The FLA timed its most recent release of fraud figures to
coincide with the beginning of Car Crime Awareness Week – and the
decision seems to have paid off, for local press titles all over
the country seem to have become hyperaware of the levels of motor
finance fraud going on within their area of coverage.
“Car crime is rampant in
Motherwell” warned the Lanarkshire-based Wishaw Press this
month, upon learning the town sat only behind London, Manchester
and Glasgow in terms of finance fraud levels.
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Motherwell, with a population
between 30,000 and 60,000, generated more reported fraud cases in
the first quarter of 2011 than either Birmingham or Newcastle.
When quizzed on the reason for
this, the FLA offered that “proximity to major crime centres” had
influenced the statistics, with criminal gangs from nearby Glasgow
branching out to find new dealerships to target.
While this magazine has frequently
discusses the idea of “rate for risk” products in car finance,
perhaps these new statistics might suggest the industry should
adopt a “rate for Motherwell” product, offering Wonga-like rates of
interest in order to mitigate the sheer fraud risk of lending in
the Wishaw area.
Elsewhere in the UK, however, there
was good news – in Bradford, to be precise.
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By GlobalData“Car finance fraud has dropped
dramatically in Bradford after police targeted cheats” trumpeted
the town’s Telegraph & Argus, celebrating news it had
dropped out of the FLA’s top 6 motor fraud hotspots (to be replaced
by Motherwell, no doubt.)
Detective Inspector Steve Taylor
said in the local title that fraud had been cut by police targeting
high-value vehicles, stopping drivers, and asking how they had
financed their wheels, resulting in a number of people being
arrested on suspicion of money laundering.
Bradford residents commenting online were typically jubilant,
with user Patrick Bateman seeing the bright side: “What do you
reckon the chances are of our insurance premiums reducing as a
result of this ‘dramatic’ fall? Knack-all, or bugger-all?”
