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May 15, 2009

FTC looking to shut down "auto warranty" robocalls

If you've recently received an annoying robocall hawking an "extended auto warranty," you're not alone—and the Federal Trade Commission has your back.

The FTC has asked a federal court to shut down a telemarketing company and promoter making hundreds of millions of calls attempting to sell vehicle service contracts. The automated calls falsely warn consumers (via a pre-recorded message) that their vehicle warranty is about to run out.

The campaign has targeted even those on the Do Not Call Registry, including home phones, cell phones, businesses, and even 911 dispatchers. The calls have prompted 30,000 complaints.

Says FTC Chairman Jon Leibowitz: “This is one of the most aggressive telemarketing schemes the FTC has ever encountered. I’m not sure which is worse, the abusive telemarketing tactics of these companies, or the way they try to deceive people once they get them on the phone. Either way, we intend to shut them down.”

If you receive one of the robocalls, notify the FTC via their Complaint Assistant or call 1-877-FTC-HELP (1-877-382-4357)

Related: Coverage from the CR Money Blog & FTC Press Release

Comments

IT appears the same (or similar) firm is at it again, this time placing unsolicited calls to sell health insurance. I just received such a call, and the format and even voice on the line is identical to the ones used for the auto warranty scam. I hope the FTC can track down these creeps and lock them up!

why not post the locations these calls come from and see how long they last?

It is about time someone does something about these scams. My question is: Why it has taken so long? I've been getting these unsolicited calls on my home, work, and cell phones for months. So have all my friends and associates.
Recently I pretended to be interested and requested their address. They pointed me to a website. While on the phone with them, I went to the website and there was no address. Eventually the he just hung up on me.
Unfortunately my Alzheimer mother-in-law was taken in by one of their scams, despite being on the Do Not Call list. (Yes, we should have taken away her credit card earlier. But still.)

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