19 Oct 16

Study confirms: Car-Pass virtually eradicates mileage fraud

It has often been claimed that Car-Pass, the anti-mileage-fraud system introduced in Belgium exactly 10 years ago, is extremely effective. A study conducted by PwC now confirms the claim: Car-Pass has almost completely eradicated mileage fraud from Belgium’s second-hand car market. 

The system's efficacity also has had a remarkable effect on consumer attitudes: Belgian second-hand car buyers implicitly trust Car-Pass, and no longer doubt the accuracy of the mileage of used vehicles. Increased confidence in the used-car market has strengthened the market, benefiting industry players. Mission accomplished for the association that launched Car-Pass in 2006 – despite the fact that this target seemed unachievable back then. 

Some notable side-effects of Car-Pass, 10 years on:
→ Thanks to Car-Pass certification, prices on the Belgian used-car market better reflect the real value of the vehicles. 
→ The main effect of Car-Pass has been in sales to private consumers, as was the system’s aim. Private buyers report increased transparency, credibility and professionalism. 
→ Car-Pass has also had an indirect impact on other forms of fraud, again strengthening consumer confidence – and increasing the sector’s growth potential. 

For now, the positive effects of Car-Pass are limited to Belgium. The Car-Pass Association has been working for a number of years now towards a similar EU-wide system. While the Association applauds the EU directive calling for the legal prohibition of mileage fraude, it takes the view that this is insufficient. Mileage fraud will only be eliminated by the introduction of a system like Car-Pass, which mandates the regular registration of vehicle mileage readings from its first year on the road, as well as check-ups on relevant parts of the vehicle. 

As part of the PwC survey, consumers and industry players have proposed a number of improvements to Car-Pass, which will be evaluated and acted upon in relation to the added value that they can offer. 

Image: public domain

Authored by: Frank Jacobs