Metro Vancouver Crime Stoppers is warning car dealerships and lenders who finance auto loans after an increase of fraudulent car loans have been reported.
Since COVID-19 protocol measures were put in place, many criminals have used online or over-the-phone options, combined with stolen identification, to request car loans from banks and institutions.
Cars would then be purchased and sold or exported overseas for money.
Often loans can get approved by the lending institution without ever meeting the client because of pandemic protocols and after a certain period of time loan demand notices will reach the identity theft victim, according to Crime Stoppers in a statement.
“Auto fraud losses drive up consumer loan costs at lending institutions and can impact an identity theft victim’s credit bureau rating,” reads the statement.
Since December 2019, Scotiabank has reported two dozen cases of auto loan frauds where most cases happened during the COVID-19 outbreak in mid-March.
Approximately $1.5 million have been lost to consumers and this bank alone.
Linda Annis, executive director of Metro Vancouver Crime Stoppers says all they want is information from people who know where the fraudsters live or where to find them.
“We don’t want to know who you are. You’ll never be called back by police, you’ll never have to go to court and you could be eligible for a cash reward,” said Annis.
Here are some tips to avoid being an auto fraud victim:
- Sources of data breaches include theft, discarded or misplaced personal documents, database breaches, insider information and phishing.
- Consumers need to protect passwords, sensitive personal information including bank statements, SIN number and payment information
- Periodic checks of credit bureau information and credit card balances can identify potential breaches of personal credit information.
- If you do become a victim, remember to hang on to any documents, receipts, copies of emails and text messages that may help the investigation.
Metro Vancouver Crime Stoppers is urging the public to contact them anonymously if they have any information on who is involved at 1-800-222-8477.
