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CarFax #Fail - Vehicle History Report

DrewAment

Sr. Refresher
Apr 30, 2009
309
131
43
Phoenix, AZ
First Name
Drew
A little background: I consult with a dealer group (not the one listed in the screenshots below) who is a "CarFax Advantage Dealer", who pays approx $4500/month in service fees to CarFax. They are a long-standing dealer in the community of a major metro market, with an overall positive reputation (online and off) that supports and cares for its customers and vendor partners. Numerous volume awards, CSI awards, charity contributions, etc.... they are the real thing.

On 3.13.12 a customer purchased a vehicle from this dealer with a "clear" CarFax. BTW: this dealer puts a copy of the CarFax in the deal of every used vehicle sold at the time of sale. This is a screenshot of one of the pages... take care to notice the date(s):

ScreenHunter_07 Jun. 26 18.12.jpg




On 6.6.2013 (over a year later), the customer comes into the dealership upset because they are now trying to sell the vehicle and the CarFax shows a "total loss". Screenshot:

ScreenHunter_08 Jun. 26 18.12.jpg



Notice that this "data" was not reported until 2.25.2013 (after the customer purchased the vehicle). Don't want to make the story too long... but apparently the insurance company is a non-reporting entity to CarFax, and CarFax was only recently able to obtain claim information about this company, and not from the company directly - but through a 3rd party source. And, on top of that the vehicle was not a total loss (does not have a branded title) and was actually some hail damage repair.

Dealer has now shared all the information with CarFax, and CarFax has now updated the information (without admitting fault). Screenshot from 6.25.2013:

ScreenHunter_09 Jun. 26 18.12.jpg


Too late, the damage is done. The customer is upset. And, in today's online/digital world, reviews and reputation, with something like this you really don't want to make a customer upset. And, if we really think about it, we would all feel the same way.... would we ever believe anything from CarFax or the dealer again? The customer is serving in the military at a local Air Force base. Could see the news headlines now -- "Local Dealer Sells False Promises to Military Vet". So, the dealer decided to make it right and buy the vehicle back. Don't have the exact number yet, but this will probably cost $10k+

So you would think CarFax would want to help the dealer, that pays $4500/month, with the loss that the dealer has. Nope.... zero/ziltch/nada. Their statement (paraphrase) was "Unless the title is branded, our guarantee doesn't apply. We are a tool, and the customer is taking the ultimate risk when they buy the car, let them take you to court."

To make things even worse, this is the 3rd vehicle that has had this type of situation happen in the last few months for this dealer.

Has this happened to anyone else? How does your dealership handle it? Have you tried to get CarFax involved? What has been your outcome?
 
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csabatka1

Refresher
Jan 7, 2013
145
72
28
First Name
Chad
If they are continuing to run into this issue... switch to AutoCheck. No one is forcing them to use CarFax's product.
 
  • 1
Reactions: 1 person
May 17, 2011
27
3
6
First Name
Neil
I had a car roll up for an appraisal. Scan it into my appraisal tool and it shows a total loss. I ask the customer if he has the title and could I take a look. The title was clean, not branded, not rebuilt, not salvage. It just so happened the next day our rep came in. I told him about the situation, showed him a copy of the title and he gave me this. "We just recently took on a new data provider and we saw a lot of this. I am sure the vehicle was not titled salvage but it probably ran through their total loss/salvage department and just got marked wrong. Have the customer have his insurance company contact carfax. Also sometimes what happens is the state has one requirement for a totaled vehicle say 70% of book whereas the insurance company has a requirement of 65%, in a case like that the carfax could show total loss but it might not have a branded title." The last sentence about different requirements didn’t seem right to me.

So I went ahead and put in a data request and was told by carfax via the phone that unless I can get the insurance company (which I don't know who they are) to tell them otherwise then they would not fix it. I let them know of my conversation with the rep, and they told me again, you need to have the insurance company send us something saying it was not totaled.

Problem here is the customer was the second owner and the accident in question happened with owner number one, we have no idea who the insurance company was. The thing that bothered me was the rep new of the situation where a data provider marked a bunch or cars total losses with having them show branded title. Why didn't the data department know?

They refuse to fix this vehicles carfax at this point.

Long story short, I think cafax is well aware a new data providers info resulted in a bunch of cars getting marked total loss.
 

Jlewis74

Jr. Refresher
Mar 21, 2013
217
59
28
Charlotte, NC
First Name
Jeremy
When I was still in the store I stopped paying carfax stupid high fees and went with AutoCheck and while you might still have things like this happen I only had one in the many years I was using them. AutoCheck fixed it quick with a phone call and a fax. I would dump CF and go with AC its very easy to overcome the question from the customer when they ask for a CF if they even notice that you are not giving them a CF I always explained that AC is more detailed and has more data and is owned by one of the credit bureau compaines. CF sells to the consumer not dealers, if they did not spend what they spend on advertising they would not have to charge so much but then again everyone would not walk in asking to see the CF.
 

ddavis

Sr. Refresher
Jun 28, 2011
1,493
491
113
Fort Worth, Texas
First Name
Doug
They are a long-standing dealer in the community of a major metro market, with an overall positive reputation (online and off) that supports and cares for its customers and vendor partners. Numerous volume awards, CSI awards, charity contributions, etc.... they are the real thing.
Drew are you talking about the dealer group you consult with or Midway Chevrolet?
midway.jpg
 

DrewAment

Sr. Refresher
Apr 30, 2009
309
131
43
Phoenix, AZ
First Name
Drew
I am talking about the dealer I work with. LOL... I don't work with Midway. They just happen to be one of the servicing dealers listed on the CarFax report.

Re: The dealer I work with -- I think very few dealers would buy back a vehicle after 1 year. My dealership did... and I applaud them for it. Shows a real sense of caring for the customers.
 

ddavis

Sr. Refresher
Jun 28, 2011
1,493
491
113
Fort Worth, Texas
First Name
Doug
Drew, If it is a Chevrolet store, I wouldn't need more than two guesses. Not that many dealers with integrity.

Phoenix is like the old west. Most of the dealers have their cars on the internet at $2500 to $3000 below pure cost with huge bump stickers.