Odometer Rollbacks: A Common Scam Impacting Thousands of Canadians

LONDON, ON - As one of Canada’s leading sources of automotive data, CARFAX Canada is warning used car buyers to be vigilant as odometer tampering continues to put Canadian consumers at risk.

Last year, CARFAX Canada identified 20,642 vehicles with rolled back odometers, flagged through Vehicle History Reports that were ordered in 2025. Today, CARFAX Canada and the Ontario Motor Vehicle Industry Council (OMVIC) are joining forces to warn Canadians.

Odometer tampering, also known as an odometer rollback, occurs when a vehicle’s mileage reading is illegally reduced to inflate its value. It is a serious and ongoing concern for buyers in Canada’s used car market and cannot be spotted without the help of comprehensive data and detection tools available through most licensed mechanics.

“A rolled back odometer can leave buyers paying more than a vehicle is truly worth, mask the normal wear and tear that occurs with higher mileage vehicles, and ultimately hide important information about a vehicle’s true condition,” said Shawn Vording, President of CARFAX Canada. “With many Canadians in the market for used vehicles right now, buyers can take extra precautions like reviewing a CARFAX Canada Vehicle History Report and having the vehicle inspected by a licensed mechanic to buy with more confidence.”

“Odometer tampering is a growing concern, and one we’re encountering more frequently in our investigations, particularly those involving illegal, unregistered sellers,” said Jeff Donnelly, Chief Consumer Protection Officer at the Ontario Motor Vehicle Industry Council (OMVIC). “As more consumers search for lower-priced used vehicles and look beyond the regulated market, the risk of fraud increases. With easier access to tools that can alter digital odometers, this type of deception is becoming more common. The best way to protect yourself is to buy from an OMVIC registered dealer.”

Canadians can help protect themselves when buying a used car by reviewing the pattern of odometer readings in a CARFAX Canada Vehicle History Report (VHR), along with an inspection by a licensed mechanic to help identify signs of tampering and confirm that the vehicle’s wear and tear aligns with the reported mileage.

CARFAX Canada and OMVIC recommend the following tips to help avoid used car scams: 

1. Consider buying from a dealer registered with OMVIC or a consumer protection agency in your province as they must follow legal and ethical practices. Use OMVIC’s dealer search tool to confirm the seller is registered.
2. Beware of illegal, unregistered individuals (curbsiders) who sell cars illegally and might misrepresent the real condition of the car, turn back the odometer or hide major issues.
3. Be cautious if the transaction makes you feel uneasy: Illegal sellers and scammers often use high-pressure tactics to rush decisions. 
4. If buying privately, take extra precautions to verify the owner of the vehicle: Ensure that the seller’s identity matches the vehicle’s registration documents. 
5. If the deal seems too good to be true, do your research and trust your gut.
6. If possible, bring a friend or family member; they may notice something you don’t.
7. Inspect the vehicle in person, always get a licensed mechanic to inspect the vehicle, and take it for a proper test drive.
8. Do not leave a deposit or pay in full for the vehicle using suspicious links or apps.
9. Check all paperwork and obtain a CARFAX Canada Vehicle History Report and VIN Fraud Check. This helps verify that the vehicle’s history matches with what the seller advertises. 
10. When in doubt, walk away.

VIN cloning or re-vinning is a form of auto fraud where a vehicle’s VIN is illegally copied or “cloned” onto another vehicle to cover its identity. In many cases, cloned VINs are used to conceal and re-sell a stolen vehicle, and if you buy one, it could be seized by authorities, leaving consumers to bear the full financial burden and other potential adverse consequences.

Beyond odometer fraud and VIN cloning, buyers should also be aware of several other types of undisclosed vehicle history that can lead to serious problems:

• Hidden Accidents or Damage: A vehicle's accident or damage history does not necessarily disqualify it from purchase. The critical factor is knowing about any previous damage, so buyers can confirm it has been repaired properly. Undisclosed damage can pose significant safety risks and lead to costly repairs, reduced resale value, insurance issues, and mechanical failures. 
  
  
• Undisclosed Salvage and Rebuilt Branding or Title Washing: Criminals may move salvaged vehicles across the country to hide their history and re-sell them with fake documentation or a clean title – this is known as title washing. Unknowingly buying a rebuilt or salvage vehicle may quickly turn into long-term financial, legal and insurance headaches.
  
  
• Undisclosed Liens: In the past year, CARFAX Canada found that 40% of lien checks conducted through its platform had revealed outstanding debt attached to the vehicle. While liens are common, buyers may become responsible for the debt if purchasing a vehicle with a lien without knowing. If a lien is not paid off before transferring ownership, the lender can repossess the vehicle, leaving the buyer on the hook for paying off the money owing on the vehicle.

A CARFAX Canada customer shared how a Vehicle History Report helped them avoid a costly mistake. Kenny from Alberta said: "We almost purchased a used vehicle and had even negotiated a price. We decided to give it one more check and discovered the vehicle had an odometer rollback issue. Without the report we would never have known, and it saved us a lot of headaches and money!"

CARFAX Canada searches billions of data records across North America and provides comprehensive vehicle history, market insights and vehicle valuation data to help millions of people make decisions about cars.