Delta Auto Protect Delta Auto Protect Is a SCAM Fromerly Direct Buy Auto Warranty Philadelphia Pennsylvania
So it seems the newly formed Direct Auto Protect is really the gang from Direct Buy Auto Warranty or DirectBuyAutoWarranty.com (corporation opened in Pennsylvania two months prior to being given a cease and desist order in NJ as Direct Buy Auto Warranty. Buyer BEWARE Delta Auto Protect WAS Direct Buy Auto Warranty SCAM!
I purchased a warranty from Delta Auto Protect, the dealer couldn't get any claims paid, they said Delta Auto Protect was a nightmare to deal with and the company would not refund my money, I had to pay the bill myself and hire an attorney. My attorney used his private investigator to do some research and uncovered the ugly truth.
You see Direct Buy Auto Warranty was given an F Rating by the BBB, Sued by the NJ Attorney General and given a cease and desist order and advised they could no longer operate in NJ or sell to residents of NJ so they moved to PA and are operating under the name Delta Auto Protect. They created Delta only a few months before the cease and desist order was given because they knew what was coming so why not jump the Delaware River and start fresh:
News Article outlining details:
A company that advertised customers "would never pay for covered auto repairs bills again" has agreed to stop operating in New Jersey within six months and reimburse consumers who purchased motor vehicle service contracts but were not provided the coverage as promised.
The settlement resolves a lawsuit brought by the New Jersey Division of Consumer Affairs last year after Direct Buy Associates Inc, which operates as Direct Buy Auto Warranty, with a business address in the Iselin section of Woodbridge, allegedly violated the New Jersey Consumer Fraud Act, the Regulations Governing General Advertising, the Plain Language Act and the Business Corporations Act through its advertising, offering for sale and sale of motor vehicle service contracts.
Direct Buy Auto Warranty advertised it sold auto warranties and/or extended auto warranties that provided "comprehensive" and "bumper to bumper" coverage. The company, however, sold motor vehicle service contracts, not warranties, and the coverage offered was limited by a number of exclusions.
Eddie Miller, Direct Buy Auto Warranty manager, said the company never advertised "bumper to bumper" coverage.
"Many customers purchase an auto warranty or extended warranty and they think everything is covered," said Miller, adding that the contract is posted on the company's website, allowing customers to see what they are purchasing before they pay.
In addition, Miller thinks it was an overreaction by the state to force the company to stop operating in New Jersey.
He said the company agreed to the settlement in an effort to avoid costly litigation.
He said of the 270 consumer complaints over nearly four years, 41 were directed to the consumer affairs and the rest were taken from the Better Business Bureau. He said the majority had been resolved by the company before consumer affairs got involved. Of the 43 customers scheduled to receive restitution, Miller said 27 that had already been refunded, canceled or claims paid, so the restitution amount should have been reduced.
"We are striving to make the company better," said Miller, adding that many of the directives have already been implemented by the company.
According to the New Jersey Division of Consumer Affairs, the company advertised that customers who purchased coverage "would never pay for covered auto repair bills again," and that it would pay "100 percent of covered repairs" and that there was "no limit on how much we will pay your shops labor rate."
But in reality, the motor vehicle service contracts provided by the company did not pay for repairs that exceeded the manufacturers suggested retail price for motor vehicle parts or for labor that exceeded the "current national flat rate."
The settlement will provide up to $199,559.75 in restitution to qualifying consumers who purchased the company's motor vehicle service contracts and filed complaints with the consumer affairs division. The company also was assessed a $500,000 civil penalty, and it will pay an additional $111,009.41 in reimbursement to the state for its attorneys' fees and investigative costs.
Out of the total settlement amount, $400,000 of the civil penalty is suspended but will become due if the company violates the terms of the final consent judgment.
"Businesses that engage in deceptive tactics like those alleged here harm New Jersey consumers, violate New Jersey's consumer protection laws, and will not be permitted to do business in the state. This settlement protects New Jersey consumers by prohibiting Direct Buy Auto Warranty from selling contracts to our consumers and by requiring that they shut down its New Jersey business," Acting Attorney General John J. Hoffman said.
Consumers reported the company denied claims verbally, and that the reasons for issuing a denial changed when consumers made repeated inquiries. Under the settlement, the company is required to issued written notifications of denials and must state the reason for the denial.
Under the settlement, the company will be required to inform the state's consumer affairs office of any complaints it receives during at least the next 12 months and how those complaints were resolved. Any additional complaints directly filed with the division will be forwarded to the company. Those consumers not satisfied with the company's response may choose to arbitrate their complaints before the Division's Alternative Dispute Resolution Unit.
