Shopping for a car can be a fun and painful experience all at the same time. One of the key things when shopping for a car is to think ahead into the future. What are some of the problems this car might give me and how much will it cost? Many people get so caught up in the car buying process they neglect to think about or conduct research on the extended warranty.
This is a concern because when you drive the car off the lot, that’s when the car is all yours and eventually problems can arise. Choosing the right extended warranty and understanding the fine details are very important, so you can realize what is covered and what is not. Extended warranties go past the manufacturer’s warranty and provide extra protection from unexpected costly repair bills.
Is an Extended Warranty Is Right for You
Buying an extended warranty early less expensive
When you take longer to purchase an extended warranty, the more costly it can become usually, people think it is best to purchase an extended warranty when the manufacturer’s warranty has ended, however, the extended warranty becomes more expensive at this time because the car has aged and is a higher risk factor.
Haggle on the terms
When you are discussing the terms of the extended warranty, you can interject with certain terms you don’t agree with or wish to add in. Look over the agreement in detail and make sure you agree will all the terms stated. One of the best and effective strategies Goodfellas recommends is to call several dealerships and speak with their financial officer. Ask them if you are able to purchase an extended warranty $100.00 over dealer cost.
Your goal is to discover the at cost rate of the warranty (what the dealership pays before profit is made) by calling several dealerships you can usually figure the actual cost and negotiate down. Some financial officers may come off aggressive trying to obtain your personal phone number to have the sales team follow up.
Stick to the extended warranty and don’t let the financial offer try and persuade you in a different direction. The more firm and assertive you are, the more you will be taken seriously. Remember there’s always some wiggle room at hand.
Look out for scams
Be careful, when things look and seem too good to be true they usually are. There are countless extended warranties being offered over the phone from unknown third parties claiming to be part of or associated with a particular dealership. The extended warranties they are offering are usually extremely appealing because they claim to cover all your mechanical issues for no deductible. These calls are all a rouse in order to obtain your credit card information and scam you out of a lot of money.
If you believe the extended warranty call is genuine, check them out, contact the dealership they are associating themselves with and verify if they are valid with a telephone number of the actual company, to ensure its not an imposter company.