Missouri Attorney General Koster sues more auto warranty companies - KMOV.com

Missouri Attorney General Koster sues more auto warranty companies

KMOV - Missouri Attorney General Chris Koster filed lawsuits Tuesday against four more auto warranty companies for misleading customers.

Koster said companies Carhill Enterprises, Inc., CarSafe, LLC, Dealership Services, Dealership Warranties all used misleading marketing techniques to sell what appeared to be “extended auto warranties” to customers, but actually were service contracts.

“This extended warranty scam is nothing but a ‘bait and switch’ scheme that preys on consumers’ fears having inadequate vehicle warranty coverage,” Koster said. “The ‘bait’ is to lure vulnerable consumers into extending or purchasing ‘auto warranties.’ Then the ‘switch’ is to sell them service contracts, or worse, auto additive warranties with inferior or negligible repair coverage, then making it almost impossible for the consumers to cancel the contract or get refunds.”

Koster filed suits against six auto-warranty companies in November.

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