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Auto warranty scams

Old 08-05-2009, 04:08 PM
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Default Auto warranty scams

I guess this is the latest gimmik. You pay them $1500.00 for an auto warranty and they will pay for all your auto repairs. Sounds like a great way to get that new $4000.00 engine put it.

I'm seeing so many of these commercials on TV now. Who actually buys into that crap? I have no doubt that when you buy the warranty they will figure out a way to decline a major repair.

I hate scams.
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Old 08-05-2009, 04:39 PM
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It's not a scam...all the repairs that they won't do is in the contract...in the smallest print allowable by law. If someone don't read the contract and pay the money...it's their responsibility...or so I was told in a THT thread.
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Old 08-05-2009, 04:49 PM
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I just googled "auto warranty scam" and you could read for years about all the complaints.

Check this out...there is no paperwork available to you until AFTER you pay for the warranty. So what you eventually recieve in writing is whatever they feel like giving you after you pay them thousands of dollars.
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Old 08-05-2009, 06:33 PM
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Bought my daily driver 5 years ago, made the mistake of buying the "used car warranty". Still have the car, had to have the transmssion rebuilt last month, cost me less than the total of the warranty. Still get the notices in the mail "Your Extended Warranty is About to Expire! Renew It Now!" . They get circular filed.
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Old 08-05-2009, 09:27 PM
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Originally Posted by ScarabChris View Post
I just googled "auto warranty scam" and you could read for years about all the complaints.

Check this out...there is no paperwork available to you until AFTER you pay for the warranty. So what you eventually recieve in writing is whatever they feel like giving you after you pay them thousands of dollars.

Who in their right mind would do that? Makes you wonder how much I would get for the Brooklyn bridge if I had the right PR...
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Old 08-05-2009, 10:58 PM
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The ONLY warranty I purchased for my vehicle was direct from Ford. It was Fords own ESP plan. It will pick up where the 35,000 mile bumper to bumper warranty expires, and then it picks up on the drive train at 60,000 miles when the original warranty expires. It's good for five years and/or 75,000 miles.


I bought my Ford Expedition EL new in 2007. It has almost 40,000 miles on it now. I will probably keep this one. I am not the kind of person that has to have a new vehicle every year, or even every ten years. Waste of money as far as I am concerned. In ten years, I guarantee my vehicle will still be in pristine condition.

Anyway, the Ford ESP covers everything the original warranty covered. Ford was running a special when I decided to purchase it. I believe it cost me $1,200 instead of the normal cost of $1,500.00 or there abouts.

There is a $100.00 deductable for each repair.I think for $1,200 it was well worht the cost for some peace of mind. Now, I would never purchase one of those BS warranties from any of those scam companies. The Ford ESP is a solid warranty.
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Old 08-06-2009, 12:17 AM
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Originally Posted by ScarabChris View Post
I guess this is the latest gimmik. You pay them $1500.00 for an auto warranty and they will pay for all your auto repairs. Sounds like a great way to get that new $4000.00 engine put it.

I'm seeing so many of these commercials on TV now. Who actually buys into that crap? I have no doubt that when you buy the warranty they will figure out a way to decline a major repair.

I hate scams.
I purchased one of those aftermarket repair warrantys. I was at a Saturn dealer and they had a Lexus 300. (car was a lease return with 39000mi). The dealer was honest and forthright about the auto. We purchased it in 2002. Still have the car. I believe the policy had a $75 deductable.

Anyways, several months before the five years ran out we had a $500 repair. I'd almost forgot about the policy. We looked it up and submitted the claim (after providing all the shop paperwork) Company paid some $425 or whatever.

I can't recall, but I believe I spent around $1000 or so for the policy, so I did make some money back against it. Lexus repairs are expensive.

My experience was that the policy I purchased was not a scam, but just another insurance product that did happen to be around to cover their responsibilites. I usually shun all aftermarket warranties for just about everything, and have never purchased one since.

Those TV ad's look greasy to me.
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Old 08-06-2009, 07:06 AM
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Yeah I'm not talking about the warranty you get from the dealer. Those are actually insurance plans and a lot more reliable. I'm talking about these ones you see the commercials for and the random phone calls to try and sell you a warranty for a car they have never seen and know nothing about. They are scams plain and simple.

I actually bought one of those extended warranties from a dealer once. I was young and duped into it. The dealer said I was approved for the loan but only if I buy the extended warranty. I fell for it but I was like 19 so what did I know.

But when the AC compressor started making a lot of noise I was glad I got the warranty....until I took the car to the dealer. They tried to weasel out of the repair. Telling me that the noise was from the pully bearings on the compressor and not from inside the compressor. The entire new compressor was covered but not the bearings and because the AC still worked they could not replace it and I would have to pay for new bearings.

Boy did I raise hell! I caused such a scene screaming out what bullshit this was in the middle of the dealership. How I just bought the car 2 months ago and spent $1200 on a warranty which covers the compressor but they were denying the repair. After about 20 mins of calling everyone at the dealer a scumbag crook they decided to fix the compressor. And guess what...they put in a whole new compressor, why? The bearings are not replaceable. They were totally trying to scam me.

I never bought another car from that dealer again. So see even the dealer warranties can be shady, these TV warranties are all BS.
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