Recently, catalytic converter theft has been on the rise, impacting used cars across various regions. For example, in Southeast Texas, Houston police discovered a stash of stolen car parts valued at over $14,000. Most of these parts were catalytic converters, which were stolen from unsuspecting motorists. These parts are especially vulnerable in larger vehicles like delivery trucks and pickups, but thieves can target almost any vehicle if the undercarriage is accessible.
This issue is not unique to Texas. In Los Angeles County, there was a 400% surge in catalytic converter thefts in 2020. A recent investigation in LA led to the recovery of about 250 catalytic converters worth around $750,000, with nearly 20 people arrested in connection to the thefts.
To prevent such thefts, authorities recommend parking in well-lit areas covered by surveillance cameras. Additionally, welding the bolts on catalytic converter flanges and engraving license plate numbers on these parts can make theft more difficult.
Why Are Catalytic Converters Targeted?
The spike in catalytic converter theft boils down to simple economics. Thieves can easily and quickly remove these parts from used cars, and they can sell them at high prices to salvage yards. The converters contain valuable precious metals like platinum, palladium, and rhodium, which are in high demand. Some metal recyclers are willing to overlook the source of these converters, even when thieves bring in large quantities.
For thieves, it’s easy money. Recyclers pay anywhere from $85 to $500 per catalytic converter, while the cost to replace one can be much higher.
How Theft Impacts Used Cars in Ontario
For vehicle owners, having a catalytic converter stolen is both costly and inconvenient. While comprehensive car insurance often covers the theft, the owner still has to pay a deductible. Additionally, once a car has been targeted, it may be vulnerable to repeat thefts. One business reported having the same vehicle’s catalytic converter stolen six times in one year.
In some regions with lax emissions laws, car owners might skip replacing the stolen part with another converter and instead install a straight pipe. This can create problems when it comes time to sell or trade in the vehicle. Even used car managers can be caught off guard by cars with straight pipes instead of catalytic converters, causing headaches at auctions or during trade-ins.
At Greasemonkey Inspectors, we help you avoid such issues by providing comprehensive pre-purchase vehicle inspections. Our thorough inspections include checking the undercarriage, so problems like missing catalytic converters won’t go unnoticed. Every inspection also comes with a detailed history report, offering peace of mind when buying a used car. Learn more about Greasemonkey Inspectors and how we ensure you get the most reliable inspection for your next purchase.
Hidden Issues in the Used Car Market in Canada
Inspecting the undercarriage of a car during a traditional appraisal can be challenging. Used car managers may check the instrument panel for warning lights or assess the interior and exterior for damage, but spotting undercarriage issues like a stolen catalytic converter often requires a more detailed look. This makes buying used cars in Ontario or used cars in Canada riskier if a thorough inspection isn’t performed.
Dealerships can take a significant financial hit if they miss such issues. NADA Data from 2019 reports that the average gross profit for used vehicles was $2,354 per unit. Absorbing the cost of a new catalytic converter, which can be as high as $1,500, drastically cuts into that profit. A solution some dealerships consider is performing on-hoist inspections for every trade-in. While this can catch issues like missing catalytic converters, it’s often impractical as appraisals frequently happen outside of service department hours.
Conclusion
Avoid costly surprises when buying used cars in Canada by choosing Greasemonkey Inspectors for a thorough pre-purchase inspection. Our on-site service ensures you get a detailed look at the vehicle, including the often-overlooked undercarriage. Plus, with every inspection, we provide a history report, so you have all the information you need to make an informed decision. Check out our inspection packages to see how we can help you make a safe and sound purchase.
