5 Tips to Protect Seniors from Car Warranty Scam Calls

Warranty scam calls, including extended warranty scam calls, exist as one of many methods lawbreakers use to illegitimately obtain and exploit an individual’s identity and financial assets. 

Robocalls strive to sound legitimate and coach recipients to take immediate action and part with sensitive personal information by preying upon their target’s emotions and fears. Without knowledge of who or what might be on the other end of the phone call, many unfortunate victims willingly grant access to their Social Security number, bank account information or credit card number. 

Indeed, illicit telemarketing calls exemplify the most common contact method for seniors. Culprits often deem the elderly perfect targets. Assuming seniors are unaware of car warranty scam calls, these perpetrators prey on older adults’ financial stability and perceived technological unfamiliarity.

In addition to using your car’s warranty to strike up a conversation and gain access to your personal information, scam callers can also use several other tactics. They may capitalize on fake sweepstakes or lottery winnings or appeal to one’s desire to begin a new relationship. A “grandchild” in need characterizes many scam calls as well. 

Call From an Unknown Number

Whether it says “Unknown” on your caller ID or you don’t recognize the number, a scam call often originates from a different area code. However, sophisticated scammers can spoof their number by disguising it with a fake local area code.

Personal Information Requested

Blatantly asking for your Social Security number or credit card information gets a scam caller only so far. Instead, the caller may disguise these requests by posing as a representative who must verify your identity before moving forward. Scam callers may even instruct you to share personal information in order to remove your name from their calling list. 

The Call is Vague

If the person on the other end uses vague language, proceed cautiously. These perpetrators hope you will “fill in the blanks.” Even if the speaker knows the make and model of the car you own, their intent could be malicious.  

Pressure or Urgency Implied by the Caller 

Acting swiftly in an emergency represents a commendable trait in first responders, but the same stakes don’t apply to warranty scam calls. If the caller emphasizes quick action “or else,” it’s an immediate red flag. Threatening jail time, fines or other criminal charges act as dead giveaways that you’re on the phone with a scam artist.

For most people, scam calls are a pesky nuisance, but for some consumers, the consequences of answering a scam call can be dangerous and costly. Take a look at the following data from the Federal Trade Commission (FTC) to learn more about the impact and frequency of scam calls: 

• The FTC reported that U.S. consumers lost over $8 billion in scammed funds in 2022. 
• The most common scams in 2022 involved: 
  • Imposter scams
  • Investments
  • Prizes, sweepstakes and lotteries
  • Online shopping
  • Business and job opportunities 
• Of those who got sucked into a scam, the median loss per person via phone scams was $1,400. 
• Of the nearly $8.8 billion lost to scams in 2022, $660 million was reported as stemming from “business imposters” or individuals falsely claiming ties to well-known companies. 

The Federal Communications Commission (FCC) has a dedicated Robocall Response Team that implements cease-and-desist notifications, hefty fines, caller ID authentications and a robocall mitigation database. The Robocall Response Team also supports robocall-blocking apps and consumer awareness.

The epidemic of scam phone calls tends toward a broad approach, but specific demographics rank higher on the target list. Seniors—and, by extension, their loved ones—are often the most impacted by car warranty scam calls. According to the Federal Bureau of Investigation (FBI), seniors lose over $3 billion annually to scams. Over 300,000 elder fraud cases are reported yearly, but many more go unreported.

Elderly consumers can hold greater potential for car warranty scammers because they could be more likely to have a solid credit and financial foundation. However, some seniors might lack an  awareness of sophisticated phone call schemes.

Below are five tips you can use to protect the elderly in your life from bogus warranty phone calls. 

1. Start a Conversation About Scam Phone Calls 

Incorporate warranty scam calls into your next conversation with your elderly parent, grandparent or friend. Sharing the experiences of others who’ve dealt with these calls can give context to the situation. Alert your senior that warranty scam calls happen often, and supply them with resources to deal with the situation if they ever answer a phone call that sounds fishy. 

2. Register for the Do-Not-Call List

Seniors may express the desire to join the National Do Not Call Registry. It takes about a month for the list to take full effect, but registering a phone number is free. 

3. Screen Your Phone Calls 

With modern technology, phone call screening is easier than ever. Explain to your elderly loved one that they should avoid picking up the phone unless they recognize the number. Updating a contact list with names and pictures can help your senior quickly identify whether a call is legitimate. 

4. Hang Up and Call Back 

Should a senior answer a warranty scam call, often the best response is hanging up and blocking the number. However, educating seniors on what to do if they’re unsure about the call can also be helpful. Asking questions about specifics can throw scammers off track. Inquire about which company they’re calling from and hang up before calling the company directly.  

5. Set a Secret Passcode With Loved Ones

Unfortunately, scammers can use advancements in voice technology and artificial intelligence to their own benefit. Many people of all ages have experienced scams where loved ones seemingly called them frantic for help. Set a secret passcode or phrase with your loved ones to avoid falling victim to these voice cloning scams. If there’s ever a question of authenticity, this passcode can help you validate your conversation.

If you recognize you’ve fallen victim to a car warranty scam call, begin damage control immediately. Notify your financial institution and place a fraud alert or credit freeze on your credit report. Submit a tip to the FBI and an online report to the Federal Trade Commission. 

Educating yourself and others about the dangers of car warranty scam calls can help prevent scammers from targeting more victims.