A tipster (send in your tips here) just sent in the mailer below and it’s a good opportunity to remind readers not to be fooled by extended warranty offers.
Below you will see a post card that is being sent to consumers that could be easily misinterpreted as a mailer from the vehicle manufacturer.
It looks very official and has a generic name on it, Vehicle Protection Center. I called the number on the card, 1-800-435-1130 and spoke with a representative that tried very hard to sell me extended warranty protection. He said that the Vehicle Protection Center handles Honda extended warranty service.
The representative does say that they are located in Saint Peters, Missouri on Mid Rivers Mall Drive. It appears to be this company.
While the postcard and sales representative insist that the company name is Vehicle Protection Center, that is actually a registered fictitious name for NRRM, LLC. NRRM, LLC is actually the consolidated company formed by Auto Warranty Protections Services, Inc. and National Dealers Warranty, Inc. Rudge Gilman was the president at the time of the consolidation and Nicholas Hamilton was the Secretary. – Source
It appears that both Gilman and NRRM appeared before on this site in Beware of Stop Repair Bills for Auto Warranty Contracts Says BBB.
The Auto Warranty Postcard
Before you elect to accept any such offer to sell extended vehicle warranty coverage to you, it is important to be aware that the offer does not come from your car manufacturer and there is no evidence it is supported or honored by the manufacturer.
Make sure that you receive a copy of the coverage terms and conditions before you give up any personal information or sign on the dotted line. If you want to compare the cost versus benefit, take the details on the coverage to the place you normally have work on your vehicle done and ask them if they would accept such coverage.
I would recommend that anyone considering using such a company should read How to Check Out a Business or Company to Avoid Getting Scammed or Ripped Off.
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If they lie to you from the get-go
Great article Steve! One way I look at offers like this is to consider how they contacted me and induced me to do business with them. They use a deceiving post card to make it sound like an official communication from my dealer or manufacturer. They use a misleading name as well. Are these big lies? No, only minor deceptions. But if you enter into any business relationship based on a deception, no matter how trivial, it can only go downhill from there.
Extended warranties are ripe for fraud. 3rd party companies either never pay out, or go bankrupt and reorganize, leaving the owner with no warranty. Factory extended warranties are \"no questions asked\" and usually less hassle to collect from. However, they are heavily marked-up so be sure to negotiate hard on price.
Beware, though, not every extended warranty sold by your dealer is a factory warranty. Salesmen make more money selling 3rd party warranties that they will say are \"just as good as\" a factory warranty. Walk away from deceptive practices!
Your site is great. Keep up the good work!
