CarShield to Pay $10 Million for Deceptive Marketing Practices

FTC settlement reveals widespread misleading advertising and aggressive sales tactics by vehicle service contract provider.

CarShield and American Auto Shield will pay $10 million to settle FTC charges of deceptive marketing.
The settlement funds will be used to refund defrauded customers.
CarShield's ads falsely promised extensive repair coverage and used celebrity endorsements misleadingly.
Many customers found their repairs were not covered despite paying up to $120 monthly.
The settlement mandates truthful and accurate advertising from CarShield and its partners.