Complete Guide

Dealer Refusing to Cancel Warranty? Do This.

Is the dealer ignoring your calls or saying "you can't cancel"? They are likely violating state UDAP laws. Here is how to bypass them.

7 min readUpdated January 2026

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identified as cancellable in your contract

The "Ignore" Tactic

Dealers lose their commission when you cancel a warranty (called a "chargeback"). This gives them a financial incentive to delay your refund or "lose" your paperwork.

  • Common stall tactics:
  • "The finance manager is on vacation."
  • "You have to come in person to sign."
  • "We submitted it, just wait."

The Law: Most states require refunds to be processed within 30-60 days. Delays beyond this can violate Unfair and Deceptive Acts and Practices (UDAP) statutes.

Bypassing the Dealer

You do NOT have to go through the dealer.

  1. Find the Administrator: Look at your contract for the "Administrator" (e.g., Fidelity, CNA, EFG). This is the company holding the money.
  2. Send Direct Notice: Send a certified letter to the Administrator requesting cancellation.
  3. Cite the Date: Your refund should be calculated from the date you mailed the letter, not the date the dealer gets around to it.

Frequently Asked Questions

Can a dealer charge me for "processing" the cancellation?

Only if your state law and contract allow it. Many states cap these fees at $25-$50. If they charge more, it's likely illegal.

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Disclaimer: This guide provides general information about consumer protection rights and is intended for educational purposes only. It is not legal advice. Laws vary by state and individual circumstances differ. Consult a licensed attorney for advice specific to your situation.

Last updated: 2026-01-24.