The odometer disclosure statement serves to protect against odometer fraud.

• A. True
• B. False
• C. Not applicable
• D. Only when financing a vehicle

Answer: (A)

Odometer disclosure statements are a safeguard built into the sale or transfer process to curb odometer fraud. When a vehicle changes hands, the seller must disclose the odometer reading, creating a verifiable record of the mileage at the time of transfer. This record helps protect buyers from mileage tampering and gives authorities a trail if someone tries to roll back miles. Because this disclosure is a standard part of transferring ownership and is required by federal and state laws in many situations, it applies broadly and isn’t limited to financing. That’s why the statement that it serves to protect against odometer fraud is correct. It isn’t limited to being required only in financed transactions, nor is it not applicable in typical sales.