Here are a few extended warranty myths.
Its not for me; I'm covered by the manufacturer. When your Chevrolet warranty expires, things get sticky. The manufacturer offers a warranty up until it gets too expensive to keep it in force. You are more likely to have large loses to face.
Auto extended warranties have additional benefits not in the original warranty like towing, trip interruption, car rental and lost key lockout. Once the manufacturer warranty expires, the extended warranty takes over for another few years. The best time to buy auto warranties is early, when you buy the car. As more repair data becomes available on your car, vehicles with higher repair rates are raised into higher rate classes. When you buy your extended warranty, the rate class can change but youve already paid for it so your costs will not increase. Buy now and lock in your price.
It's convenient to buy my auto warranty from the dealer. It may be convenient but it is definitely more expensive. You will pay more at the dealer, a middleman, marking up what you can buy elsewhere for less. You can buy direct from an online warranty company at a savings. Car dealers resell the extended warranty to you at %100 a markup from their cost.
Dealers try to not show you the contract before you buy. Why do you think they do this? You have no idea what the contract says that you are signing. All you have is their verbal promise, or slick sheets. They tend to leave out details that burn you later.
Plan ahead; its easier and cheaper to buy an online warranty than to buy one at the dealer. Remember the dealers motto, You can buy better, but you cant pay more.
My Car dealer told me if I dont buy it now I can never buy an extended warranty. Car dealers love to say this to make you feel you have to buy now. Whose warranty can you buy while at the dealership? Theirs!
They know that once you leave you are gone forever with the chance of selling you that extended warranty. They make the most money on extended warranties and they want to see you paying interest on that warranty too. Buy your extended warranty from the originating company. Save time. Save aggravation.
The car dealer said the bank wont approve the loan without an extended warranty. Some car dealers say that you must buy a car warranty or you will not qualify for a loan. This is simply illegal in every state. You ask them to put it in writing, but they wont. They know that the spoken word can be disputed; they will never put in writing something they know to be illegal.
Any extended car warranty can be refunded in 30 days as long as no claims against the policy have been made. Unless he is your son and you want to do him a BIG favor, a car dealer should be your last place to buy an auto warranty. After you get quotes for your car from online car warranties. You can shop with confidence because you now know the truth.
This article is by Jerry Rowan. Jerry provides information about car buying, selling. About to buy a new or used car? About to sell a used car? You will find information on how to make the transaction as painless as possible Here.
