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Chronicle Live
Chronicle Live
National
Kate Lally & Aaron Morris

DVLA warning over £1,000 road tax fine scam and how 'ghost' insurance brokers could cost you hundreds

The Driver and Vehicle Licensing Agency (DVLA) has released a warning to motorists - in the wake of a common scam fraudsters are using to obtain people's bank details.

The warning was issued this week, as con artists posing as DVLA officials are sending messages claiming that the recipient hasn't compensated them for road tax properly. The messages state that those who have received them could possibly be fined up to £1,000 should they not comply and update their bank details - The Liverpool Echo reports.

In a social media post, the DVLA has confirmed that these instances are scams, urging drivers to simply ignore the text. If a driver enters their personal information, scammers could be successful in emptying their bank accounts of hard earned money - as well as using licence details to commit major offences unknowingly on their behalf.

Read more: WhatsApp shares safety advice to users following popular scam conning users out of thousands

Experts are now warning of four other scams motorists could fall victim to. Select Car Leasing says drivers are at risk of losing up to £5,000 if they fall for any one of the cons.

‘Too good to be true’ car insurance deals could cost you £785

Fraudsters often take the form of fake car insurance providers. These scammers, known as ghost brokers, sell "too good to be true" car insurance deals to drivers, unaware that they are buying a policy that is completely worthless.

According to the Association of British Insurers, the average cost of car insurance is £485. Victims of ghost broking could not only be paying this premium, but also a £300 fine when they are penalised for driving an uninsured vehicle.

Facebook car adverts could cost you £5.1k

Although Facebook Marketplace is a minefield for purchasing a used car, fraudsters are also using the platform to advertise vehicles at bargain prices to lure in potential buyers. One unlucky victim from County Clare paid £5,179 (€6,000) for a car that was never delivered.

Professional scammers posing as private sellers pressure motorists to send a deposit, plus extra for vehicle delivery. They then take the money and run – so buyers are left without a car and their money.

Scammers have also been known to use Facebook to sell stolen, written-off or financed cars, knowing that there is minimal legal protection once an owner has handed over their cash.

Car buying scams can leave you £2,000 out of pocket

Not only can buying a car be risky, so can selling it online. Some scammers will turn up for an in-person inspection of the vehicle being sold and distract the seller while an accomplice adds engine oil to the water reservoir.

The car will of course break down if driven, with the criminals claiming the seller has tried to sell them a faulty car – they’ll use this as leverage for a significantly lower asking price.

The scammers will then empty the engine oil out of the reservoir and sell the car on to another completely unknowing buyer. The Derbyshire Times found that in some reports victims of the scam were over £2,000 worse off.

Fake driving licences could cost learner drivers £600

Learner drivers have to suffer long waits to take their driving test, due to a sizable backlog after the pandemic. Predictably, fraudsters are capitalising on the wait and targeting young motorists who don’t want to wait to sit their test.

Scammers are selling fake licences and paper certificates online for £600 each, stating they have inside access to driving test centres and can pass learner drivers without having to get behind the wheel of a vehicle.

However, young drivers are then left out of pocket when no licence cards are issued and fraudsters take the funds.

If you are worried about a scam or something that seems dubious, you can report it here.

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