# Extended Warranty



## mark1hod (Nov 17, 2014)

What's the general consensus on buying an extended warranty?


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## Older Chauffeur (Oct 16, 2014)

I don't ordinarily, but would consider it with the hard miles accrued in this business. One caveat- read the contract very carefully to be sure there are no loopholes re commercial use, taxi operation, etc. If it is a new vehicle you can sometimes delay the decision until just before the original warranty runs out. You can also find Internet deals with prices lower than the selling dealer might quote. The price should be negotiable when buying the car new, just like any other dealer added option. There is a big markup in the retail price for extended warranties. Finally, I would only buy one from the vehicle manufacturer, not an aftermarket warranty.


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## RideshareGuru (Nov 17, 2014)

mark1hod said:


> What's the general consensus on buying an extended warranty?


I always get one on a new or slightly used vehicle, but only from the OEM (Ford, Toyota, Chrysler, etc.), but ALWAYS do research on the internet first to get the lowest price. You do not need to buy the warranty from the dealership that you buy the car form. It may be beneficial to have the warranty cost rolled into the car payment, but definitely not worth paying a hefty markup to do it on top of the interest. On my latest purchase, I saved about 45% off the cost of the best extended warranty package that Ford offers. The dealership originally tried to sell it to me for $1500 more than what I eventually paid for it. Then they dropped the markup to $300, and I told them for $300 more, I'd just put it on a credit card and buy from the other dealer, then finally they matched the other dealer's price. All of this after I got them to drop the price of my vehicle by $3k, bringing it to $5100 under blue book value.


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