Auto warranty scams keep on plaguing car buyers despite the legal authorities’ efforts to crack down on the scam. If you recently received a call or email from a scammer who presents himself as the manufacturer’s or dealer’s representative and claims that your auto warranty is about to expire, watch out! Most likely you are going to be taken by an auto warranty scam.
What scammers actually do is trying to sell “service contracts” to consumers that do not provide benefits to car buyers. The process begins with a call-often automated or pre-recorded-requesting you to provide personal information. Consumers usually take the bait and share their personal information. Scammers use this information later to assure you they are a legitimate caller.
The key point is that, when you purchase manufacturer’s warranty, you can rest assured that your car will be repaired with original parts at a certified repair shop in the event something goes wrong with your car. Conversely, third-party warranty providers, often presenting themselves as manufacturer’s representatives, do not offer essential coverage for car repairs, leaving the customers high and dry.
So, for the most peace of mind, if intend to buy an extended warranty, you should buy the factory extended warranty directly from the car’s manufacturer. It might be a little more costly compared to the third-party warranty, however, it is pretty more trustworthy.
Tips to Protect You From Auto Warranty Scams
Scammers employ well-planned and cunning techniques to dupe car owners into falling for warranty extended warranties. Here are some tips to help you spot auto warranty scams in time and protect yourself from being defrauded by dishonest car scammers:
- Be extremely cautious whom you give your personal information. Scammers master their job perfectly and can imply that they work for your manufacturer. Yet, unless you verify you deal with a legitimate company, do not provide any personal info, such as your social security number, credit card information, driver’s license number or bank account information.
- Crank up the pressure. Scammers practice high-pressure sales tactics to impose extended warranties onto consumers. For example, they may offer you an only one-day deal. Note that any caller that pressures you to make a quick decision must be viewed with a healthy dose of skepticism. You can ask the caller to send you a written copy of the terms and conditions before making a final decision.
- File a complaint with the FCC. It will help to identify scammers and take appropriate actions to prevent auto warranty fraud.
- Speak to an experienced auto fraud attorney. Generally, it is wise to contact a skillful auto fraud attorney on the assumption of any fraud suspect. An experienced auto fraud attorney will help you spot auto warranty scam in time and keep you from becoming a victim of a warranty fraud. Yet, if you have already fallen victim to scammers dishonest tricks, a knowledgeable attorney can help you protect your rights and recover the money you spent.
The knowledgeable and experienced attorneys at the Margarian law firm are eager to help you disclose any auto warranty scam, consider your options and protect your rights against shrewd warranty scammers.
