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How to Extend Limited Field Warranty For Free

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Car buyers prioritize reliability when shopping for new and used vehicles, as confirmed by a Consumer Reports survey. An established brand may not always guarantee reliability. Some buyers opt for extended warranties for added protection, but are they making a wise choice? Consumer Reports investigates this issue. A recent car buyer chose a Subaru Forester based on its reliability ratings, but still opted for an extended warranty for peace of mind. While this may provide reassurance, Consumer Reports experts warn that the financial odds are not in favor of purchasing an extended warranty.

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What are the reasons you don t need to buy an extended warranty?

There are five reasons why: Insurance is a losing proposition. It has to be. You may be purchasing insurance you already have. Most products you purchase will carry some type of manufacturers warranty. The fine print can be costly. Your purchase will depreciate quickly. You may forget about the warranty.

Is it worth getting extended warranty?

An extended warranty is worth your time if your car isnt extremely reliable and you wouldnt necessarily be able to pay for major repairs right now. If you purchase a used car from a dealer, an extended warranty could be the right choice if youre uncertain about a vehicles reliability.

How much do dealers mark up extended warranties?

The average dealer generally makes up to half of the selling price of an extended warranty. For example, if you purchase an extended warranty for $2,000, the dealer may make a profit of up to $1,000.

Are extended warranty prices negotiable?

The cost of adding an extended car warranty is negotiable, even if its directly offered by a vehicle manufacturer. Its worth asking for a discount or even to cross-shop different warranty vendors. Like new car warranties, extensions dont cover maintenance and wear items.

What are two reasons not to buy an extended warranty?

5 Reasons Not to Purchase the Extended Warranty Insurance is a losing proposition. It has to be. You may be purchasing insurance you already have. The fine print can be costly. Your purchase will depreciate quickly. You may forget about the warranty.

What are the disadvantages of an extended warranty?

Con: They Are More Expensive When Purchased Later The best prices, though, are when the vehicle is new. In addition, with a few miles on the odometer, you will command a top deal. For new cars, the service contract will not kick in for several years, usually near the time the original warranty expires.

Whats wrong with extended warranty?

While it may sound like a good idea in theory, extended warranties often come with a high price tag and dont necessarily cover everything that could go wrong. Plus, many people who buy extended warranties never use them. In that case, an extended warranty becomes a cost with no financial return.

Is paying for an extended warranty worth it?

An extended warranty is worth your time if your car isnt extremely reliable and you wouldnt necessarily be able to pay for major repairs right now. If you purchase a used car from a dealer, an extended warranty could be the right choice if youre uncertain about a vehicles reliability.

Is extended warranty a monthly payment?

An extended warranty is basically a vehicle service contract that covers the repair costs after you purchase a vehicle. You pay a certain amount each month for this service plan until it is paid off. You can also opt for a one-time, annual payment.

What are the disadvantages of an extended warranty?

Con: They Are More Expensive When Purchased Later The best prices, though, are when the vehicle is new. In addition, with a few miles on the odometer, you will command a top deal. For new cars, the service contract will not kick in for several years, usually near the time the original warranty expires.

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