Beware After-Market Auto Warranties From Third Parties

The Better Business Bureau sent out an alert that it’s been bombarded with complaints about extended auto warranty companies. Gripes include deceptive sales practices — including high-pressure phone sales tactics to get customers to pay upfront for contracts they can’t see — as well as insurance fraud.

The BBB offers the following advice to keep in mind if you’re considering an after-market car warranty:

*Don’t give out personal info over the phone or email unless you’re ready to buy a warranty.

*Don’t let a salesman force you into making an abrupt decision. Some sales agents offer a better rate if you offer an early commitment.

*If you’re offered a “bumper to bumper” warranty, that language doesn’t necessarily mean the warranty will cover every repair your car needs.

*Read the manufacturer’s warranty to make sure you’re not being sold coverage you already have.

*Check out the business with the BBB at or by calling 314-645-3300.

If you’ve ever bought an after-market warranty, how did it work out for you?