How to Buy Extended Warranties for new cars and used cars, avoid dealer scams

read our detailed chapter here: www.carbuyingt...
All you need to know about buying new car extended warranties and used car warranties and all the scams to avoid. These are also known as Vehicle Service Contracts. How to prevent being denied a claim for a repair with your extended warranty. Comparisons of wear and tear warranties vs. mechanical breakdown warranties.
How to compare car warranty companies, find out if a company is good or risky
How to bypass dealers, buy direct and save. Online extended car warranty tips. Extra auto warranty coverage you'll need for luxury cars with DVD, Navigation, etc.
We also cover car dealer auto warranty scams. WARNING: A car dealer's auto warranty brochure is not a contract!
About high mileage used car warranties and wrap warranties with long power train warranties

[@rbmobile1]

I did buy a 2014 Toyota Camry from World Car. If I had not been on my toes I would have not notice that the contract person had automatically added an extended warranty without even mentioning it. Wow. Still bought the car. Great CarFax report and only 27000 miles. But still....Not a way to treat people. So pay attention.

[@jeffostroff]

Is we have heard about this many times over the years where people don't notice it until they get home on the paperwork.

[@Smokeless1167]

Never, ever let them rush you and stop and read!!!!

[@carbuying]

Dealers do this all the time. They even lie to people asking about it, and they say no, but when the person gets home and reviews the papers, they find it.

[@leejames3102]

I wish I had known to buy an extended car warranty when I first brought my used car (2011) in 2016 From the car dealer after paying cash. This brief information given to me is priceless. My car isn't proforming well in 2022. No air condition and I have anti freeze. No money for the electrical problems, will stay parked for awhile. Nyc senior citizen retired error.

[@leejames3102]

I should have mentioned the the extended car warranty was offered when the car dealership one was about 30-60 from expiration . They gave me a chance buy reminding me to make the purchase. Buy then I was cash strapped and I believed I had taken very good care of my 2011 Chevy. I made a bad choice. I could have renewed my warranty up until now, 6 years later.

[@paulvanaman4104]

Most extended warranties have an 80% markup, this is why there are dozens of you tube videos of F & I guys telling you why you "need" to buy a warranty.

[@carbuying]

Yes, that is why car dealers push them so hard on you, and lie to you and tell you that if you don't buy it now, you'll never be able to get it. This is why we recommend buying your warranty online directly from the warranty companies, and save on the extra icing on the cake that would have gone to the middle man car dealer.

[@peanutbutterisfu]

i am a used car dealer myself. I am just getting into picking what warranty company's I want to use. I have been a mechanic for a long time, have worked at new and used car lots. One problem people have getting stuff covered on these warranty's is having the right shop do the work. For instance i had a car last year that needed an engine do to low oil pressure, the bearings were shot in the motor alot of shops would have this claim denied because the adjusted said well it looks like the motor didn't have oil in it and judging by the look of the bearings they did look that way. They try to find reasons to not cover things which isnt wrong but they gotta do the right thing. Lucky for the customer I measured the oil pump and it was .001 of an inch out of spec so I was able to point the pump being out of spec ruined the bearings. Many shops would have just said the bearings are worn out which puts the ball in the warranty company's court

[@peanutbutterisfu]

And to add too, this the car had 160k miles. No company should ever offer a warranty on a car with that amount of millage and blame things on wear and tear. There is no way of telling what was done to the car, weather the old owners actually took care of it. You have to read the fine print and always have a car checked out by a trusted mechanic before you buy it. If your dealer offers a warranty at a good price your better of buying from them then if your engine blows and it should be covered you have a foot to stand on because you bought the warranty from the same place as the car. Currently going through a similar issue at work where the warranty company doesn't want to cover but we sold her a warranty with the car a few months back. Either way we're going to take care of the car for her because she only had for a short time even tho the lemon law warranty was up.

[@lahndee2020]

peanutbutterisfu 6

[@carbuying]

need to always be able to prove where the failure is. Also they like to deny a failure repair when the root cause is an uncovered part. that's what we like exclusionary coverage rather than named component coverage.

[@jayholm2142]

So which warranty is best, and has exclusionary coverage? Please share a name...

[@billymcclure9732]

just spoke with a carcheck rep. why are they soooo Pushy?? just calling around for prices and coverage and the guy was Totally High Pressure selling. could Not understand that i was Just calling for prices and options. Very frustrating!!!

