Maryland soon must implement a national computer system that takes the uncertainty out of purchasing used cars by warning buyers if a vehicle was stolen or previously damaged — a huge stride in preventing auto theft and fraud, according to the U.S. Department of Justice.
The National Motor Vehicle Title Information System brings together information from various state titling agencies, automobile recyclers, junk and salvage yards, and insurance carriers.
“NMVTIS allows access to important information that will help consumers make better-informed purchases, protect us from unsafe vehicles and prevent stolen and cloned vehicles from entering into interstate commerce,” said James Burch II, spokesman for the U.S. Department of Justice.
“It’s a powerful tool for states, law enforcement and consumers.”
By logging into the system, consumers can access information about a car including:
» Current and previous state of the title;
» Title issue date;
» Most recent odometer reading;
» Any brands applied to a car, such as junk, salvage and flood;
» Any auto recycler or junk or salvage yard history;
» Any insurance company salvage determination history, including “total loss.”
The system aims to protect consumers from buying fraudulently titled cars or unsafe vehicles that were damaged in collisions or floods, according to the department.
Until now, state titling agencies did not have access to other states’ data, making it easier to “brand wash” damaged vehicles by transferring them to another state and selling them under a purportedly clean title, according to the department.
After Hurricane Katrina, truckloads of flooded vehicles were transferred from Louisiana to states nationwide where they were dried and cleaned for sale to unsuspecting consumers, according to the department.
And in the first six months of 2008, more than 185,000 titles that were initially branded as “junk” or “flood” in one state, were transferred and retitled in a second state under a clean title, according to Experian Automotive.
The system, however, creates a nationwide network linking data from law enforcement and state titling agencies in all states.
It also gives law enforcement a new tool to combat criminals who steal about 1.3 million vehicles nationwide each year and resell them with new titles obtained with fake vehicle identification numbers.
The trend is known as “VIN cloning” because criminals steal a legitimate vehicle identification number from one car and use it to obtain a title for the stolen vehicle.
Currently 27 states participate in the system, not including Maryland, but all states are required to be fully participating by Jan. 1, 2010, according to the department.
For further information on accessing NMVTIS, visit nmvtis.gov.
