‘It Was a Chevy Cruze:' Denver Mechanic Gets an Email From Carshield. Now He's Warning Customers About a Major Policy Change
“We’ve blacklisted CarShield from our dealership.”
Accurate Auto (@accurateautoinc), a Colorado-based auto repair shop, posted a viral TikTok with one of the mechanics issuing a PSA against CarShield.
The post generated over 49,400 views as of this writing.
The Mechanic’s PSA on CarShield
In the post, the mechanic warns CarShield customers about a recent email his auto shop received.
“We got a unique email from CarShield. They told us that they will prioritize shops that can be the cheapest with labor rate and are able to accept the [expletive] aftermarket parts they want to use,” the mechanic shares.
He says Accurate Auto tends to decline to use the provided parts because they need to provide a warranty with the jobs they do there. The mechanic goes on to accuse CarShield of using cheap, low-quality aftermarket parts from Amazon, eBay, and StockAuto.
“One time, we had a customer needing an engine, and it was sourced from China for a Chevy Cruze. CarShield wanted me to use a $2,000 engine from China that wasn’t even guaranteed to fit the car. If we’re going to replace the engine, we’re going to need to provide a warranty,” the mechanic added.
He says this new initiative by CarShield will no longer prioritize what auto shop customers prefer. Instead, it will favor those with the cheapest labor and the shops using the aftermarket parts CarShield provides.
“We know CarShield headquarters watches our TikToks. So, if you are from there, please do what’s right for your customers. They pay you monthly. Don’t put garbage in their cars. Unfortunately, you are [expletive] people over here, and that’s not fair,” the mechanic concludes.
Do You Drive With Peace of Mind With CarShield’s Warranty?
CarShield's main marketing tagline on its website is “Drive With Peace of Mind.” The website continues with “At CarShield, our mission is to free our customers from the anxiety of unforeseen breakdowns and costly repairs. We achieve this through unmatched reliability, innovative products and services, and clear, honest communication.”
However, in 2024, CarShield had to pay $10 million to resolve charges of deceptive advertising, the Federal Trade Commission (FTC) reports.
According to the FTC’s complaint, CarShield advertises and sells extended warranty plans costing approximately $80 to $120 a month. The FTC argued the marketing was deceptive and misleading as customers found that many repairs were not “covered,” despite making payments of up to $120 per month.
The complaint alleges that CarShield’s ads deceptively represent that:
- All repairs or repairs to “covered” vehicle systems will be paid for under the plans;
- Consumers will receive a rental car at no cost when their car breaks down;
- Consumers can use the repair facility of their choice for repairs.
The complaint alleges that many ads claim all repairs or repairs to “covered” systems, such as the engine and transmission, will be covered, and use language that makes consumers believe CarShield will pay for all necessary repairs.
Advertisements would mention, “With CarShield’s administrators, they make sure you don’t get stuck with expensive car repair bills,” and that CarShield is “your best line of defense against expensive breakdowns.” These advertisements also used celebrity and consumer endorsers to make these false statements.
Additionally, many consumers could not use the repair facility of their choice as promised, as the shops did not accept CarShield.
“We’ve blacklisted carshield from our dealership,” one TikTok commenter said.
“Instead of delivering the ‘peace of mind’ promised by its advertisements, CarShield left many consumers with a financial headache. Worse still, CarShield used trusted personalities to deliver its empty promises. The FTC will hold advertisers accountable for using false or deceptive claims to exploit consumers’ financial anxieties,” said Samuel Levine, Director of the FTC’s Bureau of Consumer Protection.
Is CarShield Trustworthy?
Being sued by the FTC for false advertising and denying coverage claims puts the brand’s reliability into question. Extended warranty companies often get labeled for being scams and have bad reputations, CarTalk shares.
While CarShield has earned an A+ rating with the Better Business Bureau, the number of customer complaints from CustomerAffairs can’t be ignored.
“When it came to essential repairs, such as a new engine and dealing with wiring issues, we faced significant out-of-pocket expenses which totaled over $5,000,” one review mentions.
Viewers from TikTok also chimed in with negative experiences.
“I had CarShield. Nightmare. Waste of money. Had [expletive] canceling them. Beware,” one TikTok commenter shared
A second wrote, “I had Car Shield for over two years and paid $99 a month. I needed an AC compressor on my 2017 Nissan and took it to the dealership. The dealership called CarShield and they told us that they can get the air compressor cheaper and go to the salvage yard to get one. I didn't read that anywhere in my contract. I was told I could take my car to any place and the dealer was on your list of reputable places. I immediately canceled the contract with CarShield. Every time I needed it that part wasn’t covered.”
“Carshield is a scam and every repair shop I've talked to refuses to use them,” a third replied.
Overall, CarShield is a legitimate company; it just may be smart to proceed with caution.
Motor1 has contacted Accurate Auto Inc via email. Additionally, it has contacted CarShield via an online submission form. This story will be updated if either party replies.
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