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

Posted By: Datarock

Bought a new car but found out it has a shortened warranty - 10/03/18 02:44 AM

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.
Posted By: Nick1994

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 02:47 AM

What does it say in your purchase paperwork? Usually it's printed what the warranty is.
Posted By: Rolla07

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 02:54 AM

Id call up Kia corp and inquire about it. Also, what Nick said above.
Posted By: ZeeOSix

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 02:59 AM

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.
Posted By: Datarock

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 03:12 AM

I went through the paperwork and I do not see anything that show's warranty coverages.
Posted By: MONKEYMAN

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 03:16 AM

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.
Posted By: wallyuwl

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 03:25 AM

Yup, call Kia and if not resolved call your attorney generals office.
Posted By: Datarock

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 03:25 AM

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.
Posted By: slacktide_bitog

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 03:35 AM

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.
Posted By: maxdustington

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 03:45 AM

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.
Posted By: boulderdentist

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 04:33 AM

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
Posted By: JohnnyJohnson

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 05:00 AM

Did they heavily discount this car when you bought it?
Posted By: tiger862

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 05:04 AM

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
Posted By: Reddy45

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 05:10 AM

I think the paperwork covers you in this case. Breathe easy, I'm sure Kia will make it right.
Posted By: Zee09

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 09:54 AM

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.
Posted By: E150GT

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 12:39 PM

The Kia dealers in San Antonio have always struck me as shady.
Posted By: John_K

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 12:47 PM

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.
Posted By: hallstevenson

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 01:08 PM

The paperwork says "new" so it's new. Otherwise, the dealer committed fraud.
Posted By: MCompact

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 01:15 PM

Originally Posted by E150GT
The Kia dealers in San Antonio have always struck me as shady.


They sure are in the Louisville area...
Posted By: bullwinkle

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 01:27 PM

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.
Posted By: SirTanon

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 04:19 PM

If they specifically told you that the car was "New" and this was used as a selling point, especially if it was a crux of the sale, but it is not new, then the dealership has violated at least one law under the UDAAP standards, as set forth by Dodd-Frank.

If the paperwork lists the car as "New", then the dealership has a legal obligation to treat the car in every way as a new car, including warranty terms, etc..

I'd start by going in and speaking to someone in management at the dealership and let them know the problem, and give them a chance to remedy it. If they can't, or won't, then I'd do as others have mentioned and speak with the corporate office and/or your state's AG office.

Also, if it was me, I'd make sure that the person I spoke to at the dealership know that I would be mentioning Dodd-Frank and UDAAP laws if I had to take it above their heads. HUGE fines for violations of those laws.
Posted By: hallstevenson

Re: Bought a new car but found out it has a shortened warranty - 10/03/18 05:48 PM

Originally Posted by maxdustington
*It's a used car, "demo" = dealership staff's DD.

I can't speak for all states, but in Ohio, a new car dealer can use a new vehicle extensively and until a title is transferred, it's still a new vehicle.
Posted By: Datarock

Re: Bought a new car but found out it has a shortened warranty - 10/04/18 04:48 AM

First off, the registration does state "Previous Owner World Car Kia" so that 100% tells me it was registered to them previously.
On the warranty paper that was printed which started this whole situation, it states that the date of service was on actually a few months before my purchase date.
The car was sold at $19,605, which for this trim/package, is on the low end of the KBB Fair Market Range ($19,634 - $20,728) and then it had a $2,500 rebate for a total of 17,105 (Not including trade-in allowance, taxes etc.) So the car was absolutely sold in the new pricing category, on the low end yes, but still new with a rebate.

When there, the sales rep even printed out their True Car pricing on the vehicle to prove I was getting a great new car deal. The Truecar price was $17,706 and it does state this vehicle with matching VIN.

So it does seem that I have been taken for a ride here. I sent an online message last night to the dealership but I did not receive a reply today and as I stated, my sales person stated not to worry because of the separate lifetime warranty offered by "First Automotive." But I consider this a separate issue. I found an email address that goes to them and I am writing an email now with a lot of my concerns. I will let you know what they say to see if I need more guidance.
Thanks again
Posted By: Nick1994

Re: Bought a new car but found out it has a shortened warranty - 10/04/18 05:17 AM

Originally Posted by Nick1994
What does it say in your purchase paperwork? Usually it's printed what the warranty is.
Posted By: Datarock

Re: Bought a new car but found out it has a shortened warranty - 10/04/18 11:58 AM

Originally Posted by Nick1994
Originally Posted by Nick1994
What does it say in your purchase paperwork? Usually it's printed what the warranty is.



