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Just bought a new car and was talked into an extended warranty. Can I cancel premium-only portion of my Visa down payment?
Anonymous4 views2 answers
DFW dealer's finance manager talked me into a $1200 extended warranty. He said Mazda is offering a $750 rebate; payments will only go up from ~$411 to $420," and also, "If you buy warranty later, rates will be higher for used vehicle," etc.
Two hours later, back home near Tyler, I realized the extended warranty's actually cost is $1200 plus loan interest; there's no mention of any $750 Mazda rebate, and payments went from $400 to $421 for 5 years. (Fell for old hand-covering-details, "Just sign here, I know you're ready to go" trick.)
Part of the down payment was made with Visa. If refund becomes a big headache, can I try and get a Visa chargeback for $1200 premium?
Usually those warranties have a cancellation policy included. First read the policy in detail and see if there is any mention about how to cancel. If not let an attorney review the paperwork and see if there are any escape options.
BTW, dealers make more profit selling the add-ons than by selling the car.
Good for you for using a credit (never use a debit) card. Visa, AmEx and MC have a procedure set up just for this purpose, but timing is limited. Absolutely contact Visa and dispute the $1200 charge and see if you can't get some relief. And if that doesn't work, try the BBB's dispute resolution service too: https://www.bbb.org/consumer-complaints/file-a-complaint/nature-of-complaint/.