Under the terms of the settlement, the company's website must be revised to state the company no longer sells motor vehicle service contracts to New Jersey consumers, and to provide its new business address outside the state, once it shuts down its business operations in New Jersey.
11 Updates & Rebuttals
KEVIN P
Brackney,Pennsylvania,
United States
Charles Seruya your company sucks
#12Consumer Comment
Tue, March 20, 2018
First few claims went ok. Last fall $180 for tie rod, after 3 months of trying to get paid the dealership demanded I pay and never come back. Promises of check was sent over and over. I posted on BBB and Aaron promised it was a stupid mess up and had a check to me in 3 days if I remove my comments. January my torque converter went bad. I spent 17.5 hours on hold over several days, multiple emails and voice messages before authorization was given. Now pushing 69 days since I was told DAP had the receipt, and still no reimbursement. I am out $1603 reimbursement, already paid interest on the charge. Have spent another 4 hours on hold, multiple emails and voice messages, all of which never get contacted back. Supposedly 3 checks have been mailed but I have not recieved any. Your company customer service is a sham. You should be ashamed of yourselves!
Zundfolge
San Francisco,California,
USA
Charles Seruya, Delta President: Answer This Question
#12General Comment
Tue, June 28, 2016
Charles Seruya, President of Delta Auto Protect: Have you ever been affliated in any way with Direct Buy Warranty?
Be careful how you answer this, because apparently theres an old LinkedIn profile in archived at Google for "Charles Seruya" "Senior Underwriter at Direct Buy Warranty."
If you were ever affiliated with Direct Buy Warranty, then considering your present position of President of Delta, assuming that Delta Auto Protect was created to replace Direct Buy Warranty after Direct Buy was kicked out of New Jersey may be a totally reasonable thing for people here to conclude. Meaning that your denials and lawsuit of the original author here are unfounded. As it is, by filing a suit against the original poster smacks of a Strategic Lawsuit Against Public Participation (SLAPP). And it tells anyone reading this all that they need know about Delta and their ways.
Coming clean here and owning any history and actions would go a far longer way in making Delta appear to be credible rather than a questionable auto warranty provider who is threatening and litigeous in order to keep a possibly shady history hidden.
areiter
Suffern,New York,
USA
Notice to Author
#12General Comment
Wed, June 22, 2016
Please take notice that Omega Vehicle Services, LLC d/b/a Delta Auto Protect (“Plaintiff”) has initiated an action in the Superior Court of Maricopa County (Arizona), case number CV-2016-003257 (“the Action”), due to allegedly false statements made by the author, “DeltaAutoWarrantyisDirectBuyAutoWarranty” and authors of additional comments, "DeltaIsAScam,” “Will,” “Unhappy victim,” and “DigitCEO.” In the Action, Plaintiff seeks to subpoena the records of Xcentric Ventures, LLC for your identifying contact information to be sent to Reiter and Zipern, Attorneys at Law at: 75 Montebello Road, Suffern NY 10901. Plaintiff has served a subpoena on Xcentric Ventures, LLC, the company that owns and operates this website, to reveal your identities. You may have a right to file and serve a response to the subpoena anonymously. If you intend to file and serve a response, please do so, or notify us of your intent to do so, on or before July 1, 2016 (the original date for Xcentric Ventures, LLC to produce said information was June 24, 2016, but we will not demand production until July 8, 2016 to allow sufficient time for you to provide same), to Arnold E. Reiter, Esq. via email (areiter@reiterlawfirm.com) or facsimile (845-738-4239).
DeltaIsAScam
Alabama,USA
Delta is TERRIBLE
#12Consumer Comment
Thu, March 31, 2016
Ran into the SAME issues, claims denied and a run around. A quick search found this from an outdated linked in profile
Charles Seruya ... Senior Underwriter at Direct Buy Warranty ...
Will
Cedar Park,Texas,
USA
Delta Auto Protect-BEWARE!
#12Consumer Comment
Thu, March 24, 2016
Nightmare to deal with is very, very true. You will be lucky if you can get a straight answer. And even more lucky if you get your claim paid. Rather they are the same company as the NJ company that relocated to PA, I don't know, BUT I do know they are not an honest company and as an experienced consumer with Delta Auto Protect, I would advise my friends and family to RUN AWAY from this company. One thing you will get from Delta Auto Protect is a very long and frustrating joy ride that they call the "in review" process. This may take 10-12 days or you may get an extended journey that lasts weeks before you know if they will approve the repairs you need. Pack a LARGE bag for this trip, if you chose to buy a plan from Delta Auto Protect! AND the bill for the journey will be paid out of your own pocket!
personaltrain
san diego,California,
USA
PROOF??