I have scanned all the documents and there is no mention of the warranty. If the car was sold as used it would be federally required to come with a buyer's guide stating the warranty. It's not here. Another proof they sold it as new.
Posted By: NYEngineer

Re: Bought a new car but found out it has a shortened warranty - 10/04/18 12:22 PM

I thought everybody drove King Ranches in Texas.
Posted By: wag123

Re: Bought a new car but found out it has a shortened warranty - 10/04/18 12:37 PM

As far as the government is concerned, if the car was registered with an MSO it was "new", regardless of it's age or miles. If the car was "RDR'ed" (retail delivery record/report, reported to the manufacturer by the dealer) at some point prior to your purchase, then the manufacturer considers you as being the second owner, negating the 10/100 powertrain warranty to you. Many new car dealers regularly RDR cars to meet sales quotas/contests. The problem here is with the dealer, they should have told you IN WRITING that the 10/100 warranty was invalid. To make this right, they should CPO the car for you at their expense to reinstate the 10/100 powertrain warranty, or, give you an extended warranty. If not, you have a legal claim against them, and car dealers know that they don't stand a chance in court against consumers when deceit or fraud can be proved. Use the RDR terminology when discussing this problem with the dealer.
Posted By: Hounds

Re: Bought a new car but found out it has a shortened warranty - 10/04/18 01:07 PM

Deleted.
Posted By: wag123

Re: Bought a new car but found out it has a shortened warranty - 10/04/18 01:14 PM

Hounds points are 100% valid. If the car was previously titled, then it WAS used and you should have been given a "Buyer's Guide". The question now becomes weather the dealer REPRESENTED the car as being new when you made the purchase. If there is anything in the sales contract and/or paperwork that says the car is new, then you have a legal claim. Also, if the car was previously titled and you were not given a Buyer's Guide, which is a federal requirement, you can prove deceit.
Posted By: Hounds

Re: Bought a new car but found out it has a shortened warranty - 10/06/18 09:42 PM

Datarock: I responded to your PM.
Posted By: Silverado12

Re: Bought a new car but found out it has a shortened warranty - 10/06/18 10:09 PM

Kia-Hyundai is bottom of the barrel, cheapest of the cheap. I wouldn't expect anything ethical about them and the businesses that support them. Sorry, but this is what you get when you turn your back on American union workers.
Posted By: Nick1994

Re: Bought a new car but found out it has a shortened warranty - 10/06/18 10:25 PM

Originally Posted by Silverado12
Kia-Hyundai is bottom of the barrel, cheapest of the cheap. I wouldn't expect anything ethical about them and the businesses that support them. Sorry, but this is what you get when you turn your back on American union workers.
Thank god they're cheap, I saved thousands buying my Alabama made Hyundai over a Malibu or a made in Mexico Fusion.
Posted By: demarpaint

Re: Bought a new car but found out it has a shortened warranty - 10/06/18 11:10 PM

I hate to say it but I'd say one year old with 1K miles on it, it's considered a used car. I would consult an attorney. It is possible they end up giving you some kind of extended warranty plan to compensate for the shortened warranty you have now.
Posted By: hallstevenson

Re: Bought a new car but found out it has a shortened warranty - 10/07/18 03:55 AM

Originally Posted by Silverado12
Kia-Hyundai is bottom of the barrel, cheapest of the cheap. I wouldn't expect anything ethical about them and the businesses that support them. Sorry, but this is what you get when you turn your back on American union workers.
You clearly know nothing about those cars, nor about the Hyundai company. More importantly, this is a dealer issue, not the Hyundai company (unless Hyundai owns their dealerships, which I doubt is the case).
Posted By: Brigadier

Re: Bought a new car but found out it has a shortened warranty - 10/07/18 04:12 AM

Originally Posted by Silverado12
Kia-Hyundai is bottom of the barrel, cheapest of the cheap. I wouldn't expect anything ethical about them and the businesses that support them. Sorry, but this is what you get when you turn your back on American union workers.


