Stu-pot

Just bought a Ford Escape, 2005 model. Been offered a 3yr/60kms warranty at $4021.67(incl.tax). It covers everything apart from consumeables, tyres etc. Is this a good deal? In England we just had national breakdown at £11/mth and then paid for anything that went wrong, if it ever went wrong.

PaulandNikki

Read the small print very carefully, it tends to list what is covered and anything not specifically mentioned is not covered. It also won't cover anything that fails due to "wear and tear" but if you're lucky it will cover other things damaged if the failure damages other parts (e.g. a cambelt goes prematurely and takes out the rest of the engine). Also, $4k sounds rather expensive but then I don't know what prices are like over here for that sort of thing, they may be some online 3rd party insurers that will give you a quote.

iaink

Nope. Id be astonished if it cost you $4k plus in repairs in the next three years. And those warranty insurers have a reputation as pretty weasily when it comes to small print infractions.

Expensive maintainence like timing belt changes if required, or dealing with warped brake rotors (seemingly pretty common here?) are still going to come up, so Id say save your money and budget for repairs as you go along. That $4k must be like 1/3 or 1/4 of what you are paying for the thing

andrewrb143

I would put the $4000 in an bank account, let it grow and use it if anything went wrong..$4000 for three years seems excessive.

Stu-pot

Yeah we were thinking the same but just wanted some reassurance, think we'll hang onto the money!!

montreal mike

it is outrageous .. Just bought a hyundai elantra 2004 and got a three year warranty for less than half of what you are being offered

PaulandNikki

Your Hyundai is less likely to need it so in reality it's more expensive

gibsonslanding

good lordy, $4K????? we were looking at a 'new' mitsibushi, american speck, so no 10 year warranty but we could have bought one for $2.5K for a five year warranty.......and, if we had no claims in that time, we would have got that back........

so.......we bought a ford escape, 19K on clock......full five year warranty thrown in, three year 'full maintiance cover' for $2K.......total cost 'enough' lol......

i wouldn't pay the $4K they are asking from you.....saw you coming me thinks......

macadian

Your vehicle is around 4 years old...it's unlikely that you will have to spend $4000.00 dollars on repairs in the next 4 years, unless really unfortunate. As has been suggested, if you have 4 grand to burn, put it in a separate 'Car account'...and for any repairs you may need in the future, stay away from 'Main Dealer' - as is Hyundia, repair shops if at all possible...the little guy with a repair shop (AND a sound reputation) will be much cheaper.

london52

Where it will lose value in any bank these days with the low intrest....buy some gold young man.

iaink

The new tax free savings account option would be my choice as long as its not maxed out....

barrett

don't do it! I used to work at a car dealership and the plans are crap. Also they are marked up oh..about 500 to 800 percent!!!!!!!!!

Aviator

Never bought an extended warranty in my life, they are nothing more than a money pit for the seller. Only needed it once and the cost of repairs in that time were a couple of hundred.

The tranny went in my truck a while back, cost me $4000+, had I purchased an extended policy, the vehicle would have just been out of the warranty, so would not have been covered, so I would have paid out for the warranty then had the problem soon after the end of it, a double whammy.

There is always a risk with anything, but consider who comes out ahead with these plans. They try and make it sound like a good deal to the purchaser, they are such nice guys! There is huge mark up in these premiums.

G77

Isn't that because no one uses the hand/foot brake here when at lights? Hot pads onto discs = warped....

When I was looking for a car the guy said to me "You can tell the Brits as you always put the foot brake on..."

Bill_S

$4000???

Forget it. And when you balk, and the dealer offers the same warranty for $3000, forget it again.