Odometer Fraud in North Carolina: What Are the Penalties?

In December of 2025, ABC News warned North Carolina residents about the rising rates of “odometer fraud.” This type of fraud involves manually “rolling back” the odometer on a vehicle before selling it to an unsuspecting buyer. What can you do if you face allegations of fraud in North Carolina? Can a criminal defense attorney help in this situation?

Odometer Fraud Has Become Extremely Common

According to recent reports, almost 2.5 million vehicles on the US market today have “rolled-back” odometers. The issue is extremely common, and it seems to be increasing with each passing year. Scammers can carry out this fraud in a matter of seconds with relatively simple techniques. One report by CARFAX states that North Carolina ranks tenth in the nation for odometer fraud.

Examples of Odometer Rollback Schemes in North Carolina

Sometimes, these rollback schemes are carried out by private sellers. In other situations, car dealerships attempt this with multiple vehicles over an extended period of time. Last year, two men running several car dealerships across the state faced “hundreds” of criminal charges in connection with an ongoing rollback scheme. The DMV states that these two men rolled back millions of miles, costing buyers almost $250,000.

Another recent incident involved a man who bought a used minivan in Charlotte before discovering its odometer had been rolled back by the seller. At the end of this report, the author recommends that victims report odometer fraud to the North Carolina Attorney General’s Office.

Odometer Tampering Laws in North Carolina and the United States

Tampering with an odometer is a federal offense due to the Truth in Mileage Act of 1986. Under this law, you may face serious financial penalties for tampering with an odometer. Criminal penalties may also be possible, especially if your fraud occurs over an extended period of time with multiple vehicles. This is why the aforementioned car dealership managers faced hundreds of separate criminal charges.

Odometer fraud is a classic example of “obtaining property by false pretenses.” As long as you lie or deceive someone in order to gain something of value (like more money for a car you want to sell), you could face criminal charges.

Selling a single vehicle with a rolled-back odometer will almost certainly lead to potential Class H felony charges. The maximum penalty for a Class H felony is 25 months behind bars, although probation is also possible. If you carry out a rollback scheme on a large scale, the total losses for buyers might be over $100,000. If this is the case, you may face a Class C felony and up to 20 years in prison.

Can a Criminal Defense Attorney in North Carolina Help Me?

A white collar crime lawyer in North Carolina may be able to help if you face allegations of fraud. While rolling back the odometer on a vehicle before you sell it might seem like an innocent way to make a few extra bucks, it can lead to very real criminal consequences in the Tar Heel State. Consider discussing potential defense strategies with The Pritchard Firm today.

Sources: 

witn.com/2024/02/07/dmv-uncovers-odometer-rollback-scheme-dealerships-greenville-washington/

wcnc.com/article/money/consumer/odometer-rollback-scam-money-car-selling-buyer-carfax/275-2184bae8-edb4-437f-98f5-8deac20c5579

abc11.com/post/warning-nc-drivers-odometer-fraud-rise-costing-used-car-buyers-thousands-free-carfax-check-can-save-headaches/18292852/