Car Scams
Fake Car Dealers UK: How To Spot Them Before You Pay
5 min read
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CarVerified Team
Some sellers pose as dealers to look trustworthy. Here is how fake dealers and unregistered traders work, the red flags, and how to check a dealer before you buy.
Buying from a dealer should give you more protection than a private sale, which is why some scammers pretend to be dealers. There are two common versions: a fake business that copies a real one, and a trader who sells cars as a business while posing as a private seller.
This is general information on common patterns, not a statement about any specific business.
Why the difference matters
When you buy from a trader, the Consumer Rights Act 2015 says the car must be of satisfactory quality, fit for purpose and as described, and you generally get a short window to reject a faulty car. A private sale only requires that the seller has the right to sell the car and that it is as described. A fake dealer takes your money and leaves you with neither the car nor the protection.
Fake dealer red flags
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Prices well below the market, with a rush to pay a deposit.
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A new or copied website, with stock photos, no real address, or reviews that look the same.
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No landline or only a mobile number, and an address that turns out to be a house or an empty unit.
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Pressure to pay by bank transfer, or to pay before you have viewed the car.
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The business name is nearly the same as a well-known dealer, with a slightly different website address.
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A registered address that does not match the business name or the trading name on the advert.
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Curbstoning: the trader posing as a private seller
Some traders buy cars to sell on and advertise them as private sales to avoid the responsibilities of a dealer. Signs:
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The seller has several cars for sale, or mentions “a few cars” at the same address.
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The V5C shows the seller as a recent keeper, sometimes only a few weeks.
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The seller avoids giving their address, and meets you in a car park.
If you are told you cannot return the car because “it is a private sale” but the seller is clearly trading, you may still have trader protections. Citizens Advice can explain your rights.
How to check a dealer
1.
Search the company name on Companies House and check it is active, with the address that appears in the advert.
2.
Check the VAT number, if the dealer shows one, using the GOV.UK VAT number checker.
3.
Look for real reviews over time, on several sites, and not just a handful on the same day.
4.
Visit the premises, and check the cars are really there.
5.
Ask who is arranging the finance, if the dealer offers it. Dealers who arrange finance must be authorised by the Financial Conduct Authority, which you can check on the FCA register.
6.
Run the car’s history before you commit, regardless of how good the dealer looks.
Check the car, not just the dealer
Even a real dealer can sell a car with a problem in its history, and a fake dealer’s car may not match its plate at all. Run the registration first.
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Free check at carverified.co.uk
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Read the finance check and write-off check pages for what a full report covers
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Compare options in buying from a private seller vs a dealer
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Back to the complete used car scams guide
Which CarVerified report covers this?
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Free check: start with the free vehicle check for the make, model, colour, year and MOT and tax status, so you can confirm the car matches the advert.
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Silver: the core vehicle history check. Finance is not part of Silver, but it can be unlocked separately.
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Silver Plus: adds the outstanding finance check, which matters most for deposit and “seller owns it” scams.
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Gold: the most complete report, adding ex-taxi, salvage and valuation checks.
See exactly what each report includes on the pricing page or in the sample report, and use the used car checklist when you view the car.

Buying a used car?

Check the vehicle history before you buy: MOT history, mileage, outstanding finance, write-offs and theft records.
CarVerified Silver Plus (£5.99) covers write-off, stolen and outstanding finance checks.
Start with the free check - upgrade only if you want the full report.
Viewing a car? Use our free used car checklist →
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Add a car by reg - DVLA details filled in for you
Buyer enquiries land straight in your dashboard
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Analytics on the Professional plan: sell-through, stock ageing and margin
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