The Federal Trade Commission issued an alert today (Sept. 1), warning of scammers creating spoofs of dealer websites and asking customers to pay up front for vehicles.
The agency said that bad actors are often using AI to clone a real dealer’s website.
When this happens, scammers may use a dealer’s logo and vehicle listings, and even create fake testimonials, the FTC warned.
Additionally, the agency suggested rare cars are a frequent target of these scams.
Why this matters: Dealers need to know about these scams, as well as what the FTC told consumers to do to avoid them.
The agency suggested searching online for reports of similar scams.
It also suggested that customers ask to see the car and dealership in person.
And if the dealership is too far, hire a mobile inspection service.
Bottom line: Website spoofing is another form of fraud on the rise in the automotive industry, making it another tactic dealers need to watch for, given that it can tarnish their reputation with customers.
This follows CDG’s July coverage of bad actors creating fake transport companies and stealing vehicles.
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