California consumers charged fees for engraving serial numbers on catalytic converters

A new law that went into effect on January 1, 2024, prohibits any automobile dealer or retail seller in California from selling a vehicle equipped with a catalytic converter unless the converter has been permanently marked with the vehicle identification number (VIN) of the vehicle to which it is attached and has a label permanently affixed to it listing the VIN.

When this bill was passed, the Los Angeles County District Attorneys Association stated, “The application of a VIN to a catalytic converter is usually done by etching, a process that is both easy and inexpensive.”

However, our continuing investigation reveals that car dealerships charge consumers up to $900 or more to profit from this new law. They also do not include this charge on the sales or lease contract but in a separate document, potentially violating California’s “one document” rule.

Faced with this exorbitant cost, California car buyers are told they can waive their rights under this law but must do so in writing. So, they can either pay $900 or waive the dealer’s requirement to comply with California law.

If you have purchased a new or used car in California since January 1, 2024, you should ask the dealer if the catalytic converter has been permanently marked with the vehicle’s VIN. Ask them for proof, such as a picture, since it is hard to readily access.

If you want more information on your options, you also can look at the following websites.

Bureau of Automotive Repair: https://www.bar.ca.gov/consumer/smog-check-program/catalytic-converter-theft

AAA: https://www.ace.aaa.com/publications/auto/drive-smart/catalytic-converter-theft.html

What’s “Secure A Cat” And Is It Required?

Dealers regularly make their money by selling various add-on products during financing negotiations. Apparently, attempting to take advantage of the widespread reports of catalytic converter thefts, one of their newest offers is a “warranty” product called “Secure A Cat,” offered by MAG.

Supposedly, this is a theft prevention system installed on your catalytic converter. They claim on their form this is not “insurance” (probably for regulatory reasons). However, it says it is for $5,000 and covers the cost of the catalytic converter if Secure A Cat fails to prevent the theft of your catalytic converter.

We have received reports of dealerships telling consumers that, under recent law, this is a required item they must purchase. This is false.

If a dealer claims that, ask them to show you the law that requires it and specifically decline it. In addition, your car insurance likely covers the cost of theft and replacement of a stolen catalytic converter.

If a dealership claims you need to purchase this to comply with this law, that’s also not true.