Forced Warranty

Forced Warranty Scam: How It Works

(with video below) You find yourself at a car dealership. Your future car is picked out and it’s just a matter of financing. The dealer is working on the paperwork. They are friendly, ask you what you do for a living, and make small talk about your family.

Off-handedly a warranty is mentioned that is not included in the price, so no problem there. What this really means is the $3,000 warranty is included in the invoice’s total, even though it’s not part of the car’s value. They may even tell you the warranty is required to get the loan. This is not the case. If you don’t want the warranty, it is your right to decline it.

This is just one of the several scams that you could be a victim of, especially if you are buying your first car. Whether you’re looking at how to buy a car with bad credit or you just want to take advantage of a ‘no money down cars’ promotion, learn their tricks and have everything ready. If you’re wondering what do you need when buying a car from a dealership, consider getting a car buying guide first to protect youself from scams. Let’s expose a few more deceptive practices.

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Watch the video below to see more scams pulled by dealers and things to check when buying a car (maybe get a Buying A Car For Dummies book, too):

Buying A Car From A Dealership Scams Video

Forced Warranty Scam: How To Avoid

Ask the dealer to show you where it says on the contract that the warranty is required to be approved for the loan. If they can’t, feel free to walk out.

Forced Warranty Scam: How To Report

Make your family and friends aware of this scam by sharing it on social media using the buttons provided. You can also officially report the scammers to the Federal Trade Commission using the link below:

Report To The FTC Here

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