Smart scammers are going after South Africa’s most vulnerable car buyers

Park Village Auctions (PVA) has warned the public of an alarming escalation in auction-related fraud targeting vulnerable consumers seeking cost-effective private transport in the current climate of sky-high car prices.

“These fraudulent schemes, which have plagued the industry for years, are becoming increasingly elaborate and difficult to detect,” said PVA’s Clive Lazarus.

“Scammers are employing advanced social engineering tactics to prey on vulnerable individuals, often those desperately seeking affordable vehicles.”

Key features of these scams include:

• High-pressure tactics to push for upfront payments
• Fraudulent websites mimicking legitimate auction houses
• Deceptive claims of “pre-auction” sales or guaranteed reserves
• Elaborate backstories and impersonation of auction house staff
• False promises of employment to recruit unwitting accomplices
• Fake social media advertisements, particularly on Facebook and Instagram

These fraudsters are now tailoring their approach to match the demographic profile of their targets to make their schemes appear even more convincing.

There have even been cases where they “employ” their victims, promising full-time positions if they can sell a certain number of cars. However, these fake job offers are just another way to lure people into their scams.

“The sophistication of these operations is truly concerning,” said Lazarus.

Know what you’re getting into

Lazarus urges car buyers who might be interested in looking for deals at auction to be wary of where they spend their money.

Always insist on inspecting vehicles in person before engaging with any auction house, and do not trust cars being advertised primarily through social media.

Report and block suspicious profiles on social platforms, and verify the legitimacy of an auction company through official channels like websites and phone numbers before handing over potentially sensitive information.

“Never feel pressured into making hasty payments or decisions. Remember that legitimate auctions only require a refundable deposit for participation,” said the expert.

Also, be very sceptical of unsolicited job offers related to selling auction vehicles as they might inadvertently get you involved in a crime.

Lazarus highlights that anyone in the market to purchase a car on auction must be aware that legitimate auction houses follow strict protocols and never pressure buyers into quick decisions or upfront payments without proper verification.