Is Your Odometer Cheating You?
If Found To Be Too Fast, It Can Affect Warranty, Lease Fees, Resale Value
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Odometers Found Faulty
The mileage on a vehicle's odometer affects warranty coverage, lease fees and resale value. But some carmakers are being accused of designing cars with defective odometers. Mark Strassmann reports.
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Some Hondas have been found to have faulty odometers that clock distances to quickly. The company agreed to extend warranties on 6 million cars and reimburse owners for out-of-pocket repairs and lease fees. (CBS/The Early Show)
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The Early Show tested four other cars and found that the Nissan Altima also had a speedy odometer. (CBS/The Early Show)
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Some automakers are being accused of cheating owners out of thousands of miles by designing cars with defective odometers.
Sharon McQuiston bought her Honda SUV for its high numbers in gas mileage, resale value and reliability. But she soon found that some of her Honda's numbers were running too high.
"The reputation of Honda is so, so great," she told CBS News correspondent Mark Strassmann."I feel cheated in that, I'm being cheated out of miles that I haven't driven."
While McQuiston's odometer says she's driven 25,000 miles, she has really gone 500 miles less. Her car is one of millions of Hondas with faulty odometers that rack up miles too fast.
"They were accelerated, they registered more miles than the car actually traveled," attorney James Holmes said.
Holmes has tested the odometers in many Honda models and says on average, they run 2 percent fast. While that doesn't sound like much, it makes a big difference.
"Over the lifetime of your car, or the lifetime of your lease or your warranty, you're talking about hundreds of thousands of miles that are being stripped off of those cars that they've never been driven," Holmes said.
To prove the point, we compared Sharon's Honda to an SUV that had an accurate odometer.
Each vehicle was driven 10 miles according to its odometer and then stopped. The Honda odometer clocked 10 miles before the distance was actually met.
"You can see the distance is over 1,000 feet between these two vehicles, this distance is distance that Honda owners bought and paid for, but never received," Holmes said.
In a class action lawsuit, Holmes charged Honda with fraud, claiming the company actually designed their odometers to run too fast.
"It shortened the warrantees, it shortened the lease contracts, it increased the lease mileage penalties that customers pay — and as a result, Honda was able to generate and save millions of dollars," Holmes said.
Honda says the error was an accidental oversight in 2002 through 2006 models and has made new models more precise. In a settlement, Honda agreed to extend warranties on 6 million cars and reimburse owners for out-of-pocket repairs and lease fees. It cost Honda millions of dollars.
But the case has raised the question: How accurate are the odometers in other brands of cars? To find out, CBS News put four popular makes to the test: Toyota, Ford, Chevy and Nissan.
Jim Smith, who works for the Society of Automotive Engineers — the group that sets voluntary odometer standards — tested the cars. First, he checked tire pressure, filled up the tanks and hit the road on a 40-mile trip. Smith used a GPS to track the real mileage and measure each odometer's margin of error.
In the end, the Ford Taurus, Chevy Impala and Toyota RAV4 all passed. But the Nissan Altima's odometer ran over 2 percent fast, which was unacceptable to Smith.
"Two percent with new tires, I start to get suspicious," he said.
So did James Holmes. He found the same odometer error in 10 Altimas and has filed a new class action suit against Nissan.
"I expect that we'll find that they knew about the problem and made a decision not to correct it," Holmes said.
Nissan declined to comment, but in court documents, the company denies its odometers are designed to be inaccurate — and says they meet all industry standards.
Holmes is on a crusade to expose faulty odometers in car makers so consumers like McQuiston get every mile they pay for.
Honda's odometer settlement includes all 2002-2006 Honda and Acura models, and some 2007 Honda models. For more information about the settlement and whether you qualify, log onto HondaOdometerClassAction.com.
For information about the Nissan odometer class action lawsuit, contact attorney James Holmes at JamesHolmesLaw.com or EagerOdometers.com.
© MMVII, CBS Interactive, Inc. All Rights Reserved.



Where is the truth in advertising?
But BFD, 500 miles inaccuracy on 25,000??? I hardly believe those mechanical older type odometers were very accurate either- the things were never designed to measure distances by the inch peoeple- they were to give the driver an idea of the distance they travel and speed within a few mph.
Why wasn't this picked up by the agencies that have been checking on the MPG standards?
Why wasn't this picked up by the agencies that have been checking on the MPG standards?
I have heard many complaints recently. I purchased one in August 06 and I already have 10,000 miles on it and I don't really understand why...
nscastillo: Probably just a Japanese con.
There is no difference between turning the odometer back by a cheating used car dealer or a new car company installing a 'micro-program' in their on-board computer to increase the mileage.
The odometers should be checked by the government, the same as impact crash ratings. Why? It's fraud!
I got a whopping 2 cents, the law firm in the case got millions, whose the winner the consumer? LOL
Guess what, the problem ain't the mile markers. Gasp! The auto industry trying to squeeze consumers for more money and no honoring warranties! That's actually pretty believable.
Who's to say the dealership can't get their service guy to tweak the odometers either? Dealerships make most of their profit off of warranties.
For Xmas we received a GPS which indicated 75mph when the speedo showed 80mph. I called the BMW dealer (in Reno) and they basically blow me off.
With the (roughly) 7 percent error, and based on 15k miles a year over the three year lease term,ths will cost me $600, which, I suppose, BMW expects me to eat. See you in court BMW
Now, how about the rest of you? Are you going to wait for a "Consumer Action Group" to tell you that you are getting 475 sheets of Charmin in a roll but you should be getting 500 or are you going to start checking for yourselves? It is now time for you to take back your country!! And push for Bush to be kicked out of office - corporate welfare scum!!
YOU ARE AMERICANS AND THIS IS AMERICA - LEARN IT, KNOW IT, LIVE IT!! (Thank you Spicoli)
I will be testing the odometer in my 2006 Dodge Charger and possibly my 76 Dodge Monaco over the next 30 days and will be posting the results on my MySpace site at - http://www.myspace.com/76monaco06charger
Time to also grab that roll of Charmin and call my congressman (assuming I have 10 grand for him and a timeshare in Tahiti otherwise I'm invisible).
To be honest with you, I had always assumed this was some sort of passive-aggressive safety ploy by the manufaturers to make us ride slower than we thought we were.
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by alohanuiloa1
March 14, 2007 6:11 PM PDT
- I cannot believe that I am not going crazy! I truly thought i was after leasing a 2007 Dodge Caliber when living in Hawaii. I recently left and turned the car in and although was well under the mileage to turn in , found that within a week it seemed like another 1,000 miles added onto the odometer.. I kept thinking something is wrong.. i live on an ISLAND!
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See all 47 CommentsFunny thing is one time i was mentioning it to my brother who lives in NH and purchased a Caliber last September..and he said the same thing. He cannot imagine how so many miles are racking up on his car! I dont know if any further investigation is being done, but if anyone wants another odometer to check into ..the dodge caliber is it!