CARFAX Canada and the Used Car Dealers Association are expanding their collaboration by integrating CARFAX Canada VIN Fraud Check into the UCDA dealer member portal. The tool is intended to help dealerships identify possible re-vinned or VIN-cloned vehicles before they are bought or sold.

CARFAX Canada and the Used Car Dealers Association are expanding their collaboration to help Canadian dealerships detect VIN fraud in used vehicle transactions.

The expanded arrangement will integrate CARFAX Canada VIN Fraud Check directly into the UCDA’s dealer member portal. The companies say the move is designed to help dealers identify possible VIN fraud earlier when transacting used vehicles.

VIN fraud, also known as re-vinning or VIN cloning, occurs when a vehicle identification number from one vehicle is illegally copied onto another. The purpose is often to conceal that a vehicle is stolen and make it appear legitimate for resale.

According to CARFAX Canada, unknowingly buying or selling a re-vinned vehicle can create financial, legal and reputational risks for dealers and their customers.

CARFAX Canada said its VIN Fraud Check uses billions of North American VIN records to identify unusual or suspicious VIN history. The tool analyzes vehicle records, including location data, to detect patterns and inconsistencies that may otherwise be missed.

The company says the VIN Fraud Check is intended to be used alongside a CARFAX Canada Vehicle History Report to support more informed used-vehicle transactions.

Shawn Vording, president of CARFAX Canada, said VIN fraud remains a serious concern in the automotive industry. He said the tool has already been used by dealers, consumers and law enforcement agencies to detect re-vinning activity.

James Hamilton, executive director of the UCDA, said dealers increasingly need data tools to protect themselves and consumers from fraud and theft.

The collaboration comes as VIN fraud continues to affect consumers, insurers and the automotive sector across Canada. CARFAX Canada said criminals have become more sophisticated by producing forged VIN plates that resemble original manufacturer plates and by reprogramming onboard vehicle computers that contain the original VIN.

UCDA members will also have access to CARFAX Canada Service Insights Reports, which are designed to predict upcoming service recommendations for incoming inventory based on a vehicle’s history, original manufacturer maintenance schedules and outstanding recalls.

The expanded access is intended to give dealers another due diligence tool when assessing used vehicles before purchase or resale.

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Originally published on Canadian Fraud News.