Extended Car Warranty, PART TWO:
The issue of extended warranties covered in our last blog post has generated so much dialogue, we decided to expand on the topic in a second blog.
A google search of the phrases:
- “Sick of extended warranty spam calls” – 27 million+ results
- “Stop extended warranty robocalls” – 43.5 million results
- “Extended car warranty scams” – 9.8 million results
Mike Rosen, renowned Colorado radio personality, addressed this frustrating matter head-on in The Gazette, COLUMN: Don’t fall for the extended auto warranty scam | Opinion | gazette.com, as recently as February 3rd, 2021.
Rosen writes, “Perhaps you’ve gotten a phone call from a company that wants to sell you an extension on your auto warranty. Or perhaps you’ve gotten a ton of these nuisance robocalls as I have. Not only are they persistent, but they’re also very forgiving. After I’ve told them repeatedly that I’m not interested, they call me, again and again, to give me “one last chance” before their offer expires. To date, I’ve gotten about 100 last chances.”
He adds, “The Federal Communications Commission is on the case but hasn’t had much success in stamping this out, as is obvious. The scammers are mostly offshore, disguise their phone number on your caller ID and ignore the National Do Not Call Registry.”
At one point during the Covid-19 shut-in, Rosen decided to play along and described his experience.
“I asked for the company’s name. She mumbled something. When I Googled it later, nothing matched. I asked how claims were processed and she replied that “We work with dealers.” I asked what repairs were covered. She said “everything.” I asked how much it costs. She said $4,020 for four years or 100,000 miles. I asked if there was a payment plan. She said, “Yes, $159.37 a month.” (I quickly did the math: $159.37 X 48 months = $7,649.76. Not exactly interest-free.) But, she said I’d have to pay $195 right now, before the end of this phone call.
Rosen concluded: “I’m thinking, maybe this particular scam just wants to get a couple of hundred bucks upfront and there’s really no extended car warranty.”
Cassels Garage of Melbourne, FL, an independent, locally-owned auto repair and maintenance service center serving Brevard County since the 1950s, is sharing this example because Rosen’s experience is just one of more than four million the FCC receives every year. Watch Out for Auto Warranty Scams (fcc.gov)
To be fair, there are legitimate –although likely few and far between—extended car warranty companies. If you choose this route, confirm the following:
- Request all details in writing: cost, interest, services, and parts covered;
- Vet and verify the company: phone number, address, website, sales agent’s name, and direct contact information;
- Hang up and call right back to ensure an actual phone number and that the company is not just a disguised internet scam;
- And the obvious, be leery of any unsolicited callers: NEVER give any personal information – bank/credit card account, social security number, driver’s license, etc. to anyone with whom you do not have a vetted and confirmed identification or relationship.
A little closer to home, Orlando’s www.otownfun.com, addressed this same issue in a post by writer Mike Jones and his experience with another auto warranty robocall from the non-existent company “The Automotive Services Company.” You can see his full post here: Scams & Rip-Offs – Received a phone call from Automotive Services for your Car’s Extended Warranty – Otownfun (wordpress.com).
When in doubt, feel free to contact us at Cassel’s Garage in Melbourne, FL where we don’t deal in warranty tricks or scams. We have been providing quality, reliable hassle-free auto repair service, parts, and maintenance, during and post-warranty, for over 50 years. And, we’re happy to help you vet the ins and outs of extended warranties. We have experience with the better ones and the ones that are not.
Here is what you can expect from the skilled technicians at Cassels Garage to avoid dealer, manufacturer, or factory warranty misinformation:
- Service work when your car is still under warranty CAN be done at independent shops.
- We are your partners in maintaining your vehicle’s longevity. If / when we find problems with a vehicle still under factory warranty, we will send you back to the dealer with our expert recommendation in hand.
- The average age of vehicles on the road is 11 years so keeping your vehicle repaired after it’s paid for is way less expensive than the interest and depreciation.
- Deciding not to fix small issues can result in dealing with major issues down the road and likely an avoidable and unnecessary new purchase before you’re ready.
- The average (before interest) cost of a new car in 2020 was $40,000 and $55,000 for pickup trucks.
Contact Cassels Garage today to save your money and let us help you skip the hassles, gimmicks, and tricks to preserving the longevity and productivity of your vehicle.