Mileage Fraud In Used Cars: What Buyers Need to Know
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Odometer tampering, or “mileage rollback,” is a widespread problem in Malaysia’s used car market. Industry insiders say more than half of used cars sold could have altered mileage readings, making them appear less used than they truly are. This practice misleads buyers and can lead to costly repairs soon after purchase.

How Odometer Tampering Happens

Automotive influencer and Johor-based used car dealer “Bro Wong” estimates that at least 70% of used car dealers manipulate odometers. Some use computerised devices to manipulate odometers, with mechanics charging dealers or car owners anywhere from RM50 to several thousand ringgit, depending on the vehicle.

By reducing the mileage, dealers can buy high-mileage cars cheaply and resell them for much higher prices. Cars with more than 100,000km on the clock are rarely listed on online marketplaces, even for older models. 

To make these vehicles more appealing, sellers often carry out cosmetic upgrades such as fresh paint, new body kits, and updated accessories, making it difficult for even experienced dealers to detect problems.

Why Mileage Fraud Persists

Low mileage is a key selling point for many buyers, who believe it means the car has more “life” left. According to Bro Wong, this demand encourages dishonest sellers to tamper with readings.

A used car dealer, speaking anonymously, described odometer tampering as an “open secret” in the industry. Imported and reconditioned cars are harder to alter, as buyers can verify their mileage with official records, but locally sold cars remain vulnerable.

How to Spot a Rolled-Back Odometer

Federation of Motor and Credit Companies Association of Malaysia president, Datuk Tony Khor, says visible wear-and-tear can reveal a car’s true age. Signs include a shiny steering wheel where hands usually rest, smooth brake pedal rubber, and worn driver’s seat cushions.

For cars under five years old or with less than 100,000km, buyers should verify mileage with the manufacturer’s service centre. Full service records, including tyre changes, often reveal the true mileage.

If an older car claims unusually low mileage, such as 30,000km despite obvious wear, it should raise suspicion. Khor advises avoiding such cars, noting that tampering is illegal and requires technical expertise to carry out.

Warning Signs from the Workshop

A car mechanic, who only wanted to be known as Ng and has repaired many recently purchased used cars, said some arrive in poor condition within weeks. Temporary fixes may conceal serious issues, leading to repeated breakdowns. Common red flags include rough engine start-ups, rattling noises, unstable idling, and thick white exhaust smoke.

Consumer Association of Penang president, Mohideen Abdul Kader, adds that buyers often face dashboard faults, air-conditioning problems, and engine failures. He advises avoiding deals that seem “too good to be true” and prioritising cars with consistent maintenance records from authorised service centres.

New Measures to Combat Mileage Fraud

The Federation of Motor and Credit Companies Association is developing an AI-based system to read mileage directly from a car’s engine control unit. Expected next year, this technology aims to make it harder for unscrupulous sellers to alter readings without detection.

Protecting Yourself When Buying a Used Car

Before committing to a purchase, inspect the car thoroughly, check service history, and verify mileage with the manufacturer when possible. A small investment in a trusted mechanic’s pre-purchase inspection could save thousands in future repair costs.

If you are considering financing your next vehicle, ensure you are getting the best deal available. Compare your options with the RinggitPlus car loan tool.

Follow us on our official WhatsApp channel for the latest money tips and updates.

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