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Automobile Warranty Scam Save Email Print
Posted: 10:14 AM Sep 23, 2007
Last Updated: 10:14 AM Sep 23, 2007

A | A | A

An extended warranty on your automobile can save you a lot of money in the long-run, but you might want to make sure you know where that warranty is coming from.

It's a familiar sound; telemarketers calling requesting that you purchase this or that sometimes items that you have little to no use for, but what about when they offer you something as great as an extended warranty on a car that's well past its best days.

"He had someone call him and solicit one over the phone, they went ahead and billed his credit card and he recieved no documentation and he couldn't call the number back he was supposed to call he'd just been taken basically," said Fred Johnson of Mike Schmitz Hyundai.

Stories like this aren't uncommon in this area or around the country for years companies other than the manufacturer or dealership have offered extended warranties, and some of either do not cover enough of the vehicle or actually give a warranty at all.

Holmes "if you have a 2000 model car and someone is offering you a warranty for say 800$ that in itself should throw a flag that typically a warranty on a newer vehicle you're looking at 1500-200 dollars,” said Phillip Holmes of Solomon Chevrolet.

Some warning signs you can use to spot a fake warranty offer

1. Be wary of deals offered over the phone
2. Dealers suggest not to give your credit card or bank account information
3. If it's in print form make sure to read the fine print and 4. Don't buy based off price alone.

"If it's too good to be true, it probably is...you should get a warranty from a dealership or a trustworthy location," said Johnson.

If you have any information on a scam attempt, you can contact Dothan Police at 615-3000

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Posted by: Dorothy Location: Michigan on Apr 30, 2008 at 12:41 PM
Automotive Warranty Solutions has taken $395 out of my checking account, after I have cancelled the contract in March and than again on April 1,2008. Which has made my checking account overdrawn. Wells Fargo Bank did put the money back in my account, but because auto warranty hasn't reinbursed my money yet, the bank has once again taken the money back. I had called the bank on April 1 after talking to Anthony, who is the saleman, who sold me the policy, and put a stop payment on this transaction, which cost $29. I need help! My SS. doesn't go all that far, I have learned my lesson. No more buying on the phone. What can I do now??

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