Picture this: after weeks of searching online ads for a used vehicle, you've finally found someone doing a private sale for the car you've been dreaming of.
But when you reach out to the seller to tell them you're interested, they tell you they will only accept cash, they can't provide a bill of sale, and they want to meet you in the parking lot of the local shopping mall.
Sound suspicious? That's because it is.
These are just a few red flags that might indicate the car you're interested in buying might be stolen.
In 2024, more than 57,000 vehicles were reported stolen in Canada, according to Équité Association, a national not-for-profit organization helping fight insurance fraud and crime. Over the past year, there have been many media reports about cars being stolen in Canada and then shipped to other countries, where they are sold illegally. But that's not always the case.
"Car thieves typically try to ship stolen cars overseas, but not all stolen vehicles make it abroad," said Lindsay Hubbard, a Senior Manager in Fraud Operations at TD Insurance.
“Some stay in Canada and are sold to the public through what is called 'VIN tampering,' or 'ReVINing.’"
How does reVINing work?
When a car is manufactured, it's assigned a unique 17-character code called a VIN (Vehicle Identification Number), which acts as a sort of automotive fingerprint. And just like real fingerprints, no two are alike.
A VIN registers important information about the car, including its make, the model and year, accident and ownership history, as well as registration and insurance coverage details.
ReVINing occurs when criminals attempt to disguise a stolen vehicle by replacing the VIN sticker or plate with a fraudulent one to make the vehicle appear legitimate so that it can be re-sold to an unsuspecting buyer.
According to Équité Association, this scam can be conducted in multiple ways.
Sometimes fraudsters will either swap out the original VIN for a fraudulent made-up number, or they will use a legitimate VIN taken from another vehicle, a process which is known as “VIN cloning.”
With a made-up VIN number, fraudsters can also create “ghost vehicles” – which are cars that don't actually exist – that can be fraudulently insured and then fraudulently claimed as stolen.
CARFAX estimates that there were up to 140,000 VINs cloned in 2024 alone.
"ReVINing isn't a new fraud," Hubbard said. "But it has become an increasingly popular way for thieves to launder stolen cars and pass them off as legitimate to unsuspecting Canadians."
A recent TD survey, conducted by Maru Public Opinion, revealed that 50% of Canadians are unfamiliar with reVINing scams.
Some tips on how to protect yourself against reVINing
Hubbard's number one piece of advice: only buy used cars from registered dealerships.
"If you aren’t sure if the dealership is registered or not, run their GST/HST number through the Canada Revenue Agency (CRA) online registry to make sure the dealership and salesperson is licensed and has no offence history,” Hubbard said.
Ordering a CARFAX report also provides potential buyers with a copy of the vehicle’s registration and indicates if the vehicle has ever been reported as stolen. Vehicle sellers are legally required to provide potential buyers with a Used Vehicle Information Package (UVIP) from the Ministry of Transportation.
Review the report to make sure there are no inconsistencies with the:
- Vehicle details (e.g. year, make, model, colour, body type, cylinders, and power)
- Vehicle registration history (including current and past owners)
- Vehicle lien information to ensure there are no active liens, (a lender's registered claim for repayment registered against the car)
- Retail Sales Tax (RST) information – the average wholesale cost of the vehicle
- Bill of sale information
Watch out for red flags
"When shopping for a used car, critical thinking and research can help protect you from being a victim of reVINing fraud," Hubbard said.
"Know the market value of the car you're looking to buy and be aware of prices that seem too good to be true."
If you do decide to purchase a car from an individual, be on the lookout for requests to meet in unusual public locations. Ask the seller to meet you at a police station parking lot, which is well-lit, protected, and has surveillance.
If the seller is requesting cash-only payments and refusing to provide a bill of sale, this is a good indication of suspicious activity. It's always wise to take a vehicle to a trusted mechanic who can inspect and validate the vehicle.
Victims foot the bill
There are multiple serious consequences for victims of the reVINing scam. If you unwittingly purchase a reVINed vehicle, you are technically in possession of stolen property, and when the real VIN is eventually discovered, law enforcement has the authority to seize the vehicle. The car will be returned to its rightful, legal owner leaving you without a car and out-of-pocket.
"It’s critical for consumers to be aware of the consequences of mistakenly purchasing a reVINed vehicle," said Hubbard. "It is important for them to educate themselves on how to safely purchase a used vehicle in a private sale and to spot the warnign signs of a potential scam."