Car extended warranty scam calls

What these calls sound like

Many start with a recording. A voice says it's calling about your vehicle's warranty. It says your coverage is about to run out, or that you were sent notices and your file is about to close.

You're told to press a number or stay on the line to talk to a specialist. Then someone asks for personal information.

Some leave a voicemail instead. The FCC shares a real one: the caller names a car brand, offers a rebate and a free oil change, and gives a toll-free number to call back.

The caller may know your car's make or other details. That doesn't make the call real. The same pitch also comes by mail and text, often marked with something urgent like "Final Warranty Notice".

Why it's a scam, or close to one

The FTC says these robocalls are illegal and likely scams. The callers aren't connected to your dealer or your car's maker.

What they sell is usually not a warranty. It's a service contract, which the FTC says can cost hundreds or thousands of dollars. The fine print may leave out the repairs you actually need.

Some push you to share financial details and pay a down payment before they give you details about the contract. Some companies may not be around when you need a claim paid.

Real service contracts do exist. Dealers, carmakers and other companies sell them. The problem is buying one from a stranger who called you.

What to do

Treat every warranty call you didn't ask for the same way.

• Hang up. You don't need to stay on the line to ask questions.
• Don't press any number, even the one to be removed. The FTC says that could lead to more robocalls.
• Never give your Social Security number, card number, bank account or driver's license number to someone who called you.
• To check your real warranty, look at your paperwork or call your dealer using a number you find yourself.
• Report the call at DoNotCall.gov. If you paid money, report it at ReportFraud.ftc.gov. You can also file a complaint with the FCC at consumercomplaints.fcc.gov.

If you already paid

Start by contacting the dealer or seller and the service contract company. Explain the problem and keep notes of who you spoke with.

If you paid by credit card, call your card company and ask about disputing the charge.

If that doesn't fix it, report it to your state attorney general. In North Carolina, that's the NC Department of Justice at ncdoj.gov/complaint or 1-877-5-NO-SCAM. You can also report it to the FTC at ReportFraud.ftc.gov.

Has the government acted?

In July 2022, the FCC ordered U.S. phone companies to block robocall traffic from a large auto warranty robocall operation. The FCC's consumer guide still warns about these calls, so it's wise to stay alert.

How Nexus handles it

With Nexus, numbers on the spam list are refused, and most callers you don't know are asked who they are before your phone rings. An automated assistant tells them the call is being screened and may be transcribed, then asks who's calling and why. Anthropic's Claude reads what the caller says to decide.

When a number is caught as spam on more than one member's line, it's blocked for everyone. Numbers from public FTC complaints are blocked too. Only the number is shared, never what was said.

If your real dealer or mechanic calls, they can say who they are and be put through, or leave a voicemail you can read as text. Save them in your contacts and they'll always ring.

Nexus works on Android and iPhone, and you keep your own number and carrier. More about how it works is on the About page.

Nexus is invite-only. The price is on the wait list page, and you can cancel yourself any time.

Common questions

Sources

• FTC: Hang up on auto warranty robocalls
• FTC: Auto Warranties and Auto Service Contracts
• FCC: Watch Out for Auto Warranty Scams
• FTC: How To Block Unwanted Calls
• NC Department of Justice: File a Complaint