| Missouri Used Car Warranty Law Now In Effect
Credit-challenged new and used car buyers in addition to those with perfect credit have, in the past, been contacted by fraudulent call centers representing themselves as warranty companies soon after they make a car purchase. According to Timothy J. A number of these call centers are located around and about the St. The law more clearly specifies consumers' right to a refund if they cancel a motor vehicle service contract. That's because, for budget-constrained buyers, it's especially important to avoid large, unforeseen vehicle expenses - a big reason many high-risk auto loans end in repossession. We also encourage buyers to buy one from their selling dealer for several reasons - not the least of which is that by doing so they will be covered by the consumer protection laws of their state. Used car service contracts Even with the quality of used cars being better than ever, we usually suggest that buyers, especially those with poor credit, consider purchasing an auto service contract which will cover the entire loan term. Moreover, it creates a brand new licensing framework for Missouri-based businesses and individuals selling motor vehicle service contracts. New Missouri law Describing the state of Missouri as "becoming a hotbed for deceptive direct mail and telemarketing campaigns", the Service Contract Industry Council (a group of prominent manufacturers, insurers, retailers, providers and administrators of service contracts representing 80 percent of the industry) worked closely with the Missouri Attorney General's office to draw up legislation that was signed into law last July. The Bottom Line Never purchase a vehicle service contract until you've first researched the company. Extended warranty scams As soon as you buy a car there's a good chance you'll be swamped with letters and phone calls from companies that want to sell you an "extended warranty. The new law is designed to prevent companies from using deceptive or unethical marketing practices to sell motor vehicle service contracts, also known as auto extended warranties. Remember, licensed car dealers must comply with your state's consumer protection laws while outside companies don't necessarily have to. But regardless of where you purchase one, be certain to shop around first to be certain its reasonably priced. |
Sunday, 3 June 2012
Missouri Used Car Warranty Law Now In Effect
