Wednesday 11 September 2013

Common Car Warranty Scams


Many car dealers, especially certified ones with good brands and rapport with customers, could give you a good deal off a car. However, some car dealers could easily scam their way into your pocket through seemingly-harmless warranties that you do not actually need or would not actually cover your vehicle. Here are a few common car warranty scams you should know.


1.    Extended Service
Only the original car manufacturers could issue extended warranties for vehicles. What car dealers are offering you are extended-service contracts, which have different provisions from warranties. So if you receive a notification that your warranty expired but you took an “extended warranty” from your car dealer, assume that it is only extended service.

2.    Misleading Sales Pitches
Your add-ons are usually the target of car dealers in having their scams make their way into your bank account. If you purchase an add-on, some car dealers would say they have separate warranties of their own. This is a good deal, but a bundled package of warranties with your vehicle is somewhat suspicious.

3.    Shoddy Repairs
A totalled car could run for a week with rather shoddy patch ups and some car dealers sell new or used vehicles in this manner with clever paint jobs. Automatically, car dealers will offer you warranties for these types of rip-offed vehicles. If you bought one such vehicle and you have a warranty that covers your vehicle once, you can be in big trouble. Beware of very low or “too good to be true” extended warranty or service rates.