How to recognize vehicle warranty scams

| Apr 8, 2021 | Auto Warranty

Auto repairs are more than just an inconvenience — they can be prohibitively expensive. For this reason, some people in Hartford feel the safe thing to do is to purchase a manufacturer’s warranty from their auto dealer. It is important to understand the difference between a manufacturer versus a third-party warranty and how to recognize if you are being scammed.

How do manufacturer warranties differ from third-party warranties?

A manufacturer’s warranty is tied to the business that made your new or used automobile. If your automobile breaks down, you can seek repairs at a certified repair shop. Third-party warranties, on the other hand, are not connected to the manufacturer of your vehicle. Many times a third-party warranty does not cover the necessary repairs, leaving the costs up to their clients to cope with.

What are some signs of a third-party warranty scam?

Of course, some third-party warranty companies are legitimate, but others are running fraudulent scams. The following are some signs to look out for that you are being scammed.

One is receiving a robocall pretending to be associated with the automobile manufacturer or dealership.

Telemarketers using high-pressure sales tactics may also be running a scam. If you request written information about your plan, and the telemarketer collects your personal information and credit card number, they might never send you any information. However, they will charge your credit card.

Some mailings that look genuine are actually fraudulent. They may say “Final Notice” or claim to be from the DMV.

Spoofers can make caller ID identify them as someone legitimate or they can send emails that look like they are from a legitimate business when they are not.

Learn more about your rights and options

Ultimately, this post is for educational purposes only and does not contain legal advice. Our firm’s website on auto warranties may be a useful resource for those who have had problem with a manufacturer’s warranty or who feel they were scammed.