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2.5 years ago I purchased an extended auto warranty from Service Protection Direct in reponse to one of the many mailers I received from the company that told me I could extend the warranty coverage. Unfortunately, I agreed and paid $2250 for the extended warrany policy from Service Protection Direct.

During the last 2.5 years, the company denied all claims and never paid a single dime in repair costs. Now I want to sell my car and everybody I talk to says that extended warranties are refundable on a prorated basis for the unused portion. When I called Service Protection Direct, they told me that their product is structured in a way that it is only refundable within the first 30 days of purchase. They don't operate in good faith in my experience.

It's now clear to me that this company purposefully designs their product to avoid standard consumer protections afforded by the law on extended auto warranties. I doubt this is legal so I'm going to get my attorney involved based on the principal of the matter, regardless of the cost.

Any company that designs its products and policies to alienate customers and not honor standard industry terms for cancellation refunds is clearly not interested in repeat business. Be aware of any company that doesn't care about repeat business from the same customer because it probably means their product/service is not designed in good faith and you will probably end up being scammed.

Monetary Loss: $2250.

Location: Laguna Hills, California

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Guest

What were the claims denied for and what kind of level coverage.

Guest

:(

I am currently on the phone with Service Protection Direct and I am not happy. I purchased an extended warranty last year for 3200. I was told I could sell the contract back to the company or transfer the contract with the sale of the car. I have been told by two individuals that they cannot provide a prorated amount of the account should I sell it back to Service Protection Direct. I was told the accounting department only works on "invalid" accounts. I was also told by Gracie (Customer Support) and Lisa (Customer Support Mgr.) that I will have to pay a $150.00 cancellation fee. This was news to me given when I purchased the contract, I was told there are no cancellation fees. I finally asked to speak with Lisa's boss. I was connected with Dave C. Initially, he was rude in that he would just listen to my frustrating story. He continually attempted to interrupt me. He finally told me that I was being rude and that I would not give him a chance to speak. He then told me that I needn't continue my story because he's in agreement that Service Protection Direct should give me the prorated amount of the account. I asked why Gracie and Lisa told me the exact opposite and he stated he didn't know but would get to the bottom of it. He is to talk with the accounting dept. and call me back with the needed information, at the latest, tomorrow morning.

All, I can say is keep escalating the call until you get the truth or the issue resolved. Having several years as the Sr. Mgr., Customer Support for a major U.S. company, I knew the first two support individuals I spoke with were dishonest or, just plain didn't know what they were talking about.

Oh, Dave C. also told me that there is no cancellation fee due to my state's regulations. Just what I told the first two representatives. Extremely frustrating!

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