Car warranty controversy

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Seven On Your Side
August 19, 2010 2:46:16 PM PDT
The warranty this dad bought with the car for his daughter to go away to school said if he never had to bring the car in for his daughters to go away to school said if he never had to bring the car in for repairs in a few years or a few thousand miles whatever came first he would get his money back. Al Torre is stuck and steaming. Back in 2006 he says a Toyota dealership refused him financing on a used car, unless he paid $1,850 for an extended warranty.

"You know they tricked you into buying something you don't really need," remarked Al.

Al says he got buyer's remorse a day after buying, when he read the fine print on the back of the warranty. "I found that they were absolutely useless and I went in the next day to claim my refund."

But according to his dealership contract he could get the entire cost of the warranty back, but there was one big catch.

Al read the warranty, "If you hit 82,050 miles or August 9th of the year 2010 and you never have to bring your car in for repair you will get the entire cost of the warranty back."

It took years, but Al finally hit the mileage, even took pictures of the odometer, and went to the dealer for a refund.

But in the 4 years that had passed, the dealership had been sold, so Mr. Torre contacted the district attorney's office. The D.A. told him the new owner wasn't taking on the old owner's liabilities. And when he went to the warranty company, Signet Financial Group...

"They hold your money, they stonewall you, they give you excuses, they block you..."

That's when 7 On Your Side contacted them. Signet investigated, and 2 months later?

"I finally received the check on Friday," Al said. There it was, a check for $1,850, a full refund.

"You're doing a great job and we need you."

The president of Signet Financial Group told 7 on your side, he thought the original claim was fraud, saying he had gotten phone conversations had contradicted the odometer picture. But once they examined the claim a 2nd time, they agreed to pay off the refund. Lesson? Read your fine print carefully before signing any contract.

Story by: Nina Pineda

Produced by: Steve Livingstone CONNECT WITH NINA PINEDA AND 7 ON YOUR SIDE