Extended Warranty Question

[SweetLou]

So my extended warranty just ran out. I went to the dealer to find how to extend it again. I about had a heart attack when he told me that for a 3 yr pay in 18 mo no interest would cost me $8100.00/yr. Almost as much as my truck payment. I have a 2013 Ram 3500 diesel with under 74K mi. My question is where are you guys getting the extended warranty from? What would you do? In this day and a age, a sensor goes out and it's $1400. Curious what all of you are doing.

[NJRVer]

Bumpyroad wrote:

NJRVer wrote:

Bumpyroad wrote:

jfritz_drfritz wrote:
Pay for repairs or buy a new truck with warranty

my neighbor just traded off a perfectly good 3 year old truck as he/she wants the factory warranty. I am curious as to the economics of this vs just getting a 3 year lease????
bumpy

Depends on what kind of miles she racks up.

let's assume the standard 12,000 miles per year, 36,000 total?
bumpy

Might as well lease then for that low of miles.
Turn it in every three years and get a new one. Won't even have to pay for more than a couple oil changes.

[JTrac]

My answer would be save your money for future serice and forget any warranties. Too expensive at this late date.

When we bought the wife a new Subaru Ascent from an out of state dealer in December the push to buy a service contract was monumental. I was prepared but the finance guy was as persistent as any I have experienced. It was from an aftermarket company and since we were financing about half he was building the cost of the contract into the payments. He never gave me a total price but my quick math showed the cost would be close to $5k over 48 months. Each time I said no he would lower it until I finally explained no means no. He was visibily po'd when I told him I would buy nothing but factory backed warranty. He never gave me a price on a Subaru warranty so we signed the papers and left. I ripped them pretty hard on the follow up survey for the heavy handed tactics. The sales part was great but they ruined it with the ordeal they put me thru trying to sell me something I didn't want. If we hadn't sold the wife's vehicle and desperately needed the new one I would have walked.

I did some internet shopping for the Subaru warranty after we got home and found a dealer who was selling the 7 year, 100K mile no deductible warranty for $1550. If it is a factory backed warranty any dealer can sell them and some have much better pricing. I found this out when we bought our Ford F350.

[Bumpyroad]

NJRVer wrote:

Bumpyroad wrote:

jfritz_drfritz wrote:
Pay for repairs or buy a new truck with warranty

my neighbor just traded off a perfectly good 3 year old truck as he/she wants the factory warranty. I am curious as to the economics of this vs just getting a 3 year lease????
bumpy

Depends on what kind of miles she racks up.

let's assume the standard 12,000 miles per year, 36,000 total?
bumpy

[NJRVer]

Bumpyroad wrote:

jfritz_drfritz wrote:
Pay for repairs or buy a new truck with warranty

my neighbor just traded off a perfectly good 3 year old truck as he/she wants the factory warranty. I am curious as to the economics of this vs just getting a 3 year lease????
bumpy

Depends on what kind of miles she racks up.

[Bumpyroad]

jfritz_drfritz wrote:
Pay for repairs or buy a new truck with warranty

my neighbor just traded off a perfectly good 3 year old truck as he/she wants the factory warranty. I am curious as to the economics of this vs just getting a 3 year lease????
bumpy

[deltabravo]

jfritz_drfritz wrote:
Pay for repairs or buy a new truck with warranty

Ditto.

I see no point in extending an expired extended warranty. Save the money for repairs that might be needed, and work on paying it off ASAP.

[NJRVer]

To the OP, was that dealer selling you an aftermarket warranty?
Just because they are a dealer doesn't mean they will sell only Mopar warranty.
When I bought my Ram they tried selling me an aftermarket warranty. Big, big push. I told them no, I want Mopar.

The Mopar was about $1000 less and for two extra years of coverage.

[ReneeG]

We've purchased factory warranties from the dealership and they've paid for themselves already. One auto we purchased new in 2005. The warranty replaced the transmission and AC compressor for the deductible of $100 for both as were both reported on the same service appointment. Without the warranty, the repairs together would've been over $5K. We kept that vehicle till January of this year when the warranty expired and the transmission started acting up.

[Bumpyroad]

huntram wrote:

I bought the 5 year 100,000 Mopar extended $000 deductible from Zeigler for $1800. It expires in July this year. Because it's a Dodge Warranty they treat it just like a regular one, never tried to deny anything. Never do aftermarket warranties because they will try to deny! With the Mopar one I always get a free rent-a-car. Took my truck on last Wednesday while on the road because a wheel sensor failed. They asked if anything else. I said a mechanic friend told me maybe power steering was leaking. They gave me an almost new Jeep wagoneer, ordered parts and put in 3 new sensors a new hub, power steering gear and hose. Altogether almost $2k of service. Plus rent a car for 5 days. NO CHARGE! I've probably had $5-7k of warrenty done plus any recalls or regular service I get rent a cars for free because of Mopar warranty. For $1800 it was a bargain. Sadly it ends soon, probably should have bought a longer one! 🙂

yep, folks here should separate factory warranty and the tack on ones. I got a long/high mileage factory one on my tacoma, primarily due to extensive presence of electronics, and peace of mind.
bumpy

[huntram]

mkirsch wrote:

they will find something in the fine print to not cover your issue anyway

BINGO!

That has been my experience with extended warranties. They take your money, but then have a very specific set of hoops you have to jump through with regards to what broke, where you get it fixed, how you get it fixed, and how much they will pay (usually ZERO).

I bought the 5 year 100,000 Mopar extended $000 deductible from Zeigler for $1800. It expires in July this year. Because it's a Dodge Warranty they treat it just like a regular one, never tried to deny anything. Never do aftermarket warranties because they will try to deny! With the Mopar one I always get a free rent-a-car. Took my truck on last Wednesday while on the road because a wheel sensor failed. They asked if anything else. I said a mechanic friend told me maybe power steering was leaking. They gave me an almost new Jeep wagoneer, ordered parts and put in 3 new sensors a new hub, power steering gear and hose. Altogether almost $2k of service. Plus rent a car for 5 days. NO CHARGE! I've probably had $5-7k of warrenty done plus any recalls or regular service I get rent a cars for free because of Mopar warranty. For $1800 it was a bargain. Sadly it ends soon, probably should have bought a longer one! 🙂

[mosseater]

I've had two longer term vehicles and both had several repairs...after the extended warranty WOULD have run out. I don't bother.

[Ozlander]

Gulfcoast wrote:
I warranty my own truck.

Yep, always have.

[Gulfcoast]

I warranty my own truck.

[mkirsch]

they will find something in the fine print to not cover your issue anyway

BINGO!

That has been my experience with extended warranties. They take your money, but then have a very specific set of hoops you have to jump through with regards to what broke, where you get it fixed, how you get it fixed, and how much they will pay (usually ZERO).