$70,000 SUV Stolen Through Identity Fraud at Rhode Island Dealership

How the fraudster operated:
A Rhode Island man used a stolen identity to finance a brand-new SUV from a dealership. After obtaining the personal information of an unsuspecting victim, the fraudster presented himself as the buyer, passed the dealership's basic ID checks, and secured financing for a vehicle worth over $70,000. He successfully drove off with the vehicle under the victim’s name, leaving the actual buyer unaware—until debt collectors started calling.

What red flags were missed:
Despite the high value of the vehicle and the large loan involved, the dealership and lender failed to spot the fraud. The fraudster likely used authentic-looking documentation, and no advanced identity verification was in place to cross-reference with credit bureaus or phone carrier data. It’s unclear whether the dealership even performed a true identity check beyond visual ID inspection.

Who paid the price:
The innocent victim’s credit was severely damaged, and they were left to dispute the fraudulent account. The lender may have to absorb the financial loss if the vehicle is unrecovered or damaged, and the dealership risks reputational harm and chargebacks.

What could have stopped it:
More robust identity verification during the credit prequalification process could have stopped this fraud before it started. Tools that match phone numbers, credit bureau data, and government-issued IDs in real time could have flagged the fraudster before financing was approved.

💡 VeriQual Insight

At FlexPath, we’ve seen this exact pattern play out far too often. That’s why VeriQual™ was built as the first line of defense—not just to prequalify leads but to verify identities before a credit pull even happens. By confirming the consumer's identity at the point of first contact, we help prevent fraud before it ever reaches the F&I desk.