A \u201cnot actual mileage\u201d brand on a vehicle\u2019s title means the exact mileage of the vehicle is unknown.<\/p>\n\n\n\n
QUICK LOOK<\/span><\/span><\/div>\n\n
- If you see \u201cNot Actual Mileage,\u201d \u201cN,\u201d or \u201cNAM\u201d written on the back of a car\u2019s certificate of title, it could mean that the odometer was replaced or broken.<\/li>\n\n\n\n
- It could also mean that someone intentionally tampered with the odometer to change the mileage of the vehicle.<\/li>\n\n\n\n
- Once this brand is added to a vehicle title, it can never be removed\u2014even if you apply for a new title.<\/li>\n<\/ul>\n<\/div><\/blockquote>\n\n\n\n
What does it mean for a title to say \u201cnot actual mileage?\u201d<\/h2>\n\n\n\n
Odometers are often key in determining the value of used cars. They indicate how many miles the car has traveled\u2014and help potential buyers determine how many miles more the vehicle might last.<\/p>\n\n\n\n
Different odometer designations may be found on the back of a used vehicle\u2019s title, one of which is \u201cnot actual mileage.\u201d The Not Actual Mileage designation\u2014sometimes written as (N) or NAM\u2014indicates that the vehicle\u2019s exact mileage is unknown and the odometer reading may be misrepresenting its true mileage.<\/p>\n\n\n\n
How this happens:<\/strong> There are a couple of circumstances that could result in an odometer discrepancy:<\/p>\n\n\n\n
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- The odometer was formerly replaced and now incorrectly displays the vehicle\u2019s mileage<\/li>\n\n\n\n
- The odometer broke, maxed out, or returned to zero, and remained broken for a period of time (or remains broken)<\/li>\n\n\n\n
- The odometer was intentionally rolled back to hide the vehicle\u2019s high mileage (if proven, this is a violation of federal law)<\/li>\n\n\n\n
- The mileage was recorded incorrectly on the odometer disclosure statement due to human error<\/li>\n<\/ul>\n\n\n\n
Important note:<\/strong> If you notice a \u201cnot actual mileage\u201d brand on a used vehicle\u2019s title, you should know that it\u2019s a permanent brand that cannot be changed and it could have consequences for the vehicle\u2019s resale value.<\/p>\n\n\n\n
\u201cTrue mileage unknown\u201d means the same thing as \u201cnot actual mileage\u201d<\/h3>\n\n\n\n
The designation of \u201ctrue mileage unknown\u201d (sometimes abbreviated as TMU) is essentially just a nicer way of saying that the vehicle\u2019s mileage history is inaccurate. Both terms describe vehicles where the mileage is misrepresented or when there\u2019s evidence that a vehicle\u2019s odometer was tampered with or replaced.<\/p>\n\n\n\n
How a not actual mileage title affects the value of a used car<\/h2>\n\n\n\n
In most cases, a \u201cnot actual mileage\u201d brand reduces the value of a vehicle, but there are still ways you can determine whether you should make the purchase.<\/p>\n\n\n\n
Doing your due diligence on a used vehicle by requesting a CARFAX report and having a pre-purchase inspection done can help you make a more accurate estimate of a vehicle\u2019s actual miles\u2014and better determine its true value.<\/p>\n\n\n\n
Risks and benefits of buying a car with a TMU or NAM title<\/h2>\n\n\n\n
The big question:<\/strong> Should you buy a vehicle with a title that says \u201cTrue Miles Unknown\u201d or \u201cNot Actual Mileage?\u201d As with any used vehicle purchase, it\u2019s a bit of a gamble, so it\u2019s important to mitigate the risks associated with buying a vehicle with incorrect mileage.<\/p>\n\n\n\n
Here are a few steps to take before buying a vehicle with a \u201cNot Actual Mileage\u201d brand:<\/p>\n\n\n\n
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- Try to find the origin of the issue.<\/strong> Get a vehicle history report. Chances are, you just might notice an odometer recording that drastically mismatches the rest of the vehicle\u2019s record, making it easier for you to estimate where things went wrong (and get an idea of the vehicle\u2019s true mileage).<\/li>\n\n\n\n
- Have a pre-purchase inspection done.<\/strong> This could help you identify any possible problems or necessary maintenance that its odometer reading may otherwise not reveal. Because vehicles with \u201cnot actual mileage\u201d or \u201ctrue mileage unknown\u201d titles are undervalued, you could get a great deal on a valuable car.<\/li>\n\n\n\n
- Take your time: <\/strong>Not every \u201cnot actual mileage\u201d vehicle is a winner\u2014which is why it\u2019s important to do your research before making any purchases. If you wind up purchasing a vehicle that you believe was misrepresented by the seller, you\u2019ll have a tough time proving your case in court, since most states require solid proof of damage.<\/li>\n<\/ul>\n\n\n\n
Even if you\u2019re comfortable with the vehicle as it is, you could face other challenges when it comes to finding insurance<\/a> or financing the vehicle. Branded titles often come with associated risks that cause insurance companies to raise their rates, and loan providers may be reluctant to offer financing on vehicles that lack a clean title.<\/p>\n\n\n\n
Another con? If you ever decide to resell the vehicle in the future, you\u2019ll also face a lower resale value as a result of the odometer fraud\u2014and you may even have difficulties finding a buyer.<\/p>\n\n\n\n
Key Takeaway:<\/span>You may be able to get a not actual mileage vehicle for a cheap price, but the vehicle could be seen as risky to finance or insure.
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