Beware bogus claims of big fuel savings

by Center for Personal Finance editors

NEW YORK (5/16/06)--Scam artists are pushing a variety of so-called fuel-saving devices, targeting consumers desperate for some relief at the pump (CNNMoney.com May 4).

The Federal Trade Commission (FTC) is responsible for investigating bogus marketing claims, and officials report that "more people than you'd think" are victims of gas-saving rip-offs.

Here's a sample of the latest come-ons, complete with false testimonials: It costs less than $40 and it will raise your vehicle's fuel economy by 30% or more (so says its website marketing). You can increase your vehicle's fuel efficiency by installing a tiny fan inside a hose. This enzyme can provide a 30% increase in fuel economy. Simply insert this magnet-based device into your vehicle's air intake system. This fuel-saving device is registered with the EPA (or approved by the EPA).

The Wall Street Journal (April 27) reported that some fuel-saving products could even void certain warranties on your car.

Be cautious about any claims that save fuel; if the device or technology were that simple, it already would be incorporated into the design of the car. Some novelty devices tested by the EPA did result in some improvements, but at the expense of damage to the engine or an increase in harmful exhaust emissions.

The FTC offers the following low-cost steps you can take to combat rising gas prices:

Stay within posted speed limits. Driving 65 mph rather than 55 mph increases fuel consumption by 20%, and driving 75 mph rather than 65 mph increases fuel consumption by another 25%. Use overdrive gears during highway driving. Use cruise control to help you maintain a constant speed. Avoid unnecessary braking and acceleration. In city driving, nearly 50% of the energy needed to power your car goes to acceleration. Avoid unnecessary idling. If you anticipate a lengthy wait, turn off the engine. Remove excess weight from the trunk. An extra 100 pounds in the trunk reduces fuel economy by 1%-2%.

For more information, read "Fuel Your Car and Your Savings" in the Home & Family Finance Resource Center autos section.