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Auto Warranty Scams - Beware

Just because you think an extended auto warranty will give you peace of mind does not mean that just any company will give you the coverage that you want. In fact extended auto warranty scams are not uncommon.

It often begins with phone call. The telemarketer tells you that your auto warranty is expired and pressures you into giving your credit card or bank account information to them so that you don't miss out on the "great deal" they have to offer you. They tell you how much you will be saving if you ever need repairs. It sounds like a great opportunity. But don't fall for these scare tactics.

The Better Business Bureau says auto warranty scams are very popular right now. Supposedly a lot of information about expiring warranties is available for sale, and these scam companies buy it and try to frighten people into giving them money and personal information.

Know the red flags. Never give your information to anyone on the phone, especially a call from someone you never spoke with before. If you think it is a legitimate company, offer to call the person back. Of course if they refuse, then you know they are trying to scam you. Hang up and know you have just saved yourself lots of money and headaches. And if you really want an extended auto warranty, do your own research before buying.

About the Author: The authors do extensive research and write on many consumer topics to help you protect your money and privacy.
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