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Home Warranty Scams: A Protective Guide for Homeowners

Home Warranty Scams: A Protective Guide for Homeowners

In light of the recent wave of fraudulent home warranty notices targeting unsuspecting homeowners, it has become increasingly important to be diligent. 

The maintenance and repair costs creating the financial burden of homeownership are significant, and the allure of a home warranty plan that purportedly protects homeowners from these high costs can be quite attractive. However, the example of Gloucester residents shows how such an attractive offer could turn out to be a scam.

Beware of The Home Warranty Scam

Recently, in Gloucester, city residents received misleading letters falsely claiming to be from the city's nonexistent Home Warranty Department. These sham alerts mislead homeowners with language such as “FINAL NOTICE.” They declare homeowners' warranties on critical home systems like air conditioners, hot water heaters, and furnaces to be expiring.

The Importance of Vigilance

To safeguard against such scams, we urge homeowners like you to be vigilant. 

In the case of Gloucester, the city advised ignoring such mail and provided resources from the Consumer Financial Protection Bureau, indicating steps to identify, report, and avoid such scams. As these scams aim to scare homeowners into action with the financial risk of home repairs, it's crucial not to succumb to pressure and thoroughly verify such claims.

The Role and Importance of Genuine Home Warranty Plans

However, we cannot overstate the value of authentic home warranty plans. Genuine home warranty plans significantly relieve the financial burden of unexpected home repairs. So, despite the prevalence of such scams, don’t be discouraged from investigating legitimate home warranty offers.


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