Got a ‘Home Warranty Division’ Letter? Here’s How You’re Being Scammed

The letters look legitimate, but they’re from scammers pretending to be home warranty companies.

Some or all of the mortgage lenders featured on our site are advertising partners of NerdWallet, but this does not influence our evaluations, lender star ratings or the order in which lenders are listed on the page. Our opinions are our own. Here is a list of our partners.

Updated May 13, 2026 · 3 min read

Written by

Lead Writer & Content Strategist

+ more

Edited by

Lead Writer & Content Strategist

SOME CARD INFO MAY BE OUTDATED

This page includes information about these cards, currently unavailable on NerdWallet. The information has been collected by NerdWallet and has not been provided or reviewed by the card issuer.

If you get a letter saying your home warranty is expiring, read the details before making a payment. It might be a scam.

Homeowners are receiving letters urging them to renew their home warranty plans immediately to avoid being stuck with expensive repair bills. The letters look official because they include correct information, such as the names of homeowners’ mortgage lenders. But these letters are a scam to gain consumers’ personal information and potentially swindle homeowners out of money.

How the home warranty division scam works

Scammers mail you a letter that looks like an official notice from the ‘home warranty division’ of your mortgage company or a home warranty company. The letter says your current home warranty plan is about to expire and that you’ll be responsible for expensive repairs if you don’t purchase a new plan.

The letter uses terms like “final notice” and “immediate response requested” to scare you into making a payment before confirming the information. These letters often emphasize the repair costs you would be responsible for if you don’t respond quickly, sometimes referring to a “lapse of coverage.”

When you call the phone number in the letter, the scammers will ask you for personal or financial information, such as a credit card number. Scammers can then use that information to steal your identity.

How to know it's a home warranty scam letter

Letters that are part of home warranty scams often look official and might be difficult to spot as a scam right away. There are a few red flags you can look for to figure out if you’ve received a genuine offer or a potential scam. Be wary if your letter:

States in fine print that it’s not affiliated with your mortgage company. Some letters appear to be from your mortgage company at first glance. But read the small print at the bottom of the letter. If it says that they are not associated with a mortgage company, the letter is a scam. This is one of the fastest ways to determine if the letter is truly an offer from your lender or a potential scam.
Talks about coverage you’ve never purchased. If the letter says your coverage is about to expire but you’ve never purchased a home warranty, it’s a scammer’s way of trying to get you on the phone.
Includes information related to your mortgage company or county offices. The letter might look like the company is associated with your lender or a county deed office, and include the name of your lender. But scammers can find this information in public records. So it’s never a guarantee that the letter is from a source you can trust. And home warranties usually aren’t tied directly to a mortgage or mortgage company.
Uses the wrong account number. If the letter has a reference or account number that doesn’t match your loan number or current home warranty account number, it’s a scam.
Says it’s a final notice but you haven’t gotten any other letters in the mail. Scammers hope the wording will make you think you’ve missed important letters and need to respond quickly. But if you haven’t received any communication about the home warranty from your mortgage lender or current home warranty company, the letter is a scam.

An infographic by NerdWallet titled "Red Flags with a Home Warranty Division letter." It lists four warning signs: not having a home warranty, the letter not being from your lender, having the wrong account number, and claiming to be a "final notice" when no previous mail was received.

Tips to protect yourself from home warranty scams

Even if you think the letter you’ve received might really be from your mortgage company or home warranty provider, it’s a good idea to take a step back and ensure you’re not falling for a scam. Here are four ways you can protect yourself from home warranty division scams.

Confirm the letter is from your mortgage company. If a letter sounds like it’s associated with your mortgage company, call your lender directly and ask about it. Do not use the number provided in the letter. The same goes for your current home warranty company if you have an active plan. Your mortgage company or home warranty provider will tell you if it’s a legitimate offer or something to avoid.
Look for personal information that doesn’t match. Letters might include information like an account number to make them appear official. If the number's not correct, you’re likely looking at a scam.
Recognize high-pressure language. A common scam tactic is to make a situation feel urgent, which is why the letters often say you’ll have to pay a lot of money for repairs if you don’t respond. Read letters carefully to identify wording that makes you feel like you must respond immediately, and ask yourself if that’s likely the case.
Don’t give out personal or financial information. If you’re not certain who’s asking, don’t give away sensitive information. Listen to your gut if something feels off, and don’t give in to pressure to provide information or make a purchase.

Nerdy Perspective

Don’t rely on the information in the letter to verify it.

If the letter gives you a phone number to “verify” the information in the letter, it’s a safer idea to call your mortgage or home warranty company directly. If you’re interested in purchasing a home warranty, reach out to a company through the contact details on its website instead of responding to one of these letters.

Whitney Vandiver

Writer

How to report a home warranty scam

If you think you’ve received a home warranty scam letter, it’s best to report it to both your attorney general’s office and the Federal Trade Commission (FTC).

Your state’s attorney general’s office will want to know when residents receive calls and letters from home warranty scammers.
The FTC also asks consumers to report scams so they can keep track of trends and help other agencies shut down scammers.

Are all home warranties scams?

Not all home warranties are scams. Many are legitimate service plans for a home’s systems and appliances offered by real companies. But just because a particular home warranty plan isn’t a scam doesn't mean that all homeowners need to purchase it or will benefit from signing up.

Some home warranties have limited coverage that won't fit your situation — and home warranties usually have price caps on how much they’ll pay out annually, even if an issue is covered.

If you’re considering a home warranty, it’s important to read plan contracts carefully to see which ones (if any) might offer you a true benefit.

» MORE: Compare the Nerds’ picks of the best home warranties

Frequently Asked Questions

How did the scammers get my loan information?

Information about your mortgage and property are available in certain public records. Once they have this information, scammers include it in a letter to try to convince you that the letter is legitimate. Just because a letter includes the name of your mortgage company doesn’t mean the scammers have more of your personal information.

Are all home warranty letters scams?

No, not all home warranty letters are a scam. If you’ve purchased a home warranty plan, you might receive marketing material or calls from that company, but they generally won’t use the same tactics that a scam will use. For example, a reputable home warranty company shouldn’t include your mortgage lender’s name in a sales letter because a home warranty is a product that’s not necessarily associated with a mortgage.

What do I do if I’ve already paid in response to a home warranty scam?

Keep all of your documentation, including the letter if you still have it. Contact your local attorney general’s office and the Federal Trade Commission to file complaints about the scam. You can also report the scam to your local police and contact the Better Business Bureau.

If you paid by credit card, contact your credit card provider to dispute the charges, and if you paid by check, contact your financial institution to see if you can issue a stop payment on the check before the scammers cash it.

Be sure to monitor your financial accounts carefully in the coming weeks and months to watch for any suspicious transactions and dispute them immediately.

Is Home Warranty Division a legitimate business?

No, Home Warranty Division is not a legitimate business. The Better Business Bureau warns that it has received numerous complaints that people have received unsolicited letters from this organization that claim to be from a home warranty provider and stating that the home warranty plan is about to expire. These letters contain a registration voucher for $199. The BBB has not been able to find an address for Home Warranty Division or obtain any other information about who they are.