We have seen it all at CFF since we have financed truckers for over 27 years.

But since the pandemic, the fraudsters have come out in full force. As a quick reminder to our clients, here are some top scams to watch out for in 2023.

Fraudulent Equipment:

Because the equipment was hard to find during the pandemic, CFF saw increased fraudulent equipment represented and sold. Make sure to physically inspect the equipment you buy before you sign any paperwork. Double-check the VIN, test drive the equipment and make sure that all of the repair work that is stated actually happened.

Beware of equipment “flippers”:

Truck and equipment “flippers” came out of the woods over the last few years. This can be determined by too many reassignments on the back of the title of the equipment you are looking to purchase.

Typically, you will see a selling dealer or owner as the last name on the title. They will then assign the title to you. Beware of too many names on the back of the title. When this happens, you may not be purchasing a clean title, or repairs may not have been done because the last owner was trying to flip the truck for a quick profit.

False Claims of Damage or Injury:

Scammers may stage an accident and then accuse the truck driver of causing damage or injury to them. They may demand payment for damages or threaten to sue.

Cargo Theft:

Truckers may be lured into carrying fake or stolen cargo, resulting in criminal charges or loss of their own cargo.

Identity Theft:

Scammers may obtain a trucker’s personal information, such as their Social Security number or driver’s license, and use it to open credit accounts or commit other fraudulent activities.

Fuel Theft:

Thieves may steal fuel from a trucker’s vehicle or charge for more fuel than what was actually pumped.

False or Misleading Job Offers:

Some companies may advertise trucking jobs that don’t exist or promise pay rates that are too good to be true.

Overcharging for Services:

Some service providers, such as truck stops or repair shops, may overcharge truckers for services or products.

Payroll Fraud:

Some trucking companies may not pay their drivers fairly or may misclassify them as independent contractors to avoid paying benefits or taxes

Freight brokers are intermediaries between shippers and carriers, playing a vital role in the trucking industry. However, there are several scams that truckers and shippers should be aware of when using freight brokers:

Non-payment:

Some freight brokers may accept loads but fail to pay the carrier for the services rendered. This scam can leave truckers with a significant financial loss and harm their business.

Double-brokering:

This happens when a freight broker accepts a shipment from a shipper and then passes it on to another freight broker, who then assigns the shipment to a carrier. This can result in confusion, delays, and, ultimately, non-payment.

False or misleading information:

Freight brokers may provide false or misleading information about the shipment, such as the weight or type of cargo. This can lead to disputes, delays, and even fines or penalties for the carrier.

Hidden fees: Freight brokers may charge hidden fees, such as administrative fees or fuel surcharges, which can significantly reduce the carrier’s profits.

Bait and switch:

This scam occurs when a freight broker offers a high-paying load to a carrier but then switches it to a lower-paying load at the last minute.

To avoid these scams, carriers, and shippers should carefully vet freight brokers before doing business with them. They should check the broker’s reputation, verify their license and insurance, and ask for references. Additionally, they should read the contract carefully and make sure all terms are clearly defined and understood.

We hope this information helps you grow your fleet safely!

Let us use our 27 years of experience to guide you through purchasing your next truck or equipment. Click the Apply Now button below to get prequalified and find out what options we can offer you.

About Commercial Fleet Financing, Inc.:

At Commercial Fleet Financing (CFF), our pros have given smart advice to fleet owners and owner-operators in the transportation, moving, towing or construction industries for more than two decades. With CFF, finding the right financing solutions is a phone call away and most borrowers secure commercial vehicle financing with ease. To talk directly with one of our finance pros and get started with credit approval in as little as two hours, CFF’s phone number is (469) 281-2962.

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