Issued Used Auto Warranties: Why Does Anyone Buy Them?
Return to: Part 1 Used Auto Warranty Warning: Beware Dealer-Issued Extended Auto Warranty Coverage. • Most often, the buyer simply never thought about an extended auto warranty before going to the dealership. When the salesperson explains how important extended auto warranty coverage is, the buyer just thanks him for the tip and buys it. • The buyer doesn’t realize how expensive the warranty is. Of course, car repairs can potentially be so expensive that even an overpriced dealer-issued warranty can pay for itself several times over. Meanwhile, next to a $15,000 car, even an overpriced $2500 dealer-issued warranty seems cheap. But if you’re going to buy a warranty, why not buy a really good one? • Many buyers mistake dealer-issued warranties for manufacturers’ warranties. In some cases, the salesperson may even try to let you think the warranty will cover repairs at any of the dealerships affiliated with that manufacturer (say, any Chrysler or Mitsubishi dealership). Of course, such wa
Return to: Part 1 Used Auto Warranty Warning: Beware Dealer-Issued Extended Auto Warranty Coverage. • Most often, the buyer simply never thought about an extended auto warranty before going to the dealership. When the salesperson explains how important extended auto warranty coverage is, the buyer just thanks him for the tip and buys it. • The buyer doesn’t realize how expensive the warranty is. Of course, car repairs can potentially be so expensive that even an overpriced dealer-issued warranty can pay for itself several times over. Meanwhile, next to a $15,000 car, even an overpriced $2500 dealer-issued warranty seems cheap. But if you’re going to buy a warranty, why not buy a really good one? • Many buyers mistake dealer-issued warranties for manufacturers’ warranties. In some cases, the salesperson may even try to let you think the warranty will cover repairs at any of the dealerships affiliated with that manufacturer (say, any Chrysler or Mitsubishi dealership). Of course, such wa
