Auto Warranty
When buying a vehicle, a dealer may make you feel obligated to purchase his auto warranty plan; you don't have to buy it and there are more options. A warranty covers standard parts of the car that fail independently from inflicted damage.
Who Offers Auto Warranties:
Manufacturer
Dealer
Independent
Read the Fine Print:
When they say read the fine print, they were probably thinking of auto warranties. A good auto warranty plan will offer a free car loaner, is BBB certified, covers trip-interruptions, warranty is transferable, and you can choose where to get the repairs done. A bad auto warranty will have many exclusions (things for which they won't pay), warranty is not transferable, caps on repair costs, high out-of-pocket, and they pressure you to buy their plan.
Who Gives the Best Warranty:
The manufacturer warranty is the most expensive and the most comprehensive.
The dealer will have a slightly less costly warranty, but you will be limited to getting repairs done at that dealer or their affiliates only.
An independent warranty will be the cheapest and usually allows you to get work at a variety of places, but their outfit could also disappear over night.
Extended Auto Warranty:
Like with many things these days, a sales person may offer you an extended warranty. With such a high priced item as a car, this might be the time to consider getting the extended warranty. Usually, you do not have to buy the extended warranty on the spot; you can purchase the warranty in three years after the warranty that comes with the vehicle expires. If you are tight on money, you might want to wait. Ask about this option and don't forget to get it several years down the line the time comes around for it. If you do get an extended warranty, you can also choose a different source for a better price. Shop around the Internet, banks, and credit unions for the best auto warranty deal.
Should You Get an Extended Auto Warranty:
What type of person are you? The kind who likes working on cars and fixing things? If so, maybe you should not get a warranty; it may be more cost efficient for you to do your own work. If you know nothing about repairing cars and you want things fixed immediately at any cost, you should get a warranty.
Ultimately, it will probably be cheaper to have a warranty than pay each time you need repairs. Just make sure you read the fine print and the repairs you might need will be covered
