Interstate National Dealer Services, Inc. Review: FRAUD, BREACH OF CONTRACT AND DECEPTIVE ADVERTISING 333 Earle Ovington Blvd.,Uniondale New York

DO NOT BUY!  Auto Repair Warranty SCAM!!

Interstate National Dealer Services, Inc. & Endurance Direct

At the request of my wife, I purchased an auto repair warranty for our 2008 GMC Acadia with 106,000 miles rather than sell the car, we only use it now for long holiday trips i.e. Christmas Holidays & Summer Holidays.  The vehicle has had all its manufacture required maintenance done as directed by the owner’s manual.   101 days after we purchased the warranty and with 107,260 miles on the car the transmission failed.  When this happened I found that the contract states that you must wait 90 days and 1,000 miles which we thankfully fulfilled.

Steven Kay (customer service manager) told me that Barry Singer (claims supervisor) stated that the transmission fluid was burnt and had metal shavings so they wouldn’t cover any repairs because there should have been warning signs that the transmission was overheating.  I spoke to the mechanic working on my car, an extremely reputable firm that has been fixing only transmissions since 1958 and has all the qualifications and membership, the mechanic told me the fluid wasn’t burnt and there were no metal shavings!  Furthermore he never stated such to anyone!

Now Steven’s story changed, he told me that Barry needed additional documentation showing the mileage on the car.  I proved my receipts for an oil change (I completed the same day I purchased the warranty) and for work done by GMC (I had actually guessed at my mileage when on the phone getting the warranty and had 200 more miles than I stated).  Now with the mileage confirmed Steven didn’t answer my calls for the next 2 days!

When Steven and I spoke again, I asked him to provide in writing why my claim was denied, he had to get back to me.  The next day I called him again and he told me I would have to send a written request (email or fax) to their legal group at paralegal@inds .  The legal group would respond to my request. 

That was over a week ago, guess what… The legal group has never responded to my request!

The only time this company has called me was 15 minutes after I completed their online survey.  Now they will not call me back, you must always call them.  I have learned from this experience, anything that happens to your car you should have seen the signs, even when you have no warning lights on?  The car also includes the towing package with built-in protection, coolers and warning lights for the transmission.  As I have done research on the GMC Acadia warning system I have found that the car will alert you of an overheated transmission and not allow you to drive with an overheated transmission!

The Issues:

1. Fraud

a. – Their claims department had no record of me buying a warranty and told the repair shop I didn't have a warranty with them.  When I contacted the company to understand why my warranty had not been entered into their system they suddenly had found it?  If you don’t have a claim what are they doing with the submitted funds?  Wait a year and submit to the insurance company for a shorter term and pocket the difference?  Do they have two sets of books?  When does this company get a financial audit?

b. – Their claims department stated that the mechanic told them that the transmission fluid was burnt and had metal shavings. When questioned, the mechanic stated he had never told them that.  Is this the company line for all transmission failures?   Mechanic also stated that the claims representative told him they would not fix the transmission because of the days and mileage since the contract was issued, never said anything about the condition of the transmission.

2. Breach of Contract – I have clearly completed the requirements of the contract yet this company refuses to honor its contractual obligation.  When asked to get something in writing you are told to send  a letter to their legal department, which has been done.  I would like them to honor their contract but they will not!

Sincerely, Michael

UPDATE: Steven has called me and offered a full refund plus a $100.00 Gas Card if I remove my complaints!  So this is how they work and why they maintain a good customer rating!  You pay them thousands of dollars for warranty coverage that they will never provide!  If you have a major failure the claim is rejected.  If you file a complaint with the BBB you get a refund.  You never receive anything in writing!  What a great scam.