AP: Buyer beware of flood-damaged vehicles

[question everything]

Saturday, September 17, 2005

Buyer beware of flood-damaged vehicles

Consumer agencies warn of dealers who acquire submerged cars, clean them, get new titles and resell them.
By James Prichard
THE ASSOCIATED PRESS

GRAND RAPIDS, Mich. -- In the market for a good used car?

Watch out for vehicles that sat submerged for days in the flooded streets of New Orleans, Biloxi or other Gulf Coast cities ravaged by Hurricane Katrina.

Insurance companies usually purchase such vehicles from policyholders, declare them "totaled" and then sell them at auction to be resold for parts, many of which will still be suitable for use in other cars and trucks.

But some unscrupulous dealers and wholesalers buy flood-damaged cars at scrap prices, clean them up, retitle them and resell them. The vehicles may look good, but their electronics and safety systems are likely damaged -- and threaten the safety of the new owners.

After virtually every major U.S. flood, the Better Business Bureau warns prospective used car buyers to be on the lookout for flood-damaged vehicles.

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Find this article at:
http://www.dailybreeze.com/business/articles/1721981.html

[Rabrrrrrr]

1. It's so heartening to know that American capitalism brings out vultures

know matter the disaster.

But then again, I'll be honest - this is clearly something that happens everywhere, whether capitalist or communist or in between, whether first world or third world.

There are always evil people willing to sacrifice others and throw ethics to the wind in order to make a buck.



Yeah, makes one glad to be a human.

[niyad]

2. wouldn't carfax have a complete record through the VIN?

[question everything]

5. How many look through carfax before buying? (nt)

[tkmorris]

3. This should never happen

It should not be legal to obtain a clear title anywhere in this country for a flood damaged vehicle that doesn't readily identify it as such. The same should be true of any vehicle that has been written off as totaled by the insurance company. It is legal though in a lot of states, because the law favors the unscrupulous dealers rather than the consumer.

Anytime you consider buying a used vehicle, even from a dealer, always get a Carfax report on it. This should tell you the vehicles history, including if it has ever been totaled or any claim filed against the insurer. Always pay the few extra dollars for the report. Always.

[babylonsister]

4. The minute my SO. saw the devastation

from Katrina, he said this would be the result. Buyer beware indeed, because any car that is salvagable will be for sale, despite how deep the water these cars stalled or sat in was.

[niyad]

6. there was a very old joke years ago that said that the way detroit tot rid

of its smog was to fill the tires of all the new cars with it and then ship them out. sad, but in all likelihood, true.

[Lindsay]

7. I thought about that when I heard about the flooding.

In Cleveland, dealers would offer "southern" used cars, the implication being that they wouldn't have winter salt damage that local cars did. They're gonna have to think up a different sales pitch.