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Rust in my Diesel Fuel Tank

I have rust in my diesel fuel tank on a 2003 truck, that is still under the 100K mile extended warranty I purchased when I bought the vehicle.
My problem began with hard starting, so I took the truck into the dealership. The dealership says I have rust in my fuel tank and the dealership will not honor the warranty on the truck stating "fuel contamination"...water has entered the fuel tank via filling stations, which I frequent a truck stop for fuel, and 2 other major busy fuel stations. The rust has apparently clogged my entire fuel system including the fuel injectors, and the dealership wants $7500 plus to fix the problem.

Does anyone out there have a comment on a failure of the fuel tank?
This truck and it's fuel tank are not that old....and I have checked for any recalls, and none exist on this truck.
Any suggestions on how this could be covered under warranty?
Thanks

Michelle Blaine
Consumer - Denver, Colorado, USA
2007

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Seems like changing the fuel filter regularly might have prevented this. Have you been taking it to the dealer for scheduled service? If they've never changed the filter you might have something to go on in that direction(as far as the entire system plugging up is concerned,the tank would have rusted either way). Also, the filter might have failed out right or maybe it was never installed at the factory.

Sheldon Taylor
supply chain electronics
Wake Forest, North Carolina
2007

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Good afternoon, Michelle. I've got three suggestions:

1- Go to National Highway Traffic Safety Administration (NHTSA) website. Even if there isn't a recall on this, there may be a technical service bulletin (TSB) on file. They are not quite the same. Recalls are usually more safety related than TSBs. But the result is the same. If a TSB was issued for this defect, the dealer will probably have to repair it for you. On the NHTSA website, you can search for brief descriptions of TSBs by year, make, model.
2-Google your vehicle and see if there's a website dedicated to your make and model vehicle. They may have a forum section, and who knows, maybe others have had the same problem and can offer feedback.
3-Even if there's no recall or TSB, you may (depending on how cooperative the dealership and manufacturer are) be able to get some "goodwill" repairs done. I just went through this with a 2003 model car that was having climate control problems. It was a defect in the whole control module which bolts up to the console, and they initially wanted to charge me over 900 bucks to replace! Warranty is expired, and I didn't buy an extended warranty (most of the time they're a poor gamble, anyway). I was able to persuade them that it was something which should last the lifetime of the vehicle, so it should be covered. It didn't hurt that I've purchased two cars from the dealer since 2003. But I was able to get the control module replaced, including tax and labor, for 150 bucks. Doesn't hurt to give it a try.

Steve Bizub
- St Louis, Missouri
2007