How To Prevent Vehicle Fraud With the Consumer Access Program
By championing the NMVTIS consumer access program, states can be proactive in deterring fraud.
The National Motor Vehicle Title Information System (NMVTIS) protects consumers from fraud and unsafe vehicles and keeps stolen vehicles from being resold by instantly and reliably verifying title information obtained from state motor vehicle titling agencies, salvage and junk yards, auto recyclers, and insurance carriers.
Through the NMVTIS Consumer Access Program, consumers can obtain key information about a vehicle’s condition and history by purchasing a NMVTIS Vehicle History Report from any of AAMVA’s Approved NMVTIS Data Providers. The Consumer Access Program allows providers to relay reliable, official data from NMVTIS to consumers, including title information to prevent fraud and theft, brand history such as “rebuilt” or “flood” to expose the vehicle’s prior use and condition, odometer readings to reflect the vehicle’s fair value, and total loss and salvage history to expose severe damage and potential safety issues.
“You have all this information that is made available to the public for them to make an informed decision,” says Sanghavi Iyer, AAMVA’s program manager of vehicle program and services. “These data points, along with an independent vehicle inspection, give the opportunity for the customer to know that the vehicle is safe before they make a purchase.”
In most states, obtaining a NMVTIS Vehicle History Report is the consumer’s responsibility. However, California and Oregon have enacted laws requiring dealers to obtain a NMVTIS Vehicle History Report and to disclose certain information to buyers, such as whether a vehicle has been reported as salvage or junk or whether the title contains a brand, before selling a vehicle. In states where this isn’t mandated, DMVs can empower customers by educating them about the importance of obtaining a NMVTIS Vehicle History Report before purchasing or trading a vehicle. They can also connect with California and Oregon to create a baseline for incorporating NMVTIS disclosure requirements in their own legislative updates.
“For those states that have no law, they should really think about doing model legislation to get this type of law on the books,” says Cindy Taber-Lowry, AAMVA’s senior program analyst of vehicle programs and services. “That way, it helps protect the consumers, and it can protect the car dealerships as well. That’s going to be a huge deterrent to fraud.”
The NMVTIS Consumer Access Program puts power directly in the hands of consumers by giving them access to key information when purchasing a vehicle that may have otherwise been hidden from them, helping to prevent fraud and the sale of unsafe vehicles.