Warning Now Issued To People Buying Cars In Wisconsin

Whenever you buy a used vehicle, experts say that it's crucial to thoroughly inspect the vehicle, get a vehicle history report, and have a mechanic perform a pre-purchase inspection.

You should also look for signs of damage, worn parts, and potential mechanical issues while considering the vehicle's mileage, maintenance history, and overall condition.

However, when it comes to a vehicle's mileage, things may not always be what they seem, as fraud can occur in the form of odometer rollback. Recently, Wisconsin officials released a startling report of odometer rollback cases they discovered.

Wisconsin DMV Identifies Nearly 6,000 Vehicles With Odometer Rollback

Odometer rollback is defined as the illegal practice of tampering with a vehicle's odometer to display a lower mileage than the actual mileage driven. This is done to make a used car appear newer and more valuable, and can cost buyers thousands of dollars if they unknowingly purchase a car with a rolled-back odometer

The Wisconsin Department of Transportation's Division of Motor Vehicles (DMV) recently reminded car buyers how important it is to verify vehicle mileage before they buy.

In 2024, investigations by Wisconsin DMV’s Dealer and Agent Section reportedly identified 5,961 vehicles that showed signs of having odometer rollbacks. This marked a sharp increase from 2023, when the DMV investigators identified 1,736 vehicles.

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DMV Dealer and Agent Section Chief Maura Schifalacqua says that illegally manipulating odometers is a crime that's been around for decades, but fraudsters have kept up with technology and can now hack into the vehicle's computer to change the mileage.

Odometer Tampering Costs Consumers A Significant Amount Of Money

The Wisconsin DMV says that of the nearly 6,000 vehicles discovered with altered mileage last year, an estimated 613,910,784 miles were rolled off the odometers. The estimated fraud loss based on a $0.06 per mile damage calculation is $36,834,647.

This is a marked increase from calendar year 2023, in which the identified vehicles had an estimated 181,706,452 miles rolled off the odometers. The estimated fraud loss in 2023 was $10,902,387.

Instances of odometer rollbacks are often caught when a vehicle is sold. Recent examples include:

• By Wisconsin wholesalers who illegally sold vehicles to retail purchasers from Wisconsin and other states
• By non-Wisconsin dealers/wholesalers to retail purchasers from Wisconsin
• By private parties to purchasers from Wisconsin
• Through title processing errors

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Investigations led to the Wisconsin DMV Dealer and Agent Section revoking 20 wholesale dealer licenses in 2024 due to odometer and title fraud. Last year’s total equaled the combined number of revocations from 2022 and 2023, with 10 revocations occurring each year.

How To Identify Odometer Tampering

Officials say that when a vehicle buyer requests a new Wisconsin title, the DMV checks the odometer statement on the latest title against available title information and confirms that the information is current.

Out-of-state vehicle titles are checked by using the Vehicle Identification Number (VIN) in a national database. The goal is to ensure the secure creation and maintenance of vehicle records and to reduce fraud through odometer rollbacks.

For consumers, there are things you can do to help protect yourself before you purchase a used vehicle. To uncover possible odometer tampering, check these key areas:

• The title and compare the mileage listed to the vehicle’s odometer. Look closely to ensure the mileage notation has not been obscured or altered.
• A vehicle history report, such as from CARFAX, and look for odometer discrepancies in the vehicle’s history.
• Maintenance or inspection records and compare to the odometer mileage.
• The numbers on the odometer gauge should align correctly on mechanical odometers.
• The tires and overall condition of the vehicle. For example, if the odometer on the car shows 20,000 or less, it should have original tires. The general wear and tear of the vehicle should be consistent with the number of miles displayed on the odometer.
• ​Vehicle titles typically have an odometer reading printed on the front of the title. Sometimes this reading has also been altered to reflect lower mileage. However, sometimes a fraudster will forget to alter this, and it will still indicate a higher mileage reading.

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Lastly, it's worth noting that if the title has multiple title reassignment sections completed, the seller could be an unlicensed retail dealer. Unlicensed retail dealers, including wholesalers selling retail and non-Wisconsin dealers selling retail within Wisconsin, are a common source of odometer fraud.