PHOENIX (KVOA) — On Wednesday Arizona Attorney General Mark Brnovich issued a warning about potential scams related to auto warranty robocalls.
According to the Arizona Attorney General’s Office, Arizona consumers reported receiving an increase in robocalls selling extended auto warranties despite being on the Do Not Call Registry.
The AZ AG’s office said if you receive a call like this, hang up immediately. Also, ask yourself the following questions if you are considering buying an auto warranty:
- Who is providing the warranty? The AZ AG’s office said a third-party auto warranty has no direct business relationship with the manufacturer of the car it covers. Some third-party warranty companies are disreputable operations that go out of business unexpectedly, costing consumers hundreds of dollars and providing no coverage. Check out the company’s track record with the Better Business Bureau. If others are having trouble getting the company to pay, you may have trouble, too. Shop around for better service at a lower price.
- What is covered? The AZ AG’s office said if a warranty won’t cover some repairs, it may not cover the type of repair you need when you need it. This is the second most repeated complaint – repairs are not covered.
- Is it worth it? The AZ AG’s office said how many repairs would the warranty need to cover before you recover your money? Would it make more sense to set aside money for possible repairs instead of paying a third party that may or may not cover repairs when needed? Remember: These third-party auto warranty companies make money by taking in more than the payout.
The AZ AG’s office also said consumers should remember that even if a phone call or letter says your warranty is about to expire, it may not be true.
“Don’t be pressured into acting. Double-check your warranty first,” the AZ AG’s office said in a news release.
For more information on Service Contracts and Extended Warranties in Arizona, visit https://www.azag.gov/consumer/auto.
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