Say no to car finance fraud - its bad!

Car finance fraud cases have grown by 17% in the first 3 months of the year. The Finance & Leasing Association  (FLA) have released the figures just in time for the start of Car Crime Awareness week.

This rise has mainly been caused by first party fraud, where people are taking out finance for other drivers, parents for children being the best example, as well as the sub hiring financed vehicles where someone finances a car and hires it out to make a profit.

There have been 230 cases of car finance fraud in the first quarter of 2011 worth £3.8m, with many more discovered and halted by the lenders at the stage of application.

As people gain more bad credit, you can see more car finance fraud cases are going to happen. People should be made more aware of the legal ramifications of car fraud and maybe the laws changed to give heavier punishment to people putting cars on finance for friends and family members!