If you’ve decided to invest in a used car, you may have been offered an extended warranty on the vehicle. While it may be tempting to add the extra protection, there are a few items to review before spending the money on it. Consider the following when faced with the decision of an extended warranty.
What to Think About for Used Car Warranties
1. Plan Cost vs. Vehicle Cost
When the extended warranty costs as much as the used car you’re purchasing, you should probably pass, especially if you’re signed up for a finance plan through a car dealership. This will increase the price even more when interest and taxes are added. In many cases, the coverage included is either too extensive or not beneficial for a used vehicle, and paying the high cost will not protect you in the long run.
2. Manufacturer vs. Third-Party Plans
Extended warranties are contracts to cover repairs and other trouble on your vehicle that will protect you past a standard warranty. If a third-party company is providing the plan, there is a risk that if the company shuts down or goes bankrupt, you lose the warranty you’ve already paid for. To get a more reliable warranty, transfer any remaining manufacturer plan from the previous owner or purchase through a reputable car dealership if they offer such deals.
3. Deductibles & Limitations
Some used car warranties have a deductible for services or repairs, which means you will pay that out-of-pocket at first in addition to what you’ve already paid for in the contract. There may be limitations on what is covered, such as parts and specific repairs. In addition, regular usage and normal wear are usually not covered.
4. Staying Valid
Read the fine print and find out what you need to do to keep any extended warranties valid. Some require that you only have your vehicle serviced where you purchased it and not at a private mechanic. Before investing, understand what could invalidate your warranty, which would then mean you’ve wasted money.
Only purchase what you need. Ask about remaining manufacturer warranties that are transferable to you, or anything that adds roadside assistance and other perks you’ll use. Another consideration is the age of the car. Newer cars, specifically those made after the year 2000, offer consumers more reliability and, with regular maintenance, will not require more than typical wear and tear repairs.
For reliable, quality used cars in Baxter County, AR, Discount Auto Sales offers customers an extensive inventory of styles and models to suit their budget. The car dealership also offers a trade-in service to find out the value of your vehicle, as well as car rentals when you require a trustworthy automobile to get you where you need to go. Call (870) 425-1775 to speak to a staff member today, and visit their website to view their stock. You can also find them on Facebook.