Ignorance is strong in this one.
Posted By: Datarock

Re: Bought a new car but found out it has a shortened warranty - 10/08/18 03:06 PM

**UPDATE**

The Dealer has made contact with me and stated they made a mistake. They are getting in contact with their KIA representative and will be extending any warranties to the full manufactures warranty. KIA Motors USA also made contact and said they will change it on their end if the dealer does not change it by the end of the week as the paperwork does show new.

Kia Motors USA states the start date of February will still remain but the mileage will be extended. The way I drive, the mileage will go before the date anyways so it's not a huge deal.

Thanks for all of your help, I referenced a lot of what you said when dealing with the dealer.

Silverado12 "Kia-Hyundai is bottom of the barrel, cheapest of the cheap. I wouldn't expect anything ethical about them and the businesses that support them. Sorry, but this is what you get when you turn your back on American union workers."

Here is the website for Hyundai's USA Plant https://www.hmmausa.com/ and here is the website for KIA USA plant https://www.kmmgusa.com/
I have owned a couple of Hyundai's and KIA's and always been happy with them.
Posted By: madRiver

Re: Bought a new car but found out it has a shortened warranty - 10/08/18 08:57 PM

Originally Posted by Silverado12
Kia-Hyundai is bottom of the barrel, cheapest of the cheap. I wouldn't expect anything ethical about them and the businesses that support them. Sorry, but this is what you get when you turn your back on American union workers.


You drink the made in America by union kool-aid they feed you.



A dealer franchise sold a car with improper pretenses, how on earth does that relate to “unethical” corporation.


Unethical corporations I know of;
* GM selling cars for years with known bad ignitions but too lazy and cheap to redesign part.
* VW flat out lying to EPA along with deceit in Diesel engine emissions

Likely more
Posted By: spasm3

Re: Bought a new car but found out it has a shortened warranty - 10/08/18 09:03 PM

Originally Posted by madRiver
Originally Posted by Silverado12
Kia-Hyundai is bottom of the barrel, cheapest of the cheap. I wouldn't expect anything ethical about them and the businesses that support them. Sorry, but this is what you get when you turn your back on American union workers.


You drink the made in America by union kool-aid they feed you.



A dealer franchise sold a car with improper pretenses, how on earth does that relate to “unethical” corporation.


Unethical corporations I know of;
* GM selling cars for years with known bad ignitions but too lazy and cheap to redesign part.
* VW flat out lying to EPA along with deceit in Diesel engine emissions

Likely more


Not to mention the gm 3.6 debacle.
Posted By: slacktide_bitog

Re: Bought a new car but found out it has a shortened warranty - 10/08/18 09:11 PM

Originally Posted by Datarock
**UPDATE**

The Dealer has made contact with me and stated they made a mistake. They are getting in contact with their KIA representative and will be extending any warranties to the full manufactures warranty. KIA Motors USA also made contact and said they will change it on their end if the dealer does not change it by the end of the week as the paperwork does show new.

Kia Motors USA states the start date of February will still remain but the mileage will be extended. The way I drive, the mileage will go before the date anyways so it's not a huge deal.

Thanks for all of your help, I referenced a lot of what you said when dealing with the dealer.
-snip-
Here is the website for Hyundai's USA Plant https://www.hmmausa.com/ and here is the website for KIA USA plant https://www.kmmgusa.com/
I have owned a couple of Hyundai's and KIA's and always been happy with them.



Glad to hear they fixed it for you thumbsup
Posted By: fisher83

Re: Bought a new car but found out it has a shortened warranty - 10/08/18 11:30 PM

Hyundai and Kia make very competent vehicles and back them up with the strongest warranty coverage in the business. The 10 yr/100,000 mile warranty was the best thing they have ever done to gain buyers confidence and it has paid off for them big time. Choosing a vehicle that meets all of your needs, is affordable, and offers a good warranty is sensible. In addition to all of this, the vehicles do generally prove to be very reliable. Instead of blaming the customers for being unpatriotic why don’t the Big 3 compete by at least offering comparable warranty coverage to entice buyers?
Posted By: spasm3

Re: Bought a new car but found out it has a shortened warranty - 10/09/18 12:12 AM

Originally Posted by Silverado12
Kia-Hyundai is bottom of the barrel, cheapest of the cheap. I wouldn't expect anything ethical about them and the businesses that support them. Sorry, but this is what you get when you turn your back on American union workers.


