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Car Title Mechanics Lien

How the scam works:

(with video below) There are car title recovery companies that are legitimate and have the backing of the Federal Government. Unfortunately, there are also scammers out there.

A mechanic's lien paperwork is designed for a garage to receive the title for a car that has been left at the garage, repairs are unpaid, and storage fees are mounting up. The mechanic's shops signs under oath that they hold the car and will release it when the bill is paid. What scammers do is receive the title and keep the car.

Watch the video below to see in action the Car Title Mechanics Lien Scam exposed:

Car Title Mechanics Lien Scam Video

The process of obtaining a title illegally is fairly straightforward and seems legitimate. The mechanic's shop fills out the paperwork, claims that everything was filed promptly and asks you for a $1000 search fee. You are told that it may take up to six weeks to receive the car title. No matter how long you wait, however, you will probably never receive the title – and if you do, it won't be legal.

The Secret Service is the department of the Federal Government that investigates reported scams and raids those scams. One particular mechanics shop in Indianapolis held over 300 cars that had fraudulent titles. The shop sold some of the cars, kept the cash and turned over illegal titles to new owners.

The Federal Government seized control of many of these cars and still holds them. In some cases the new owners of these cars were also prosecuted; they knowingly signed fraudulent paperwork. The legitimate victims are still working to regain their cars.

what is a lien on a car

 

How to avoid the Car Title Mechanics Lien scam:

When you obtain a title by using a shop that has you fill out a mechanic's lien, know that you will eventually lose your car, face possible prosecution and jail time. What you gain is an illegal title. It doesn't matter if you unknowingly signed the mechanics lien paper work, you have taken possession of the car and the title illegally.

When the Secret Service gets involved in an investigation concerning scams, you should know the situation is not good and the results will go against you.

It is wise to do some investigating before you fill out paperwork to get your title. Read the fine print to determine if you are signing a mechanic's lien or a legitimate lien search and recover document. Do call the authorities if you feel the process you are going through seems "wrong."

If you allow the scammers to obtain your title, you will pay a high fee to recover a title, the paperwork will not be filed, and you will find yourself minus a car and the $1000 fee.

You can also educate yourself about selling a car with a lien by researching online. The Internet is full of advices from legitimate sources.

 

How to report the Car Title Mechanics Lien scam:

Make your family and friends aware of this scam by sharing it on social media using the buttons provided. You can also officially report the scammers to the Federal Trade Commission using the link below:

Report To The FTC Here

 

How to protect yourself more:

If you want to be the first to find out the most notorious scams every week, feel free to subscribe to the Scam Detector newsletter here. You'll receive periodical emails and we promise not to spam. Last but not least, use the Comments section below to expose other scammers.

 

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