Consumers Warned of Deceptive Vehicle Warranty, Service Contract Notices

HELENA - Attorney General Tim Fox and the Montana Department of Justice want to make Montanans aware of deceptive vehicle service contract “notices” that claim to be issued from the “Motor Vehicle Division (MVD)” that may be appearing in consumers’ mail boxes.

 “We consider these notices deceptive because neither our Motor Vehicle Division nor the motor vehicle division of any other state is mailing them,” said Fox.  “These governmental entities are not in the business of selling vehicle service contracts.  However, these notices are often addressed from senders going by names similar to the Montana Motor Vehicle Division.  It’s understandable that vehicle owners would be confused after opening one of these deceptive mailers, I’ve received them myself.”

The notices can also appear to be coming from the car dealer or vehicle manufacturer and may suggest that a previously purchased warranty has or is set to expire, even if no such warranty was purchased.  The notice, which usually demands an immediate response on the part of the recipient, sometimes contains the year and model of the recipient’s vehicle.  Additionally, the envelopes which contain these notices include warnings similar to those placed on some official government mailings.

 Sarah Garcia, Administrator of the Motor Vehicle Division at the Montana Department of Justice, said,  “In Montana, these notices have been observed as having official-looking logos and are being sent from companies entitled “Motor Vehicle Division,” “Vehicle Services Department,” “National Warranty Services” and “Auto Repair Network,” among others.  I want to assure people that the Montana MVD has not issued these letters and does not offer vehicle warranties or service contracts.”

 Matthew Dale, Director of Montana’s Office of Consumer Protection, says his office continues to receive calls from concerned consumers.  Dale offers this advice: “If you respond to these notices by calling the number provided on the letter, be advised you would not be dealing with a government entity.  Also, keep in mind that it’s always a good idea to obtain a written copy of the contract being offered before purchasing any warranty or service contract, even if a representative says the warranty can be canceled and refunded at any time.”

 To see examples of these warranties and service contracts, visit: https://dojmt.gov/wp-content/uploads/Motor-Vehicle-Warranty-and-Service-K-Notices-Spring-2016.pdf

 For more information, contact the Montana Department of Justice’s Office of Consumer Protection at 1-800-481-6896 or 406-444-4500, or visit http://www.dojmt.gov

 

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