FTC Implements Lifetime Ban for Scam Companies Selling Vehicle 'Extended Warranties'
The Federal Trade Commission (FTC) is proposing a court order to ban three companies and their owners from offering vehicle "warranties" or working in telemarketing ever again. The FTC charged American Vehicle Protection Corporation (AVP) and two affiliated companies with violating the FTC Act and the Telemarketing Sales Rule. The complaint alleges that AVP falsely claimed to represent dealers and manufacturers, offering fraudulent "bumper-to-bumper" and "full vehicle" coverage policies to customers for between $2,800 and $3,400. The scams have fleeced US consumers out of over $6 million since 2018.