Odometer rollback has become a menace, and it could be your worst nightmare. Hence, doing essential checks to determine whether the preowned car you intend to purchase has had its odometer tampered with cannot be overstated, even if the vehicle looks great. The National Highway Traffic Safety Administration (NHTSA) reported in 2022 that at least 3.47% of all pre-owned cars sold (about 452,000 vehicles) have had their odometers rolled back. In context, there is a chance that you may fall victim to odometer rollback unless you check a used car before closing the deal.
The odometer is a car component that measures wheel pulses, which are registered by other components, such as the Dash Control Unit. The data registered is then used to calculate the distance a vehicle has traveled (mileage) in kilometers or miles since it left the manufacturer’s showroom. One of the major metrics used to measure a car’s wear and tear accurately is its mileage.
One of the first things you are likely to check before buying a pre-owned car is the mileage. It can help you negotiate a good price, especially if you know the average market value of a vehicle whose mileage is within the range of the car you intend to buy. Generally, rolling back a car’s odometer makes it appear like the vehicle has fewer miles than it actually does, which considerably increases its value. So, a vehicle’s true value is misrepresented when its odometer is rolled back, posing serious safety risks to anyone who purchases it. In addition, it is very unlikely that such a vehicle will be reliable.
What Is an Odometer Rollback?
An odometer rollback is tampering with a car’s odometer by disconnecting, resetting, or altering it with the sole aim of lowering or clearing the mileage. In the United States, manipulating an odometer is beyond the discrepancy between the number displayed on the odometer and the actual mileage of a car. It is far worse! Altering or changing a vehicle’s odometer reading is illegal. It is a federal offense punishable by severe penalties.
When you see a pre-owned car with a rolled-back odometer, it indicates the vehicle may not be as reliable as the seller wants you to believe. While it is a less visible crime, there are legal consequences for selling cars with rolled-back odometers. Generally, car sellers caught committing odometer fraud risk severe criminal punishments. Under federal law, anyone convicted of this crime faces up to three years in prison and a minimum of $10,000 fine per vehicle whose odometer reading is altered. In addition, such a car dealer could lose their dealer’s license.
Besides the legal consequences for sellers, people who buy cars with rolled-back odometers face financial consequences. According to reports by the NHTSA, at least $1.050 billion is lost to odometer rollback annually. Purchasing a used vehicle with a rolled-back odometer could mean the car’s condition may not be as good as you think. In fact, you may spend more on expensive maintenance and repairs than you anticipated if a private seller sold you a car with an odometer rollback. Furthermore, if you discover that the mileage of a vehicle you bought was rolled back, you will need to report it to your insurance company. Also, if it was financed, you will have to inform the financing company, and this will likely mean that you would pay higher financing interest rates and insurance premiums.
Car sellers may roll back odometer readings for several reasons, but the primary intent is to make a higher profit. Odometer rollbacks help them create a wrong perception of a car’s usage and make it appear new and less worn than its actual condition. This allows them to inflate a vehicle’s perceived value to maximize profits, but unfortunately, this is always at the expense of unsuspecting buyers.
How Odometer Rollback is Performed
Motor vehicles used mechanical/analog odometers before they were phased out in favor of digital odometers in the early 2000s. While they were in vogue, performing odometer rollback on mechanical odometers meant manually rolling back the numbers. Anyone with some mechanical knowledge can easily disassemble mechanical odometers and tamper with the actual readings. An alternative way to perform an odometer rollback on a mechanical odometer is to attach cables to a drill. This can be done by disconnecting the speedometer cable at the transmission and connecting a battery drill to the inner cable. Afterward, pull the trigger and use a cable tie to keep the drill spinning. If done properly, the odometer reading would have rolled back in a few minutes.
Unlike the mechanical odometer, it is usually more difficult to tamper with a digital odometer. At a minimum, you will need software programming and some maintenance tools to perform an odometer rollback on a digital odometer. Typically, it is done in two ways. You can connect the required rollback tools to the board (electronic circuit) and manipulate data. Alternatively, you may remove the circuit board and alter the odometer readings. However, depending on how it is done, a rolled-back digital odometer may still have recoverable data (actual mileage), especially if it is not cleared from the engine control unit (ECU).
However, performing odometer rollback is an illegal practice. It is dangerous and should be avoided. Besides the financial loss to whoever buys a car with a rolled-back odometer, it may be unsafe to drive such a vehicle.
How to Check for Odometer Rollback
Detecting whether a vehicle’s odometer has been rolled back may sometimes be difficult, as the new versions of odometers have no visible moving parts. It takes some understanding of cars to spot an odometer fraud. Generally, it is always advised that you inspect a preowned car and obtain a vehicle history report to determine if it has ever been reported for odometer fraud before purchasing it.
While there may be no foolproof method to spot odometer fraud, you can check a used vehicle for a possible odometer rollback before purchasing it by doing any of the following:
- Initial Physical Assessment – Inspecting a used car before buying it can help you detect a possible odometer rollback. While at it, look closely at the interior and exterior parts and components for likely wear and tear. Examine the level of physical damage to the pedals (brake, gas, and clutch), tires, seats, gear shift, steering wheels, and car mats. Now, ask yourself whether your visual assessment of the car is consistent with and suitable for the mileage displayed on the odometer. You can also request the seller provide you with the vehicle’s service and maintenance record to compare its consistency with the odometer readings. If the steering wheel cover and car mats look like they were just replaced before the sale of a preowned car, be cautious, as it may just be an attempt at deception.
- Request a Vehicle History Report – Obtain a car history report from any reliable company offering vehicle search services using its Vehicle Identification Number (VIN). A comprehensive vehicle history report will include information on its actual odometer readings (mileage). With this, you can check a used car for odometer discrepancies in its history. In fact, if the mileage on the vehicle history report is less than an older reading previously obtained by the car owner (from inspection records), it strongly indicates an odometer rollback.
- Use the Service of a Professional for Detailed Inspection – Get a trusted mechanic to help you perform a detailed inspection on a used car before purchasing it, especially if you suspect the odometer may have been rolled back. A professional mechanic should have the proper diagnostic tools to uncover mileage discrepancies and determine the car’s actual mileage stored in its ECU.
- Find Digital Signs – First, look closely at the instrument cluster for signs of scrape marks around it and check if the speedometer console fits quite well and there are no missing dashboard screws. If you notice anything weird, that is a red flag, and it could mean that the car’s odometer has been tampered with. Misaligned digits on the instrument cluster may also mean that someone has previously altered a vehicle’s odometer readings.
What to Do If You Suspect Odometer Rollback
If you suspect and are convinced that a used vehicle has had its odometer rolled back, it is best to walk away and not purchase it, no matter how clean and sound the car appears. Afterward, contact the state’s Department of Motor Vehicle (DMV) or relevant local authorities to report the suspected fraud. Each state has a dedicated agency that handles auto-related fraud, and they typically provide the public with open channels for communication.
Under federal law, the seller must provide a written disclosure of the mileage registered on an odometer on a car’s title when transferring ownership to a buyer. The only exceptions are vehicles at least 20 years old or model years 2010 and older. If the odometer mileage is inaccurate, a seller must include a statement indicating that on the vehicle title. This law was passed to prevent consumers from falling victim to odometer fraud. Buying a car with a rolled-back odometer or fraudulent mileage can eat up your finances due to unexpected and costly repairs. In addition, you could experience emotional stress that could have been avoided if you had done your due diligence, especially through detailed inspections and the use of professional mechanics.
