Beware of car-warranty telemarketing calls

By PHIL MULKINS World Action Line Editor - 9/20/2009


Dear Action Line: What do you know about C1F Marketing in Florida.? It is calling me trying to sell me warranty protection on a car I never owned! — Jim, Skiatook.

On Sept. 3, Oklahoma Attorney General Drew Edmondson filed suit against Florida vehicle warranty telemarketer C1F Marketing, asking Oklahoma County District Court to permanently enjoin the company from conducting illegal operations in Oklahoma. The suit also seeks civil penalties, costs and payment for the state's investigative expenses.

Edmondson also filed an application for a temporary injunction to stop the allegedly illicit activity, pending the suit's outcome, to stop the telemarketer from offering potentially bogus products to consumers and violating Oklahoma telemarketing laws. The AG accuses C1F Marketing of employing unfair and deceptive trade practices to market vehicle warranties to Oklahomans by lying about expiring warranties.

"The company even tries this approach with consumers who don't have cars, and we believe its warranty doesn't deliver as promised," he said. The Clearwater, Fla., company is also accused of violating our Don't Call and auto-dialer laws and of operating in the state without registering as a commercial telephone seller as required by state statute."

The Council of Better Business Bureaus has no information on this company, but the Internet message board Scams.com certainly does — tulsaworld.com/Scams.com — headed "Direct Protect Warranty Scammers!"

A message from "SageV, junior member" recounts her experience with C1F Marketing. She received a recorded message call from the company saying her car warranty was about to expire. A live operator said although her warranty had seven months and 14,000 miles left on it, her warranty still was considered "about to expire." Or, if she had less than a year before it was to expire, it was considered "set to expire," etc.

Not knowing anything about her warranty, she decided to listen anyway and was told she had to make a decision on whether she wanted to buy the extended warranty before she hung up. This was her final chance to get a warranty. The salesman said he could extend her warranty five years or 150,000 miles but wanted a down payment of $500. He could set up financing for what she owed, and after she talked him down to $300, she took the deal — even though the warranty was for longer than she planned to keep the car.

She was horrified at the package she got in the mail when realizing she'd be paying $2,500 for a warranty she didn't even need. Upon reading the warranty, she saw it was "extended" five years but "covered, pretty much, NOTHING." She was told her engine, transmission, computers, electronics, etc., would be covered, but the actual warranty wasn't even close. Very few parts in the engine and transmission were covered — no computer, no electrical, etc. Be careful what you agree to on the phone.

Edmondson's Consumer Protection Unit has statewide jurisdiction to investigate and prosecute violations of our Consumer Protection Act. Report suspected fraud or scams to the AG's Consumer Protection Unit at (405) 521-2029. Be sure to have names and numbers and other specific information ready to recite to the interactive recording system.





Submit Action Line questions by calling 699-8888 or by e-mailing phil.mulkins@TulsaWorld.com or by mailing it to Tulsa World Action Line, P.O. Box 1770, Tulsa OK 74102-1770.


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Tulsa World Reader Comments
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Thunder196, Tulsa (9/20/2009 5:21:07 PM)
I have gotten, seems like, a million calls about my warranty and my last chance. They are such scum.



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