[@carbuying]

Sales people in any company are under pressure to sell I'm sure.

[@KevZen2000]

Extended Warranties on cars, especially from car dealership for the most part, are ripoffs. When, I use to buy cars from dealers before I went the beater path on vehicles, I wasted so much money on these. Also, a lot of them require at least a $100 deductible even to file the case, even though you have spent the money to pay for this. Many of these plans cost $1,500-$3,000+, and the majority of the time you spent a lot more, than you get out of them. My suggestion is to take the money you spend on them, and use it for repairs, or to get another vehicle, once your car is finished.

[@carbuying]

Yes if you buy a warranty we always try for no deductible agreements

[@MarcP5267]

@@carbuying I recently bought a 2018 certified pre owned Honda Civic. I was a able to buy a Honda Care warranty from an out of state dealer for $690. Coverage is 5 years, 70k miles $0 deductible.

[@LubaLuba1]

Yes Zurich warranty had exclusion short list but in the short list also mentioned wear and tear so I wondering if this is contradiction ?????

[@carbuying]

Yes, some warranties will have "wear and tear" as an exclusion. the more expensive warranties allow wear and tear.

[@LubaLuba1]

carbuyingtipscom but is wear and tear not including bumper to bumper

[@sidharthchand8072]

Get a mechanical inspection better than any warranty

[@carbuying]

True our #1 rules for buying a used car that we always tell people is too have the car inspected before you buy put it up on a lift and also run a vehicle history report on it

[@TheSpiker4sure]

The problem with buying an extended warranty when you buy a new car is: The Dealer sells you a poor warranty and you go about your way for 3 years or so and then when it's way past to late you discover the worthless paper he sold you. This happen to my wife at a Volvo dealership. I told her to specify the Factory extended warranty and she did, Except, without telling her the paper work was switched at the dealership and they sold her an aftermarket warranty for the same price. More profit for them. Three years later we discovered the error the hard way. Of course I wrote letters etc. to no avail. I then turned in the warranty for a discounted refund as it had never been used. This refund was also stolen by the dealer. This dealer had recently employed a new president and he had put his own staff in. Even though I had been a loyal customer there for many years they basically said so sue us. The dealership is in Minneapolis. SO BEWARE and CHOOSE CAREFULLY. Volvo has lost 6 new car sales just in my family since this occurred. I feel bad for Volvo, they had always treated me fairly but refused to take action against a crooked dealership. I think they were fooled as I was by the long reputation of this dealer prior to his promoting a new President.

[@JeffOstroff1]

Glad to hear you stood your ground! At least next time the dealers won't fool you.

[@carbuying]

That's why we keep educating consumers

[@corvetteman39]

I have to disagree with this video as I am an F&I Director at a car dealership, I fully disclose all information about the Extended service contracts that I sell which do come with free roadside assist as well as free rental car coverage with a low $100 deductible. I always go over the normal wear and tear exclusions which apply the same as the manufacture warranty does. The company we use pays with a corporate credit card so that it is paid for at the time the car is done with no waiting. THERE is nothing hidden at our place of business nor will there ever be as this dealership is a family owned business that has been in business for over 70 years and also gives a lot to the community we are based out of totally free! There are a lot of scam warranty companies out there and I would highly recommend that people do check with the BBB before just buying one, but I want to stress that not all dealerships are crooks anymore. The sad part about this is back in the 70's and 80's car dealers made the way people think about car dealers affect how people think now and in the future about dealers and how they do business and it will always be a fight to maintain a good business structure because of the way people think now. Rest assured that there are some of us trying to change that now and in the future because we do care about our customers because without them we wouldn't be in business!

[@Smokeless1167]

You are full of it. The lengthy BS tells us that.

[@carbuying]

Your dealership might be the diamond in the rough, but most are not like that. Ask an F&I manager for a copy of the actual warranty contract that explains the terms and what is not covered, and they will try everything to avoid giving it to you to examine.

[@gassman284]

? About the exclusionary coverage if I Finance a car from the dealer say a Honda dealer and they have a Audi do you get the exclusionary coverage from them of the Audi dealer ?

[@carbuying]

The coverage applies to the agreement, does not matter the car brand, the agreement is between you and the warranty administrator

[@k-9977]

If you are not owning BMW then extended warranty is a waste of money. Japanese car no need extended warranty

[@carbuying]

When the manufacturer's warranty expire, that's when things start to break down on the car.