#12Consumer Comment
Tue, November 03, 2015
I have contacted Delta because of your report. Delta has completely denied all your allegations and say they have absolutely no affiliation to Direct Buy Auto. Can you please for the sake of my confusion connect the dots for me, can you prove that Delta is the violating company?
Names, any type of proof at all?
Charles S.
BROOKLYN,New York,
USA
THIS IS A FALSE COMPLAINT THAT WAS FILED BY A COMPETITOR
#12REBUTTAL Owner of company
Fri, October 30, 2015
The information contained in this posting as it pertains to Delta Auto Protect is patently FALSE Delta Auto Protect does not for Air Conditioning coverage in our Diamond Plus program. This review as all reviews on this matter is being posted by a competitor.
Once again any questions of concerns feel free to reach me directly.
Charles Seruya - President
Delta Auto Protect
866-598-5429
1800 John F. Kennedy Blvd
Philadelphia, Pa 19103
Unhappy victim
Willowbrook,Illinois,
USA
Delta Auto Protect SCAM
#12Consumer Comment
Sat, October 17, 2015
FYI. Since Delta insisted on supplying the replacement parts the Honda dealer will not warranty the AC repair. Just another reason to stay away!!!!
Unhappy victim
Willowbrook,Illinois,
USA
Delta Auto Protect SCAM
#12Consumer Comment
Wed, October 14, 2015
I purchased their Diamond Plus extended warrany that was to cover everything on my Honda. It came with a 30 day moneyback guarantee. The problem with that is you have to wait 30 days before you can file a claim. Guarantee is worthless. I had my car at a Honda dealer for an electrical problem and AC was not working. Delta refused to pay anything on the electrical problem and insisted on sending out the AC parts needed for the repair. Parts arrived 3 days later. Labor was to be paid by Delta. The car was repaired and ready to be picked up. The Honda dealer called Delta multiple times a day for their credit card number to cover their small portion of the repair bill. 3 weeks later still no response from Delta. I had a rental car from the dealer. Delta was supposed to cover that too but would only cover ONE DAY. It took three days alone to get the parts shipped to the dealer. Nothing in the contract stated that Delta would have to supply the repair parts. THIS IS A PYRAMID SCHEME. They take your money and you have to fight just to get a small portion of the bill paid. STAY AWAY.
DigitCEO
Maryland,USA
Now it makes sense
#12Consumer Comment
Thu, October 01, 2015
I would have to believe the OP is correct. It would make perfect sense. Especially when you look at Delta's contract. First they lie to people saying they have a full coverage plan. They dont offer an exclusionary policy. That is a lie. Everything they offer is stated component, which is NOT the same as full coverage aka bumper to bumper. Also they are self insured, just like Direct Buy. If Delta goes out of business, there goes your money right along with it. Delta has been in business barely over a year. Just another scam type company in this industry. They will offer ridiculously low prices just to get your money. When you go to make a claim they will find every reason in the book to deny it. Mark my words, this company will not be around long and your money will disappear...
Charles S.
Philadelphia,Pennsylvania,
USA
Delta Auto Protect IS NOT Direct Buy Warranty
#12REBUTTAL Owner of company
Wed, August 12, 2015
The information contained in this posting as it pertains to Delta Auto Protect is patently false. Delta Auto Protect is not affiliated or associated with Direct Buy Auto Warranty or Direct Buy Associates, Inc. in any fashion. Particularly, the owners of Delta Auto Protect are not the “gang” from Direct Buy Warranty.
The assertions contained in this posting are nothing more than broad, sweeping mischaracterizations equating Delta Auto Protect to a separate, unrelated auto warranty company. Specifically, the consumer-author fails to provide any details of his or her denied claim(s), or the circumstances surrounding any notion that “Delta Auto Protect was a nightmare to deal with.” The policy at Delta Auto Protect is to immediately tender an explanation for any denied coverage of claim, along with the steps to remediate the issue if the customer believes there is a mistake or that coverage was inappropriately denied. It appears that the consumer-author of this posting has a predisposition against Direct Buy Warranty, and is retaliating against the wrong entity.
Delta Auto Protect is completely and entirely separate and distinct from Direct Buy Warranty.
Let us know if you have any questions/comments.
Regards,
Charles Seruya - President
Delta Auto Protect
www.DeltaAutoProtect.com
Delta Auto Protect
1800 John F. Kennedy Blvd.
Philadelphia, Pa 19103
(866) 598-5429