Consumer Reports: Don't Rely on Used-Car-History Reports

CR investigation in July issue reveals some damaged vehicles got 'clean'
reports

YONKERS, N.Y., June 1 /PRNewswire-USNewswire/ -- Consumer Reports'
investigation of used-car-history reports revealed that many reports returned
"clean" results for damaged cars.

To test the veracity of history reports, CR ordered them for dozens of damaged
vehicles advertised online. The vehicles' owners disclosed serious dents or
other accident-related damage along with vehicle identification numbers (VINs)
and photos.

Some damaged cars got "clean" reports sometimes from all five services:
Carfax, Autocheck, the free VINCheck from the National Insurance Crime Bureau,
and two services providing information from the federal government's National
Motor Vehicle Title Information Systems database. In most cases, the titles
for those vehicles were not branded with the word "salvage" or any other term
to indicate that they had been in a wreck.

"Salvage" or similar branding on the vehicle title, is required by many states
for most vehicles with extensive damage. But even extensively damaged vehicles
can escape the "salvage branding." That can occur, for example, if the car
isn't covered by insurance or it was owned by a rental-car company.

The full report is available in the July issue of Consumer Reports, on
newsstands June 2 and online at www.ConsumerReports.org.

"Many dealerships provide free history reports to consumers," said Anthony
Giorgianni, Associate Editor, Consumer Reports. "The reports provide useful
information. But it's what they can miss that should worry you."

Clean-title wrecks are popular at auctions because buyers can repair the
vehicles and then resell them to unsuspecting customers. Based on CR's
findings, Carfax says it will begin looking at online advertisements for such
vehicles and see if it's possible to include the results. Consumers Union, the
nonprofit publisher of Consumer Reports, would like to see all commercial
history-reports services follow that practice.

How to check out a used car:
-- Have the vehicle inspected. Before you buy a used car, take it to an
independent mechanic to have it checked for any evidence of prior
damage.
-- Don't skip the test drive. Make note of unusual squeaks and
rattles. Check the backs of body panels and door jambs for paint
overspray, a signal that the car might have had body work.
-- Ask the seller for a history report. If the report isn't recent or
you suspect it has missing or fabricated information, verify it with
the
service.

-- Be redundant. Just because one report is clean, another might not be.
If
you are not provided with a report from the seller, check with the
free
or inexpensive services first. Remember, even clean reports from all
services don't guarantee that the vehicle doesn't have damage
or other problems.

JULY 2009
Consumers Union 2009. The material above is intended for legitimate news
entities only; it may not be used for commercial or promotional purposes.
Consumer Reports(R) is published by Consumers Union, an expert, independent
nonprofit organization whose mission is to work for a fair, just, and safe
marketplace for all consumers and to empower consumers to protect themselves.
To achieve this mission, we test, inform, and protect. To maintain our
independence and impartiality, Consumers Union accepts no outside advertising,
no free test samples, and has no agenda other than the interests of consumers.
Consumers Union supports itself through the sale of our information products
and services, individual contributions, and a few noncommercial grants.

SOURCE Consumer Reports

Rachel Zuckerman of Consumer Reports, +1-914-378-2417,
rzuckerman@consumer.org