[@kenwillis8487]

@@carbuying very true! Maybe do a video on why manufacturers offer the warranty period that they do! Explain the confidence they have in the car making it 36000 miles. Also maybe point out that the cars are designed to fail at a certain interval based on maintenance and the average owner, as well as the parts manufacturers designing parts to last a set time! Point out that if they the (manufacture and parts companies) designed cars and parts to last longer then they would eventually go out of business! At a minimum they would lose a lot of money and sales numbers would drop! Same goes for everything we use if the manufacturers sold a top quality product that was designed and engineered to stand the test of time then they would not make money by selling you a new product in a few years when yours wore out! And also point out money back guarantee and lifetime warranty are a marketing scam. Less than 15% of people who buy parts use the lifetime replacement! And I think the number is even lower for lifetime warranty especially on small appliances and electronics! Sorry for the long winded rant just see a good video in the making to inform people especially the nay sayers. We as consumers have been sold this false facade of everything being consumable or throw away , we have started to accept that things are only made to last a few years and say we’ll they just don’t make them like they used to! The point is everyone saying you don’t need the warranty has drank the cool aide and is fully complacent with intentionally buying products that are designed to fail and then throwing them away or trading it in on a new one!

[@quinishaharley]

question when you get the warranty how long do you have before you can use it

[@JeffOstroff1]

We usually tell people with a used car not to use the warranty for 60 days because it sends up red flags and they often try to claim pre-existing condition and reject your claim for the repair.

[@carbuying]

Wait 60 to 90 days

[@tigaspinoypower]

I'm confused....Factory warranty covered you 3years or 60000 on the new car which ever go first right? Why do we pay extended warranty ? Do I have to buy extended warranty after the factory warranty ? I am on a dealer last week and I ask for the warranty for a new car and told me I have also to buy extended warranty beside the factory warranty and I told him why do I buy extended warranty ? While you said I have Factory warranty? He said additional for my factory . So I told him ..Can I buy extended warranty after my Factory warranty which is 3years or 60000 whichever goes first? He said NO! I have to buy it now and then I back out....Sir! Am I right to refuse the extended warranty? Because they said it cover the factory warranty ? Thanks!

[@carbuying]

If a car dealer tells you that you have to buy the extended warranty it is a lie and is illegal, and if he says this as a requirement for you getting the car loan, then it is a felony. You don't have to buy an extended warranty. Some people want one because they want a longer period of covered repairs on their car. But you don't have to buy it at the dealer, and he is lying by saying you have to buy it now or never. You can read our warranty chapter on our web site that explains everything you need to know about warranties and how to buy them cheaper yourself directly from the warranty company.

[@tigaspinoypower]

carbuyingtipscom Thank you very much for replying me back...

[@bhamilto57]

THANK YOU!

[@carbuying]

Glad to help

[@LeonidasD828]

NO WAY! JEFF?!

[@carbuying]

Yes way!

[@catawampusisupset2527]

It is a rip-off. The amount you pay for a warranty is more then a repair most of the time. Warrentys are a business and if everyone made more repairs then what warrentys charge . Out of business they go

[@carbuying]

Just like insurance, some people make claims, others don't. On unreliable cars, it will pay for itself.

[@paulmartin2499]

"How to Buy Extended Warranties for cars" aka: "How to give thousands of dollars to thieves and receive NOTHING in return..."

[@carbuying]

How to buy the wrong warranty, not read the fine print first to make sure you know what you are buying, then blaming everyone else

[@hannahcastello5392]

charlie sheen

[@carbuying]

Ha, been told that before, I'm winning! Only no porn star girlfriends

[@Galanty]

Extended warranties are scams ... no such thing as a great warranty .... bad advice.

[@carbuying]

Wrong

[@sidharthchand8072]

Extended warranties sucks

[@carbuying]

Many of the more reputable extent did warranties are good the problem is is most people buy the wrong warranty for their car or they buy the wrong coverage expecting that they have some Big Magic umbrella that covers everything that's where the problem comes in they don't stop to analyze what is not covered section of the contract

[@larryreynolds5136]

Dude if its a new car it is already covered this is just another tool the dealerships use to rip people off. Keep it real man, enough !

[@4DLAHVE]

larry reynolds lol... yeah. Super covered. For a fantastic 3 years. That’s going to do you really good... not.

[@carbuying]

The extended warranty extends the coverage until 5 years typically

[@rook_ioax]

you a bad ass

[@carbuying]

glad to help