Beware: the extended warranty is not Nissan!

Originally Posted by Cbtech

Man sounds like everyone has gotten hosed by extended warranties here. Ill put in my 2 cents and tell you that extended warranties have saved my a$$ several times throughout the years. They might be expensive but can be negotiated at the time of purchase and even after you have bought.

I purchased one on my USED 2005 Mercedes E500 for $1700 at the time of purchase. I used the warranty for several things.

1. Navigation glitch - replaced the head unit - $2250
2. lights would pulse - Alternator replaced - $875
3. Front center speaker crackled randomly - $475
4. Gas door lock not engaging - $375

before the extended warranty was due to expire i had the dealer go through the car and they found a few things more that added up to around $600. So after the cost of the warranty I saved $2875. Now that doesnt say much for the car (03-05 were bad years for the mercedes E500) but it does show that I would have been 3k in the hole had i not opted for the warranty.



Unless you're a baller most people don't have $2200 on tap to repair their car or $1000 for that matter. And it doesnt have to be a mercedes to cost that much...your tranny goes out in your wifes Corolla? Minimum $1000 to fix. There are a lot of shady warranty companies out there but there are also reputable ones. just sayin

Originally Posted by Trips

Extended warranty thru the dealer does save you money "IF" something major happened NO doubt about that so thats no the issue here.

Originally Posted by Chuck33079

You can come out ahead by banking the monthly amount the warranty cost you during the factory warranty period. Before the factory warranty ends, you've got a nice little nest egg to drop on repairs if needed, and you don't end up paying interest on $2k over 3-6 years. That only works if the buyer is able to save the money and not spend it.

Originally Posted by Trips

Im with you Chuck

Just that we have different types of people out there some that prefer to pay for an extended warranty and not worry about future issues or the folks that save that money like you say and deal with it that way.

But WE also have the folks that say "The Hell with it" If it doesn't break down within the warranty it's all good, And drive it till the wheels fall off or look into getting rid of the car at the 5th or 6th year of ownership.

Originally Posted by Chuck33079

Both types of people are fine in my book as long as they're not paying 5% interest on that warranty they might never use. Most people trade cars every 3-5 years, still within the factory warranty period. The extended warranty money and interest just get pissed away. We don't get an accurate view of the average buyer here since enthusiasts tend to be a little better educated on the cars and the buying process. There are a lot of people who buy the warranty, finance it and ditch the car within the factory warranty for the trifecta of financial stupidity.