Car Warranty Scams

car warrantyCar dealers can scam you when you purchase a car warranty form them. Car warranties are one of the ways dealers make most profit. Most commonly customers who buy a car warranty from a dealer pay more for policies that are not worth the coverage.

It is a common practice for car dealers to add an in an extended car warranty to your contract without informing the customer. Sometimes customers find out that they have purchased extended car warranty only after they have already signed the paperwork.

Another scam is giving misleading information to car buyer and forcing to purchase car warranties that are usually very expensive and unnecessary. These car warranties often exclude a number of car parts that are essential to the proper maintenance of a car, and often times a customer pays for service and is never reimbursed for repairs.

You can avoid car warranty fraud if you get your car warranty from car warranty companies rather than buy it from dealers. If the dealer tells you that you must buy an extended warranty on a new car because a bank won’t finance it if you don’t, ask the dealer to write it down on the contract. If the dealer refuses simply walk away from the deal. Carefully read each line in the contract and make sure everything you agreed to is included.

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