What CARFAX isn’t Telling You
When buying a used car, a highly recommended step is to get a vehicle history report. But how reliable are vehicle history reports? Do they tell you everything? Ideally, this report lets you know all pertinent information regarding the past lives of the vehicle and whether or not it’s going to fall apart the moment you get it off the dealer’s lot.
The most common vehicle report service is CARFAX. Generally, a used-vehicle dealer will pay for a CARFAX report on the vehicle you’re considering, but you have to ask for it. We’re going to see if CARFAX is a fully reliable source for vehicle history. But first, let’s look at what CARFAX does and how it does it.
What does CARFAX do?
By entering a Vehicle Identification Number (VIN) into the CARFAX database, you can receive, ideally, a full report on the vehicle’s history. The information provided includes important details such as vehicle ownership, accident history, mileage discrepancies, lemon status, flood damage, fleet use, and more. It should also provide you with knowledge of odometer rollbacks, failed emissions tests, and select service records.
Where does CARFAX get its information?
CARFAX gets its information from various motor vehicle bureaus across the U.S. and Canada, as well as insurance companies, auto auctions, repair and service facilities, rental companies, state inspection stations, fire departments, law enforcement agencies, and vehicle manufacturers. These are its main sources, though there are others too.
How reliable are vehicle history reports from CARFAX?
While CARFAX is a great place to start researching a potential purchase, don’t rely on it for the whole story. Since CARFAX relies on information from the above sources, it may overlook problems that weren’t reported, recorded, or properly retrieved. There have been examples of CARFAX both recommending against a perfectly functioning vehicle and neglecting to report major accidents or lemon recalls.
This is why it’s highly recommended to take the vehicle to a trustworthy mechanic for a thorough check. It’s going to be more costly, but this will give you essential information about the vehicle’s current condition and functionality. Sometimes, vehicles that have been in wrecks (which appear as red flags on CARFAX) may actually be in good condition. The opposite is also true.
In addition, it’s a good idea to ask the dealer (like us folks at Third Coast Auto Group) for information about the warranty and any repairs that have been performed. They will be happy to help you make the purchasing decision that’s right for you.
