Not all Extended Warranties are priced equally!
Originally Posted by moe
guys, if you have a NY dealer who is cool, I will drive down from MA to NY to buy the warranty and get the inspection. I am down there a lot anyways, so I can save some cash while I am there
take a road trip and see me
I wouldn't
The only problem with the extended warranty is that they are the worst insurance you can possibly buy. There is a standard warranty on the car for a reason. That reason is that most of the failures, percentage-wise, either happen early in the car's life (i.e. typically a defective part or assembly) or late in the car's life (via normal wear and tear).
This is the bathtub curve. So, by a manufacturer selling an extended warranty which goes up to the middle of the product life, they are guaranteeing thereselves almost pure profit (assuming they engineered the product as they should have). This is true for most any extended warranty for any product.
With that in mind, the 7-800 you guys are looking at is not much in comparison to a 40k car, but the statistics are there that show it will most likely be wasted money. There will be cases where it does save someone money and that could be any or all of you looking at buying these, but the majority of the population who buy them will have bought the extra protection and not needed it.
So, I can't say as I blame you either way, but at least you hopefully can make a more money conscious decision now if you didn't know this info already.
This is the bathtub curve. So, by a manufacturer selling an extended warranty which goes up to the middle of the product life, they are guaranteeing thereselves almost pure profit (assuming they engineered the product as they should have). This is true for most any extended warranty for any product.
With that in mind, the 7-800 you guys are looking at is not much in comparison to a 40k car, but the statistics are there that show it will most likely be wasted money. There will be cases where it does save someone money and that could be any or all of you looking at buying these, but the majority of the population who buy them will have bought the extra protection and not needed it.
So, I can't say as I blame you either way, but at least you hopefully can make a more money conscious decision now if you didn't know this info already.
Originally Posted by moe
Kenny, u been there a while? August might work for me
So here's a stupid question, how many people actually get the extended warranty? My family used to get them (chryslers, mitsubishi) and they really came in handy -- got the transmission replaced on our diamante at 99,000 miles for only $50.
But now, esp with japanese cars being more reliable? I haven't got one on my 05 G35X or 06 Accord; I plan on keeping both cars for many years and miles. I'm still debating whether to get one on the 04 530i (or simply trade it in 2 years from now for an 08 530xi). If I were to keep the 530i long-term, I'd probably get an extended warranty for it. Thoughts? Kash
But now, esp with japanese cars being more reliable? I haven't got one on my 05 G35X or 06 Accord; I plan on keeping both cars for many years and miles. I'm still debating whether to get one on the 04 530i (or simply trade it in 2 years from now for an 08 530xi). If I were to keep the 530i long-term, I'd probably get an extended warranty for it. Thoughts? Kash
Originally Posted by allforthecash
My extended warranty till 100,000 miles...i believe 7 years...was purchased from the dealer at the same time i purchased the car...$800 bucks...everything covered.
btw-in 2004 I got this 7yr 100k mile warranty for less than $400 I think. they must have really upped the pricing or I got a good deal from Infiniti of the Palm Beaches.
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