27 Jun Extended warranties, are they worth it?
Lets face it, cars aren’t built like they use to be. Nowadays cars are loaded with computers and we all know how expensive the cost of repairs for technology can be. The real question to ask yourself is what is your peace of mind worth? Is it worth paying a slightly higher car payment to have the peace of mind of having a bumper to bumper warranty? Or do you roll the dice and take your chances. I will say the popularity has increased dramatically which can attributed to technology and increased labor costs, averaging $100-$120 per hour for labor.
At the end of the day, we insure ours cars for the unlikely event we get into an accident so why wouldn’t you do the same for covering expensive components and parts? To be honest, if I was forced to pick between having car insurance or a extended warranty, I would go with the warranty hands down. Why? There are thousands of different parts on our cars and several computers and I wouldn’t want to get stuck with an unexpected high cost repair. Plus I haven’t had an accident in the 24 years I’ve been driving so it would make sense to go with the more likely event. But as they say, to each their own!
The real dilemma is for those that do get extended protection, they aren’t claiming the refunds when they trade or sell the car prior to the coverage expiring. If you purchase a 100,000 mile warranty for $2400 and only used 50k miles upon trading it in, you are entitled to a prorated refund. Therefore you would be getting 50% back- $1200 in this example.
I’ve been in the car industry for several years and have seen first hand how consumers are simply unaware they are entitled to a refund. Thousands of cars are traded in each day that possibly have an extended warranty attached to them. Mywarrantyrefund.com aims to educate auto consumers and inform them of their options. We are the first consumer advocate website focused on bringing awareness to this matter. Millions of consumer dollars are being tossed away and our goal is to put that money back in the right pockets. Learn more at mywarrantyrefund.com