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Extended Auto Warranty Advice

Posted by Andrew Hillin

Aug 31, 2011 12:44:00 PM

describe the imageGetting an extended auto warranty can be a complex and confusing purchase. However, there are some general tips and tricks to avoid the potential pitfalls brought on by questions about manufacturer's warranties, car dealerships, pricing and fine print. An extended warranty can be great for the car, and doesn't have to break the bank, either.

The best advice that can be given to people who don't want surprise vehicle expenses is to buy an extended auto warranty. A manufacturer's warranty may seem like enough, and many people delay extending to the point that the coverage expires. Unfortunately, manufacturer warranties tend to cover the years when the car will run at its smoothest. Most promise compensation for factory parts that break down or malfunction. They don't cover wear and tear, and the time is limited. Most cover the car between 35,000 and 50,000 miles, or three to five years. After that period of time, the car is much more likely to experience problems, and therefore should be covered more extensively.

New and used car dealerships often try to bully customers into buying an extended warranty from the dealer and also at the same time that the car is purchased. Neither of these actions is necessary. In fact, car salesmen make a large percentage of their commissions from the extended warranty. That means that their warranties can cost twice as much as a warranty purchased from an online broker or private company.

Pricing is flexible, so it is important to do research into the car's history, age and price. From there it is possible to estimate potential repairs and their varied costs. An extended auto warranty can be modified to fit the need of the car, so that it doesn't have to be terribly pricey. While some extended warranties are very expensive, these tend to be the warranties that cover major breakdowns, wear and tear and over heating. Not all policies need to be that extensive or specific.

Pushy dealers and salesmen want customers to believe that extended warranties are fixed in both coverage and price. In reality, a vehicle owner should just be aware of future problems with the car and have a rough idea of how long they want the car to be covered. Without a warranty, unexpected malfunctions or accidents can cause a terrible, unexpected blow to people who are already in financial straits.

Topics: extended auto warranty

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