Bought a new car but found out it has a shortened warranty

Messages
87
Location
San Antonio, TX
Thread starter
Evening everyone, I have a situation that I wanted to get into and see what options I had to correct it. I have a few ideas but I am sure someone will have more knowledge in this area then I have. On Memorial day this year I bought a "New" 2017 Kia Forte S from a large Kia Dealer in San Antonio TX. The car had just over 1K miles on it but I was told this was from the car being on the lot since last year and used on test drives, maybe even given out as a loaner from the service center etc. I was ensured the car was going to be sold as new and would have a full manufactures warranty. The car did not have any addendum on it that stated a shortened warranty was going to apply and it had no indications that it was being sold as used. During the purchase, the legal paperwork that I signed shows every box is checked "New". No demo or used is checked off, only new. Our Kia Niro had an electrical/hybrid system update so I brought it in and I was chatting with one of the techs as I had noticed the battery in the Forte had a 2018 sticker on it. He pulled up the service history and stated when it was on the lot the battery died and they had replaced it. He printed all the service reports for me and one of the pages had the full explanation of what my warranty coverage was. I did not notice it when I quickly glanced over it until I got home but I noticed that It stated that my car's 100K/10 YR powertrain warranty was actually 60K/5 YR due to the vehicle being a "Test Drive Program" car. The Bumper/Bumper was not changed however which is good. In Texas, Dealers are not allowed to give the buyer any indications that a car is being sold as new if it's actually used. While I can't prove that they verbally told me the car was being sold as new with full manufacturers warranty, they did only check off the new box on all of the paperwork and I have text from that sale's pro that also prove my claim. Do you feel this would be enough to file a complaint and try to go after this? I texted/called my sales person and he said I should not worry about it because all car's sold at this dealership have a lifetime powertrain warranty. I told him what I had told the business guy that did my paperwork, the lifetime powertrain warranty is worthless to me. One of the clauses in the contract state that all maintenance has to be performed by a licensed, registered mechanic shop. As I tend to do a lot of maintenance on my own, it's a worthless cause and at least with the manufactures warranty, I could prove I did the maintenance for a powertrain warranty claim, I even only use Kia Oil filters which I have read on BITOG is very important on Kia claims. The sales person never returned my text/call today after he said he was going to find something out. What do you all suggest/think? Thanks everyone.
 
Messages
24,074
Location
PNW
Originally Posted by Datarock
He printed all the service reports for me and one of the pages had the full explanation of what my warranty coverage was. I did not notice it when I quickly glanced over it until I got home but I noticed that It stated that my car's 100K/10 YR powertrain warranty was actually 60K/5 YR due to the vehicle being a "Test Drive Program" car. The Bumper/Bumper was not changed however which is good.
Maybe that's a standard KIA thing, something they do on 'demo cars' or 'loaner cars' even though it was technically sold as new. If so, the dealership should know about that and tell any potential buyer.
 
Messages
2,804
Location
St. Louis
Originally Posted by ZeeOSix
Maybe that's a standard KIA thing, something they do on 'demo cars' or 'loaner cars' even though it was technically sold as new. If so, the dealership should know about that and tell any potential buyer.
They should also discount it if the warranty is reduced. With my 2017 Elantra what dealership said and Corporate said were two different things. I second contacting Corporate. What your dealership did seems fraudulent.
 
Messages
87
Location
San Antonio, TX
Thread starter
I found that a used car is required to come with a used car buyers guide that would specifically state the reduced or as/is warranty. Its required by the FTC. By not providing one is even more proof that even they sold it as a "New" car.
 
Messages
9,906
Location
USA
Usually demo cars are considered "new" because you'd still be the original owner. If they couldn't do that, they could have at least "certified" it. Kia's CPO cars retain the full 10-year/100k warranty. Also, interest rates are different with new and used cars. New cars typically have a lower interest rate. If the paperwork says new, then it is legally a new car.
 
Messages
3,651
Location
Worst Case, Ontario
Your problem is with the dealer, not the warranty. I wonder what the "test drive program" is? 1. They know they will sell these at a discount to cheapskates, so they knock a little value off the top. No one is going to care when they are getting a "new"* car for less than a new car. 2. Dealership staff is going to beat on it while getting groceries and running errands, and then beat on by test drivers trying to see how fast it is. Multi user = extra wear. *It's a used car, "demo" = dealership staff's DD.
 
Messages
92
Location
Boulder, Colorado
I really don't have any insight but a couple of suggestions. Check the DOS Date of Service, if sold as new should be when you took possession. If DOS is when they started to use it, then I would not consider it new. Also see if you are the first to title the vehicle, if dealer titled it, then it cannot be new because you would be second owner to title. Kia is known for its 10 year, 100,000 mile warranty. If you can prove the vehicle is not new, then you have damages, should reduce the price accordingly. I would argue that the 10 year/100,000 mile warranty is a point of sale. This might constitute "fraud in the inducement". Do I have to use the dealer for repairs and maintenance to keep my warranty in effect? No. An independent mechanic, a retail chain shop, or even you yourself can do routine maintenance and repairs on your vehicle. In fact, the Magnuson-Moss Warranty Act, which is enforced by the FTC, makes it illegal for manufacturers or dealers to claim that your warranty is void or to deny coverage under your warranty simply because someone other than the dealer did the work. The manufacturer or dealer can, however, require consumers to use select repair facilities if the repair services are provided to consumers free of charge under the warranty. You are protected from this by the Magnuson-Moss Warranty Act. Perhaps if they have a "lifetime warranty" they may require you to service it with a licensed repair shop. For regular warranty Magnuson-Moss protects you. Check the DOS, point of sale, title, and tell them about Magnuson-Moss Act. I think you should have been informed and disclosed if the warranty had been reduced. Good luck. If doing your own repairs or maintenance keep receipts and detailed, meticulous records. Scott
 
Messages
1,101
Location
PEARL River la
Look at registration it will tell you new or used. I just bought a new Grand Caravan with 3k and was told it was demo so I would have best of both worlds new car warranty with new car for lower price. Insurance needed to know used or new and no one would give me an answer so I put used but not titled according to carfax. Got registration in it stated used. Well now I know why it was 19k out the door. Lucky I have 7 year extended bumper to bumper warranty
 
Messages
4,250
Location
OK
I think the paperwork covers you in this case. Breathe easy, I'm sure Kia will make it right.
 
Messages
1,849
Location
Tri State Conservative
Originally Posted by JohnnyJohnson
Did they heavily discount this car when you bought it?
This is what we need to know. If you got it for a song, I'd except the warranty. If not, look into it further.
 
Messages
3,069
Location
Columbus, Ohio
Originally Posted by slacktide_bitog
Usually demo cars are considered "new" because you'd still be the original owner. If the paperwork says new, then it is legally a new car.
The Sonata in my sig file was a demo car, they said even though we were buying at the used car lot we were considered the orignal owner and we got the 10 year warranty.
 
Messages
5,999
Location
KY
Originally Posted by E150GT
The Kia dealers in San Antonio have always struck me as shady.
They sure are in the Louisville area...
 
Messages
10,415
Location
Cincinnati, OH, USA
We have an advantage here in OH-there's an 8 1/2" by 11" piece of paper with a huge box that says "NEW" or "USED" on it. Sounds like you got screwed-and you're lucky to have discovered the stealership's attempt to rip you off, hopefully in time to fix it.
 
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