Extended Car Warranty? [Archive] - RonFez.net Messageboard

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Tenbatsuzen

12-28-2006, 05:17 PM

Does anyone have any suggestions about buying an extended warranty for a NEW car?  How does it work?  The car will be covered on the 3/36, but what happens after that? Thanks.

angrymissy

12-28-2006, 05:29 PM

I did with my Saturn.  I think it was like $1500 and they rolled it into the loan and I now have 5yr/100k.  once I was out of regular warranty, and on the extended, there is a $50 deductible for any visit to the shop.

Reephdweller

12-28-2006, 05:32 PM

I have it on my Liberty, it may cost extra but it came in real handy this past summer when I had engine troubles, I barely paid over $100 for the whole thing. I saw the work order one day when I visited the car in the shop and it was a job that was well over $4000 so I did pretty well.

Tenbatsuzen

12-29-2006, 11:55 AM

As an update, I've been looking at different vendors for Extended Warranties - one of them is nearly half what the dealership is costing me.

Jughead

12-29-2006, 12:03 PM

Its really a personal finance kinda thing...Ive been in the car business 24 years and I have customers that swear by them and others that think its the biggest rackett out there...I can tell you this the diffrence in the service and how they pay is amazing,,,  good gmpp   that is a very big profit center for our dealership  have the business manager make you a deal on one...Is a new as in untitled or just new to you like a late model preowned??

crb1

12-29-2006, 12:04 PM

Tenbatsuzen wrote: As an update, I've been looking at different vendors for Extended Warranties - one of them is nearly half what the dealership is costing me.  BE CAREFUL!  Some of those third party warranty companies will never pay out, and/or have some really shady rules/regulations.  When I got my Xterra last fall I wanted an extended warranty, so I did my research on a number of companies.  I found 2 out of about 12 that had solid reputations, straightforward contract language, and coverage equal to, or exceeding, that of the factory warranty.  Of the 2, the only company whose name I can recall is: Warranty Direct.  Be prepared though.  Getting a quality warranty from them won't save you a ton of cash over the dealer.Actually, I wound up getting my extended warranty from Nissan, because it was $75 cheaper than Warranty Direct.Just be sure to do your research.

Jughead

12-29-2006, 12:12 PM

Also remember if you buy lets say a 5 yr 100000 mile it over laps your 3 year 36000 it does not start at the end of your  factory warranty  When it comes to rental cars  (For you to drive while yours in in shop)they have to diag the problem first to make sure it is covered under the extended warranty and sometimes that might take 3-4 days for the warranty rep to ok it or to get it in to shop.... and you could be out of a ride untill  they ok rental....Had thAT HAPPEN TO QUITE A FEW OF MY CUSTOMERS SO I LOAN MY CUSTOMER MY DEMO UNTILL THEY FIND OUT..

crb1

12-29-2006, 12:23 PM

jughead46041 wrote: Also remember if you buy lets say a 5 yr 100000 mile it over laps your 3 year 36000 it does not start at the end of your  factory warranty  When it comes to rental cars  (For you to drive while yours in in shop)they have to diag the problem first to make sure it is covered under the extended warranty and sometimes that might take 3-4 days for the warranty rep to ok it or to get it in to shop.... and you could be out of a ride untill  they ok rental....Had thAT HAPPEN TO QUITE A FEW OF MY CUSTOMERS SO I LOAN MY CUSTOMER MY DEMO UNTILL THEY FIND OUT.. Also true.  But you may want to ask the dealership if they have loaner cars when you have yours in for service. You may also want to research the service department of whatever dealership you're looking at.  There are sites that will have customer reviews that can be helpful.Personally, my last car was a 2001 Saturn, which started having problems at 40K (convenient, huh?).  By the time I got rid of it, I had dropped $4500 in repairs (not including normal wear items like brakes, tires, etc.).  So, the extra $900 or so was worth it for me to get an extended warranty.

Snacks

12-29-2006, 12:25 PM

I never buy extended warranties, it could be b/c I usually lease a new car and the car is and will be covered the whole time I have a car. I did however buy a used Lincoln Navigator one time and decided to buy te extended warranty. I never used the warranty, so I feel that I threw the $1500 away. Its a tough call, but IMHO I would say keep the cash.

FUNKMAN

12-29-2006, 01:23 PM

sidenote:i love the sales pitch salesman - " sir would you like to buy a 5 year extended warranty "me - " yahh, ain't i already getting 3 years with the car? so wouldn't that be a 2 year warranty? "salesman - " yahh "

This message was edited by FUNKMAN on 12-29-06 @ 5:24 PM

Tenbatsuzen

12-29-2006, 01:59 PM

crb1 wrote: Tenbatsuzen wrote: As an update, I've been looking at different vendors for Extended Warranties - one of them is nearly half what the dealership is costing me.  BE CAREFUL! Some of those third party warranty companies will never pay out, and/or have some really shady rules/regulations. When I got my Xterra last fall I wanted an extended warranty, so I did my research on a number of companies. I found 2 out of about 12 that had solid reputations, straightforward contract language, and coverage equal to, or exceeding, that of the factory warranty. Of the 2, the only company whose name I can recall is: Warranty Direct. Be prepared though. Getting a quality warranty from them won't save you a ton of cash over the dealer.Actually, I wound up getting my extended warranty from Nissan, because it was $75 cheaper than Warranty Direct.Just be sure to do your research. Warranty Direct is in fact one of the vendors that I'm impressed by.  And they were nearly half the cost of the dealer. All I want is piece of mind.  The reason why I had to buy a new car is because I didn't get an extended warranty, and the price of the repair outweighed the cost of the car.

crb1

12-29-2006, 05:14 PM

Tenbatsuzen wrote: crb1 wrote: Tenbatsuzen wrote: As an update, I've been looking at different vendors for Extended Warranties - one of them is nearly half what the dealership is costing me.BE CAREFUL! Some of those third party warranty companies will never pay out, and/or have some really shady rules/regulations. When I got my Xterra last fall I wanted an extended warranty, so I did my research on a number of companies. I found 2 out of about 12 that had solid reputations, straightforward contract language, and coverage equal to, or exceeding, that of the factory warranty. Of the 2, the only company whose name I can recall is: Warranty Direct. Be prepared though. Getting a quality warranty from them won't save you a ton of cash over the dealer.Actually, I wound up getting my extended warranty from Nissan, because it was $75 cheaper than Warranty Direct.Just be sure to do your research. Warranty Direct is in fact one of the vendors that I'm impressed by.  And they were nearly half the cost of the dealer. All I want is piece of mind.  The reason why I had to buy a new car is because I didn't get an extended warranty, and the price of the repair outweighed the cost of the car.   You should be fine if you decide to use them.  As a matter of fact, it was the company that the automotive repair guru on XM (Tom Ter...something) recommended as offering the best coverage and service.I always thought extended warranties were a ripoff too, until I got hosed on my Saturn.  Having one would have literally saved me thousands.  It's not a risk I felt like taking again. 

This message was edited by crb1 on 12-29-06 @ 9:14 PM

Tenbatsuzen

01-06-2007, 04:54 PM

To close on this, I went with the extended warranty from the dealer.  There was only about a 300 dollar price difference once we were done negotiating (as opposed to nearly 1000 when it was first offered) but I figured the peace of mind getting it from Daimler-Chrysler and Dr. Z rather than Warranty Direct was a better way. But remember: everything is negotiable - even the extended warranty.