Extended warranty, waste of money or worth it, 2017?

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Aspen03

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Put the warranty money in a personal escrow account or something of the sort and you’ll most likely have it for the next vehicle’s repairs or just regular maintenance funds.

You'll probably find that most don't have this cash on hand and it's financed. I don't know a single person who's ever paid up front for a warranty on a new vehicle purchase. They should but it seems no one ever does.

I've bought them on 2 sets of front load laundry. The first one made it 14 years without a problem. Why did I buy it again? Pesce of mind as it's been discussed. That and simple math. If I had a major failure on this one the savings would more than pay for both service plans. The new model has considerably more electronic features as well. If not and it goes 14 years like the last one Iguess I threw about $300 away over the span of 28 years. I've spent more than that on Xbox live. People come to terms w the expense just like that and rationalize it.
 

07navi

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The majority of buyers and lessors are sold an extended service contract, even if they don't plan on keeping the car when it's effective. That's car salesmen. And the majority of then never have a claim because they ditch the car at 60,000 miles.

Most American cars these days are pretty trouble-free for at least 100,000 miles.

It's the people who buy warranties on old tired and abused iron that can still be warranted who get to benefit.
If they can do that cheaply.
 

XR4Ti

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Late to the party but just to add another data point: I do all the work on my vehicles (minus the tranny rebuild) but with the last 2 I bought, they were still under warranty. So I got the Ford Premium Care warranty and $0 deductible. Sounds counter-intuitive, but I made my money back on them -- being in touch with my vehicles, I would notice every peculiar vibration, noise, rattle, leak, etc., and maybe do a little trouble-shooting. With the $0 deductible, I wouldn't have to try to figure out whether the repair would exceed the deductible or not. I just took it in and got it repaired.

So I got to go a few years without having to work on them (minus regular maintenance). Of course, by the time they were out of warranty and I had to work on them, everything was rusted/corroded.
 

John Kohler

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If you buy from the dealer always negotiate. My friend is the GM at the dealer I bought from so they sold me an extended warranty for $10 over cost. The warranty paperwork lists the cost as over $1700 and I paid about $750. The dealer profit on the warranty I bought is usually about $1000.
 

07navi

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If you buy from the dealer always negotiate. My friend is the GM at the dealer I bought from so they sold me an extended warranty for $10 over cost. The warranty paperwork lists the cost as over $1700 and I paid about $750. The dealer profit on the warranty I bought is usually about $1000.
I must really make a lot on them...…...but I already knew that.
 

Jamo

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I just got my 2014 EL Limited back from the first warranty work. Besides the two front window motors, leaking rear CV boots, knuckle, and misc. They couldn't get the knuckle off the shaft and ended up replacing bearings, backing plate, shoes, hardware, & misc to make it all good again. About $1300 in work against my $1800 4 year warranty. 2-3/4 years to go.
They ended up keeping it for almost a week as they had to order additional parts, and they went to the wrong dealer. WTF?? Anyway, it's fixed, it's back home and I'm happy. All it cost was my $100 deductible plus tax...
 

John Kohler

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Front differential failed on my 2012, but I have an extended warranty. This is my first extended warranty and the company I have will only cover used parts and is fighting over everything. My mechanic doesn't really want to install a used part, but I don't really want to pay the $800 difference. He told me there are good warranty companies and bad ones. I'm not sure how you figure that out while sitting at the dealership.
 

07navi

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Front differential failed on my 2012, but I have an extended warranty. This is my first extended warranty and the company I have will only cover used parts and is fighting over everything. My mechanic doesn't really want to install a used part, but I don't really want to pay the $800 difference. He told me there are good warranty companies and bad ones. I'm not sure how you figure that out while sitting at the dealership.
Put used parts in, front diffs rarely have any problems.
 
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