Phoenix, Arizona - Attorney General Mark Brnovich is warning Arizonans about potential scams related to auto warranty robocalls. Arizona consumers have reported receiving an increase in robocalls selling extended auto warranties despite being on the Do Not Call Registry. Anyone receiving these calls should hang up immediately.

 If you are thinking about buying an auto warranty, ask these three questions:

  1. Who is providing the warranty? 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.
  2. What is covered? 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.
  3. Is it worth it? 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 they payout.

Here are a few additional tips to keep in mind:

  • Even if a phone call or letter says your warranty is about to expire, that may not be true. Don’t be pressured into acting. Double-check your warranty first.
  • When shopping for a new or used car, consider whether a service contract will overlap with the vehicle’s existing manufacturer’s warranty.
  • A service contract or extended warranty may be offered by manufacturers, dealers, or independent companies. Make sure you know which company actually provides the coverage.
  • Be sure to ask what happens if you want to cancel. 
  • Never share bank account, credit card, Social Security number, driver’s license, or vehicle identification numbers with any unsolicited caller.
  • Take all the time you need to weigh your options and review your decision.

For more information on Service Contracts and Extended Warranties in Arizona, visit https://www.azag.gov/consumer/auto

If you believe that you have been the victim of consumer fraud, you can file a consumer complaint by visiting the Attorney General’s website. For consumer inquiries, or to request a complaint form, call the Attorney General’s Office in Phoenix at (602) 542-5763, in Tucson at (520) 628-6648, or toll-free outside the Phoenix and Tucson metro areas at (800) 352-8431.