No, they are not. In fact my hyundai has been a more solid car than than others i've owned. It was built in Alabama.
Posted By: MCompact

Re: Bought a new car but found out it has a shortened warranty - 10/09/18 12:13 AM

Putting cash in the coffers of the UAW has never been a consideration when I select a vehicle. In fact, I buy Wranglers in spite of their being assembled by the UAW.
As for Hyundais and Kias, they are very good cars- just not my cup of tea...
Posted By: ernied

Re: Bought a new car but found out it has a shortened warranty - 10/09/18 12:56 AM

I remember back in the sixties general motors had a five year or 50000mile warrenty on
a buick special I bought. but they did not have it very long.
Posted By: Hootbro

Re: Bought a new car but found out it has a shortened warranty - 10/12/18 04:14 PM

Glad to hear they are unscrewing this deal for you.

My wife is from SA and many years back bought a KIA Sportage from World Car KIA. Got a call a few months after the sale from the GM of World Car to let us know that the finance person who process our deal was fired from the company for stealing customer info and opening credit card lines of credit in my wife's and a few others name. They did pay for the legal costs and any reimbursement to get her credit history clean of the incident
Posted By: s2krunner

Re: Bought a new car but found out it has a shortened warranty - 10/13/18 10:46 AM

Glad that it worked out for you OP. Also its always good to hear from dealer that they stand up for customer. That sales meh. Lol



Originally Posted by Silverado12
Kia-Hyundai is bottom of the barrel, cheapest of the cheap. I wouldn't expect anything ethical about them and the businesses that support them. Sorry, but this is what you get when you turn your back on American union workers.


There are thousands Americans works for Kia/Hyundai. I bet your Chevy has many parts made in China or Mexico.
Posted By: madRiver

Re: Bought a new car but found out it has a shortened warranty - 10/13/18 06:20 PM

UAW can be squarely blamed for reasons domestic branded auto makers build cars in Mexico. Overpriced and overpaid labor that offers little more benefit except to workers.

Honda, Hyundai, and Toyota, Subaru sell a considerable amount of vehicles built by excellent non union us workers.
Posted By: demarpaint

Re: Bought a new car but found out it has a shortened warranty - 10/13/18 06:39 PM

Originally Posted by Datarock
**UPDATE**

The Dealer has made contact with me and stated they made a mistake. They are getting in contact with their KIA representative and will be extending any warranties to the full manufactures warranty. KIA Motors USA also made contact and said they will change it on their end if the dealer does not change it by the end of the week as the paperwork does show new.

Kia Motors USA states the start date of February will still remain but the mileage will be extended. The way I drive, the mileage will go before the date anyways so it's not a huge deal.

Thanks for all of your help, I referenced a lot of what you said when dealing with the dealer.

Silverado12 "Kia-Hyundai is bottom of the barrel, cheapest of the cheap. I wouldn't expect anything ethical about them and the businesses that support them. Sorry, but this is what you get when you turn your back on American union workers."

Here is the website for Hyundai's USA Plant https://www.hmmausa.com/ and here is the website for KIA USA plant https://www.kmmgusa.com/
I have owned a couple of Hyundai's and KIA's and always been happy with them.

I'm glad it worked out for you.

FTR A Union made product is no guarantee of a better product. There are plenty of non-union American workers that do just as good or better work than union workers.

Rant off.
Posted By: Datarock

Re: Bought a new car but found out it has a shortened warranty - 10/17/18 02:08 PM

**UPDATE 2**

Kia Corporate made contact and stated not only have they extended the warranty coverage to show I am the original owner, they pushed the date it started to my original sales date. Originally, I was told that I would be given the miles but would keep the Feb 2018 date. Now it has a May 2018 date with the full 10 YR/100K powertrain and every other warranty the cars have.

I really do love the vehicle and I have my second oil change this weekend at 7,500 miles (I did the first one at 1,500 to switch to Magnatec Full Syn) I plan to have a Oil Analysis done to see how the engine is wearing so look for that in the next month or so.

Thanks again everyone.
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