Every product needs to offer some kind of warranty period to instill trust in its customer’s mind. Cars are not any different. Older ones came with one. While the latest cars will have some kind of warranty for them as well.
But what makes a car warranty good enough?
To figure out everything about such auto warranties for you, today, the article will discuss what’s a car warranty, is it worth having one, and is it good to have an extended warranty or not.
So, let’s just jump right in!
What’s a Car Warranty?
First of all, you should know a car warranty is the one that’s offered only and only when you buy a brand-new vehicle. Once that warranty is over. Everything else is either covered under a service or insurance.
So, never confuse a car warranty with an extended warranty of a vehicle. As it’s not the same thing, just a prepaid service plan and nothing more.
Now, once that confusion is in the clear. You must be thinking, “what is a prepaid service plan then?”
Don’t worry. Let’s talk more about it.
It’s basically a service contract, where you have to pay some fee (monthly) to avoid the risks of paying huge amounts if something monumentally bad happens to your vehicle. But, of course, this is after the original warranty period is over.
Note: A car warranty can be up after a certain time or mileage limit. So, make sure you know the detail about your vehicle’s warranty!
These prepaid service plans can vary in both terms of mileage and time. If you plan on keeping your car for a long time and drive it over 100,000 miles, then such contracts will have you covered.
So, no “extended warranties” just prepaid service contracts.
How Can These Service Plans Vary from One Another?
Mostly, they only differ in the ways they will pay for your vehicle’s repair work.
Let’s assume, one of the car parts falls apart after 90,000 miles’ mark. Then, some of these contracts will compel you to take your vehicle to the specific dealership for repair. Other plans might let you choose any ASE-certified mechanic working out of a gas station in your area.
Even though, at first, it seems like having to go to a dealership for repairs might be a bad idea. But know this, the plans that make you use dealerships also require factory-authorized personnel to work on your car. While only OEM replacement parts can be used during the repair.
On the other hand, who knows what parts your local mechanic will use?
Most probably the cheap ones that you will have to get replaced soon after. So, you should read and understand such contracts before moving ahead with them.
Is It Worth Having a Warranty for Your Car?
In case you are driving a car that’s known for its endurance and reliability, then perhaps you should not pay for “extended warranties”.
Otherwise, having a regular car might warrant a service plan. Because who knows what may go haywire in the long run. There are no guarantees, right?
So, you should do some research on the auto model you want to buy or lease. Because some cars have a repair history far exceeding most others. For they can come with manufacturing issues that occur often in that specific make and model.
Few auto parts are more prone to failure as well.
That’s why ensure that the car you have bought or want to buy/lease is a reliable one beforehand.
A Huge Factor to Consider When Assuming a Car Lease
Many people can’t afford to buy brand new cars these days. So, lease swapping is a popular method they use to drive any car they want.
QuitALease is one of few trusted platforms that conned car lease sellers and buyers to achieve their end goals. The former wants to transfer their lease while the latter wants to assume it to drive the cars of their dreams.
But, before anyone transfers anything. Buyers inspect and inquire about everything relating to the car.
Having a car warranty left on your vehicle will help you get good offers. While, if you are assuming a lease, you can rest assured that there still some time left before the car warranty is over.
This way if anything bad happens to the vehicle, you will not have to worry about its repair cost. As most of it will be taken care of under the manufacturing company’s contract.
Is It Useful to Have Extended Warranty?
Considering everything, mentioned earlier in the article, you may agree that it all depends on the circumstances.
If you don’t plan to hold on to your vehicle for a long period, then getting into such a service place might be an extra expense.
So, only consider extended warranties when you, have bought it and, have no plans of re-selling the car. Or, returning it to the financing company that leased it to you.
Now, hopefully, this article has cleared up all your queries on the matter. But, if you want more details, you can always search for answers elsewhere.