Consumer Reports: Truth about extended vehicle warranties

Car buyers crave reliability. But even a trustworthy brand isn't always enough. Some people want extra protection, from an extended warranty. Are they being sensible shoppers or sitting ducks, for preying salespeople?

[kokolovitch]

If you drive very little and don’t drive fast and aggressive, your car will hold up very well. No warranty needed.

[MH-fbkr]

your extended warranty will cover everything besides what broken on your car

[inspector]

I bought a enxtended warrenty on my 2018 Jeep Grand Cherokee it was $2, 500 it had 121 head gasket was seeping coolant somewhere into the engine the bill was 4655.00 waranty paid 4200.00 of the bill. I'll happily pay a few hundos instead of few grand for a repair.

[jackdawson]

Depends on the car!!! Toyota, Chevy Honda...NO! Porsche, BMW, Benz...YES!

[tuffman]

Fluid film your car. That will protect all the ground wires and keep the electronic gremlins out. Especially in the salt belt.

[stlcaring]

I had two extended warranties and they came in handy. Those repair bills can be ridiculous.

[rondawson]

We bought an extended warranty from Nissan for 1800.00 we tried to use it at a Nissan dealership it was not worth the paper it was written on! On top of that the dealership was rude I will never use Nissan again!!

[HiThisIsMine]

Wow, incredible reporting. Glad we dug into that one.

[crackerbarrel]

Fun Fact: There is no such thing as this “news” episode suggest. No auto manufacturer will “extend” its warranty. It’s simply third party insurance marketing against “what if” repair bills.

[DT-]

Buyers don’t get a return on car or home insurance either unless a claim is filed. Extended warranties are insurance… Nothing more. I’ve come out thousands of dollars ahead because I had an extended warranty on a vehicle. Paid $750 for an extended warranty on a vehicle. The engine had a catastrophic failure (connecting arm broke at 60mph) just after the factory powertrain warranty expired. A remanufactured engine and dealer provided loaner for a few weeks came up to over $6k. This was back in the late 90’s. Cars break and cars are way more expensive to repair nowadays and have far more components that can fail with all computers, screens, emissions and safety systems. Getting anything fixed in a dealership service department anymore will be a minimum of $750-1, 000 dollars. A $1, 300 warranty that covers me for 8 years and 100, 000 is cheap insurance.

[randy]

It's not an investment, it's a profit center for the FI department or used car dealer. Don't buy, just plan for car repairs, just like consumer reports says and get a reliable car (Japanese... Toyota, Honda or Mazda, period).

[rogerweber]

Buying a warranty u r just paying up front 4 things that MAY go wrong.
New cars have a 3/36 warranty, , & a 6/60 on the power train.
Warranty doesn't kick in for 5 years put ur $$ in the bank.

[richardfredenburg]

I just purchased a CPO BMW with 25000miles and their Platinum extended warranty for 7yrs. 100k miles she actually quoted me over 12, 000$ 🤣🤣🤣

[StormFanatic]

As someone who is very mechanically inclined to put it mildly, I do a thorough inspection of every Car I work on or am looking to buy. Effectively I am the warranty.

[larrybruce]

I researched extended auto warranties. They quoted me $129 per month for coverage. After telling them I would think about it the representative dropped the price to $109 a month for the same coverage. After again saying I would consider it, he dropped the price to $79 a month. I then asked, "why didn't you offer $79 when I first called" ??? I think these are a scam and hung up. Don't bother with these ex warranties.

[Ben]

It may not make sense, unless it’s a BMW or Mercedes Benz 😂 A single repair can run $5k and up.

[armageddonready]

I got an extended warranty on my car, I didn’t actually want it, but they threw it in because of the ten year loan with a stupid interest rate.
Then I paid cash and got the car for way cheaper. My friend is the car guy, and he seems to know his stuff.

[danielschmitt]

Extended warranties bought at the dealerships gouge you. You can purchase the same policy straight from the manufacturer for a quarter of the price.

[saabreplay]

I just own a 18 year old Toyota product
That is my extended warranty

The car never fails me.

[LONEWOLF-gcdv]

Manufacturer extended warranties seem to be better. You have documented history on the car and you can usually demand a higher resale price.
I paid cash for a 2008 Fully Loaded Ford Explorer, half way through my second renewal, I sold this car (23, 000 miles) for $16, 000 cash. The new owners were really pleased with the car having an extended factory warranty with a $100 deductible. Oh, and it only cost me $75 to transfer the warranty to the new owners.
But here is the best reason for seeking a factory extended warranty-when you need a repair, you go to the nearest dealership for service and there is never any bickering about parts or repair costs. Also, if you breakdown in a small town, you won't be at the mercy of the local mechanics.