc… if the insurance company does not notify the state that they have totaled a vehicle. For example, State Farm was sued for not reporting over 30,000 totaled vehicles to the States’ DMV. Since the titles were never changed to salvage, Carfax shows these vehicles to have "clean" titles. These totaled vehicles were sold to salvage yards, patched together, and re-sold to the public with the original "clean" titles and a "clean" Carfax report. It is not uncommon for a professional pre-purchase inspection to find accident and frame damage on a vehicle when the Carfax report shows “no reported Structural / Frame Damage" or "Accident / Damage".

Second, there is no database for body & frame shops to report accident damage and repairs, and not all insurance companies disclose or share their accident information. Carfax readily admits that there are thousands of accidents, each day, which will never show up on a Carfax report. Even if Carfax reports an accident, it cannot tell you the extent of the accident damage, or the quality of any repairs. Only a professional inspection by a Frame Specialist can give you that information.

Third, used car dealers and wholesalers know the limitations of a Carfax report. Some dealers knowingly buy vehicles with frame and accident damaged which have a "clean" Carfax report and some wholesalers sell these damaged vehicles at auctions which end up on reputable dealers lots. These damaged vehicles are sold to unsuspecting buyers by showing a “clean” Carfax before purchase. A vehicle history report cannot tell the buyer the current condition of the vehicle. Bad vehicles are purchased every day because the seller/salesperson talked the buyer out of a professional inspection by showing a "clean" report.

Forth, Carfax does not have any type of reporting mechanism with the tens of thousands independent repair facilities across the United States. Most of the Carfax reports have little or no repair information compared to the millions of automotive repairs performed each day. Even if Carfax reports a repair, it cannot tell you if the problem was fixed correctly or if there are CURRENT mechanical/electrical problems with the vehicle.

Fifth, some States require an annual safety and/or emission testing. A safety or emission test is very limited in its testing and like a repair history, it cannot tell the buyer the CURRENT condition of all the vehicle’s components and systems.

Sixth, Carfax is a "History" report. There is a time lag between when a vehicle's title is changed to reflect a "negative" comment with the DMV and when Carfax actually reports the title's new information. This time lag can allow a damaged vehicle to be re-sold before Carfax can report the negative information about the vehicle.

Seventh, a used car buyer has to question the cost effectiveness of a vehicle history report vs. the amount of usable and/or creditable information. A Carfax report sells for $35-$45. Pay Carfax  $35-$45, and you still don't know the CURRENT condition of any mechanical or electrical system, you still don't know if the vehicle was abused or well maintained, you still don’t know for sure if the vehicle was in an accident(s), or the quality of any repairs. Only a physical pre-purchase inspection by an ASE Master Certified Technician & Frame Specialist can determine the true condition before you buy.

The perception created by Carfax is that a Carfax vehicle history report offers comprehensive historical information about a used vehicle, but the reality is the information contained in a Carfax report is incomplete, limited, misleading, not current, and in some cases totally inaccurate. The used car buyers' perception of a Carfax report will cause them to make a poor decision based upon incomplete and inaccurate information provided by a Carfax report.

The ONLY way to determine the TRUE condition of a used vehicle is to have the vehicle professionally inspected by an ASE Certified Master Technician and Body & Frame Specialist.

The #1 reason bad cars are purchased is the buyers' inability to determine the current condition of the vehicle before purchase. A history report cannot be used to determine the current condition of the vehicle.

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Consumer Complaints about Vehicle History Reports:
http://carfax.pissedconsumer.com
Carfax Class Action Lawsuit Settlement Overturned
Inaccurate History Report cost buyers
CBS report "Car History Reposts Fall Short"
MSNBC Article About CARFAX


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