How do car shipping scams work?

Several variations: (1) Fake companies collect deposits then disappear, (2) Low quotes increase dramatically at pickup or delivery ("fuel surcharge," "carrier fee"), (3) Vehicle held ransom on delivery until extra payment, (4) Seller and shipper collude—you pay for shipping of non-existent car. Each exploits the advance payment requirement of vehicle transport.

How do I verify a shipping company is legitimate?

Every legitimate carrier has USDOT and MC numbers. Verify at FMCSA website (safer.fmcsa.dot.gov). Check company age—scammers create new entities frequently. Read recent reviews on Transport Reviews, Google, BBB. Verify physical address (Google Street View). Legitimate companies have operating history and verifiable credentials.

What's a reasonable deposit for car shipping?

Industry standard is no deposit to 25% deposit with remainder on delivery. Never pay more than 50% upfront, and never pay full amount until car is delivered. Legitimate carriers prefer payment on delivery—they want to get paid for completed work. Demands for full prepayment are major red flags.

What if the shipper demands more money on delivery?

This is the ransom scam. They hold your car until you pay undisclosed fees. Prevention: Get binding quote in writing with all fees listed. If it happens: document everything, refuse to pay unquoted fees, threaten DOT complaint, and file complaint with FMCSA. Sometimes paying and pursuing refund/legal action is the pragmatic choice.

Car Shipping Scams 2025: How Criminals Steal Your Money on Vehicle Transport

The Growing Shipping Scam Problem

As online car buying has expanded, so have shipping scams. Buyers purchasing vehicles from distant sellers must arrange transport— creating opportunity for criminals. Fake shipping companies, bait-and-switch pricing, and vehicle ransom schemes cost victims an average of $2,800.

The complexity of vehicle transport makes scams effective. Legitimate shipping involves brokers, carriers, deposits, and coordination. Criminals mimic this complexity while exploiting the advance payment requirement inherent in the industry.

Common Shipping Scam Types

The Fake Company

Scammer creates professional-looking website for non-existent shipping company. They provide competitive quote, collect deposit (often $300-$800), and disappear. The website goes offline. Phone numbers disconnect. Your deposit is gone.

Fake Website Red Flags

Watch for: recently registered domain (check whois), stock photos only, no physical address, no verifiable USDOT/MC numbers, prices significantly below market, only accepts wire/crypto/gift cards. Legitimate shippers have history, credentials, and verifiable information.

Bait-and-Switch Pricing

Broker provides attractive quote to win your business. At pickup: "The carrier requires additional fuel surcharge." At delivery: "There's a $300 storage fee." You've already committed your car—what choice do you have? These undisclosed fees add 30-50% to quoted price.

The Ransom Scheme

Your car is picked up legitimately. On delivery day, the driver demands extra payment: "The broker didn't pay me in full. I need $600 before I unload." Your car is physically held hostage. Many victims pay rather than fight. This sometimes involves broker-carrier collusion.

Verification Steps

Check FMCSA Database

Every legitimate carrier and broker must register with FMCSA (Federal Motor Carrier Safety Administration). Visit safer.fmcsa.dot.gov and search the company name or MC/USDOT number. Verify:

Active operating authority (not "revoked" or "inactive")
Company has been operating for at least 2 years
Insurance is current and adequate
No significant safety violations

Research Reviews

Check Transport Reviews (transportreviews.com), Google Reviews, and BBB. Look for patterns in complaints. Recent reviews matter more than old ones. Be suspicious of companies with only 5-star reviews (fake) or mostly 1-star reviews (legitimate complaints).

Verify Physical Presence

Google the company address. Use Street View to see if it's a real business location or a virtual office/residential address. Call during business hours and ask questions. Legitimate companies answer phones and can discuss logistics in detail.

Safe Payment Structure

Legitimate shipping payment: 0-25% deposit to broker, remainder to carrier on delivery. Never pay more than 50% upfront under any circumstances. Get binding quote in writing with all fees disclosed. Payment on delivery protects you—you pay for completed service, not promises.

Getting a Legitimate Quote

Fair Market Rates

Legitimate car shipping costs:

Under 500 miles: $400-$700
500-1,000 miles: $600-$900
1,000-2,000 miles: $800-$1,200
Cross-country: $1,000-$1,500
Enclosed transport: Add 40-60%

Quotes significantly below these ranges are bait-and-switch setups. Quotes significantly above indicate either premium service or overcharging.

Get Binding Quotes

Request "binding" or "guaranteed" quotes in writing. This document should list ALL fees: transport, fuel, insurance, pickup/delivery. Reputable companies provide clear documentation. If the final bill exceeds the binding quote, you have legal recourse.

WATCH

Verification Before Payment

Pros

FMCSA verification catches most fake companies
Review research reveals complaint patterns
Binding quotes protect against fee inflation
Payment on delivery ensures completed service
Due diligence takes 30 minutes, saves thousands

Cons

Sophisticated scams can fake credentials initially
Ransom situations still occur despite precautions
Research takes time during buying process
Some legitimate small carriers lack extensive reviews

Recommendation

Verify every shipping company through FMCSA before sending any payment. Check reviews on multiple platforms. Get binding quotes in writing. Never pay more than 25-50% deposit, with remainder on delivery. Legitimate carriers understand and accept these terms. Anyone demanding full prepayment or rejecting verification is not getting your business.

Frequently Asked Questions

Scam Prevention

Out-of-State Car Scams 2025