Auto warranty robocalls are usually illegal. They are prerecorded sales calls for vehicle service contracts, placed without the written consent the TCPA requires. In 2023 the FCC fined one operation $299,997,000 for more than five billion of these calls. If you can identify the seller, each call may be worth $500 to $1,500.
The calls, and what they are really selling
The recording says it is calling about your vehicle’s warranty, which is about to expire or has already lapsed. It says this is your “final notice” and asks you to press 1 to speak with a warranty specialist.
The product is almost never a warranty. The FTC explains the difference. A manufacturer’s warranty is included in the price of a new vehicle. An auto service contract is a separate product you pay extra for. The FTC warns that companies behind “calls, texts, or mail warning that your warranty is about to expire” may give the impression they represent your dealer or manufacturer, and use phrases like “Motor Vehicle Notification,” “Final Warranty Notice” or “Notice of Interruption” to make the offer seem urgent.
The FCC’s record fine
On August 3, 2023, the FCC issued a $299,997,000 forfeiture, the largest in its history, against an auto warranty robocall enterprise (Forfeiture Order FCC 23-64). According to the FCC:
- The operation made more than five billion robocalls to more than 500 million phone numbers during a three-month span in 2021.
- It used more than one million different caller ID numbers to disguise where the calls came from.
- It made prerecorded calls to mobile phones without consent, telemarketing calls without written consent, and calls to numbers on the National Do Not Call Registry. It failed to identify the caller at the start of the message and failed to provide a callback number for opting out.
- Since at least 2018, it sold vehicle service contracts “under the false and misleading claim of selling auto warranties.”
- Two central figures, Roy M. Cox and Aaron Michael Jones, were already under lifetime telemarketing bans from earlier lawsuits by the FTC and the State of Texas. The enterprise used names including Sumco Panama, Virtual Telecom, Davis Telecom, Geist Telecom, Fugle Telecom, Tech Direct, Mobi Telecom and Posting Express.
In 2022, the FCC had directed U.S. voice providers to stop carrying traffic tied to the operation, and the FCC reports these auto warranty robocalls then dropped by 99%. That action was coordinated with the Ohio Attorney General’s Office, which brought its own TCPA lawsuit against entities and people linked to the enterprise.
Which rules the calls break
| Feature of the call | Rule |
|---|---|
| Recorded voice to a cell phone, selling something | Needs prior express written consent, 47 C.F.R. 64.1200(a)(2) |
| Recorded sales call to a home landline | Needs prior express written consent, 64.1200(a)(3) |
| Your number is on the Do Not Call Registry | More than one call in 12 months is actionable, 47 U.S.C. 227(c)(5) |
| No company name at the start of the message | Identification required, 64.1200(b) |
| Fake or rotating caller ID | Truth in Caller ID Act, 47 U.S.C. 227(e) (FCC enforcement) |
When you may have a claim
You likely have a TCPA claim if the call used a recording or artificial voice, it reached your cell phone or home line, and you never signed a written agreement with the seller to receive such calls. Each call can be a separate violation, worth $500, and up to $1,500 if a court finds it willful or knowing.
The obstacle is the same one the FCC faced: finding who is responsible. The dialer may be offshore. The name that matters is the company that sold, or administers, the service contract. Service contracts usually name a seller and an administrator in the paperwork. That document is often what turns an anonymous robocall into a case. If the caller refuses to name anyone in writing, that refusal is worth noting too.
When you probably do not
- Your own dealer called, with a live person, about a contract you asked about.
- You bought a service contract and the company calls about your account, without a sales pitch.
- You got a single live sales call and your number is not on the Registry.
How to document an auto warranty robocall
- Keep the voicemail. It proves the call was prerecorded and captures the “final notice” language.
- If you press 1, gather names, not promises. Ask which company sells the contract and which company administers claims. Do not give your VIN, card number or bank details.
- Ask them to email the contract or quote. The document names the seller and administrator.
- Log each call with date, time and the caller ID shown. Our call log template works well here.
- Report the calls to the FTC at ReportFraud.ftc.gov and to the FCC.
What to do next about car warranty calls
If the calls keep coming, gather a voicemail and a company name, and if the seller will not give a name, use our guide to identifying an unknown caller. Read how the TCPA treats recorded and AI voice sales calls, and use the case value calculator to see what the calls could be worth. Then request a free review to find out whether the company behind the contract can be held responsible.
Frequently asked questions
Are auto warranty robocalls illegal?
Almost always. They are prerecorded sales calls, and the TCPA requires prior express written consent for those. The FCC found one operation made more than five billion such calls and fined it $299,997,000.
Is my car warranty really expiring?
The robocall is not a reliable source. The operation the FCC fined dialed more than 500 million numbers in three months. Check your warranty dates with your dealer or the manufacturer directly.
Can I sue for car warranty robocalls?
Yes, if you can identify the company selling the service contract. Each illegal call can carry $500 in statutory damages, or up to $1,500 if a court finds it willful or knowing.
What is the difference between an auto warranty and a service contract?
A manufacturer’s warranty comes with a new car at no extra cost. A service contract is a separate product you pay for. The FTC warns that many “extended warranty” offers are really service contracts.