by Dominic Sacco

Car owners are being warned of fraudsters targeting log books to scrap stolen cars and receive a £2,000 scrappage bonus.

Scammers use the books – properly known as V5C documents – as proof of ownership to exploit the scrappage scheme.

After a V5C is stolen, the criminal alters the identity of a stolen vehicle to match the details on the document. This is known as cloning.

Once the clone has been traded in, the fraudster drives away in a new car with a £2,000 discount and the unsuspecting dealer is left out of pocket.

Vehicle information experts HPI have warned the new scrappage incentive scheme makes stolen V5C documents an even greater asset for the fraudster.

Daniel Burgess, Director of Automotive said: “We have a concern that used car criminals will use stolen V5Cs to prove they’ve been the registered keeper of a vehicle for at least 12 months, in a bid to make the most of the scrappage scheme.”

Under the scrappage scheme, cars and vans registered for at least 12 months by a UK resident are eligible for scrapping.

The vehicle must also have been first registered in the UK before July 31, 1999, have tax and an MOT (or be declared as off the road) and weigh less than 3.5 tonnes.

How to keep your V5C safe

1. Keep your document in a safe place at home – a locked desk or safe is a good idea
2. Avoid handing out your V5C by email
3. If you’re selling your car, don't let the V5C out of your sight

What dealers should check

Dealers can follow these steps to stay safe:

• Watch out for V5Cs with a tear-off slip which is mauve on the front and pink on the back – legitimate documents are mauve on both sides
• Check the vehicle identity number (VIN) in the car matches the VIN in the V5C document
• Look at the other vehicle documents and check the mileage adds up
• Check the person’s ID and confirm their personal details including their address
• Make sure these details match those on the V5C document
• Ensure the V5C serial number is present and doesn’t fall within the following ranges:

BG9167501 to BG9190500
BG9190501 to BG9214000
BG8407501 to BG8431000
BG9282001 to BG9305000

To check the validity of a registration certificate call the DVLA on 0870 241 1878.