I recently encountered one of the biggest scams amoungst the auto warranty companies. I purchased a vehicle on 9-04-04 from an auto lot who pushed this extended warranty.
The warranty was supposed to be 12 months 15,000 mile warranty. The salesman assured me that this warranty would cover most of the vehicle's components. After i reviewed the contract i agreed.
After 3 weeks of normal driving i had trouble getting into 3rd gear. I immediately took the car to my local VW dealer where i was informed that 3rd and 4th gears needed to be replaced. Boy was i glad i had that extended warranty.
The VW dealer made a copy of the contract and informed me they would contact the warranty company to make repairs. The warranty company authorized the tear down of the transmission in order to verify that the gears were defective.
Once that was confirmed the warranty company had a change of heart. The estimated repairs are $1064.00. Good thing for that warranty cause my car has been in the shop for 6 weeks while the warranty company has been giving me a million excuses on why they are not responsible.
One of there excuses was the only way that could of happened was by abuse. I only had the car for 3 weeks and i'm not a nascar driver!
Bill, one of the adjusters/criminals asked me to write a letter stating that my car was sitting at the dealer for the past 6 weeks. Then he turned that letter against me by saying that my policy didn't kick in until 10-07-04. When i purchased the car and the warranty on 09-04-04.
I then asked to speak to the manager, Rick. Rick was very rude and could not give me any straight answers. I asked for his last name as well as Bill's and i got the response that they couldn't give last names and they didn't have extensions.
I told Rick i would be contacting the Better Buisness Bureau, The Attorney general and my lawyer and he laughed and later hung up on me.
This whole experience has left me with lack of trust in the Automotive warranty World as well as a $1064.00 bill. Next time i'll save my money and use it toward a tune up instead of a warranty.
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