Some garages are offering vehicle servicing prepayment plans as a means of spreading the costs of vehicle servicing by enticing you to sign up for a once off or for monthly pre-payments. I investigated where the money went after the collecting agency (Emac) had received it. It is apparently given to the garage who set up the plan and goes into their account. On checking this with my garage, I found that the account that they place it in is not protected against bankruptcy (not an Escrow Account). So if, in these uncertain times, your garage folds you may certainly lose your money. Also, if it is a franchised dealer who fails, you may not be able to transfer the plan to another authorised servicing agent. Motorists should check that the manufacturer approves the scheme and also that there is built in transferability, should you have to move to a new area. Some manufacturers do have service plans that are transferable, but the dealers are not obliged to use them. You have been warned.