Extended Warranty: Worth it?
Got a letter from my dealer the other day regarding an offer on the Extended Mechanical Warranty plans they have. Apparently, pricing will increase 20-30% after the end of the month, so this was an "act now" reminder.
Now this kind of annoys me, because when I bought the car, my rep told me that I "only have a few days to make up my mind about the extended warranty" otherwise, I loose the ability to sign on to one.
I called the Finance Manager, and this is definitely not the case. Turns out, you can purchase an extended plan right up to the last day of the standard plan. Of course, the longer you wait, the larger the surcharge (in my case, since I already have 18K on the car, so this equates to $100).
Anyway, there are 2 plans:
1) 6 years/72,000 miles, whichever comes first. Essentially, this adds 2 years onto the 4 year/50,000 standard mechanical warranty.
2) 7 years/100,000 miles, whichever comes first. Adds 3 years.
I got the pricing for the 6 year with a $100 deductible: $1,350.00. You can pay up front, or pay 10% down, then pay the balance over the next 12 months interest free.
I'm seriously considering this, since these cars are so high maintenance and the cost of parts/labor is astronomical. Edit: I'm also going to keep this car for at least 5 years. I also put on 20K miles a year, so in 5 years I will have 120K on the clock.
I also found out that you can also extend the Maintenance Warranty as well. Standard is 3 years, 36,000 miles. You can extend this a year to 4 years, 50,000 miles for a flat $399.00. I wasn't told about this either when I bought the car. Again, this can be purchased anytime before the Standard Maintenance expires.
So what do you guys think? Is this worth the $$$? Which plan would you go for?
Now this kind of annoys me, because when I bought the car, my rep told me that I "only have a few days to make up my mind about the extended warranty" otherwise, I loose the ability to sign on to one.
I called the Finance Manager, and this is definitely not the case. Turns out, you can purchase an extended plan right up to the last day of the standard plan. Of course, the longer you wait, the larger the surcharge (in my case, since I already have 18K on the car, so this equates to $100).
Anyway, there are 2 plans:
1) 6 years/72,000 miles, whichever comes first. Essentially, this adds 2 years onto the 4 year/50,000 standard mechanical warranty.
2) 7 years/100,000 miles, whichever comes first. Adds 3 years.
I got the pricing for the 6 year with a $100 deductible: $1,350.00. You can pay up front, or pay 10% down, then pay the balance over the next 12 months interest free.
I'm seriously considering this, since these cars are so high maintenance and the cost of parts/labor is astronomical. Edit: I'm also going to keep this car for at least 5 years. I also put on 20K miles a year, so in 5 years I will have 120K on the clock.
I also found out that you can also extend the Maintenance Warranty as well. Standard is 3 years, 36,000 miles. You can extend this a year to 4 years, 50,000 miles for a flat $399.00. I wasn't told about this either when I bought the car. Again, this can be purchased anytime before the Standard Maintenance expires.
So what do you guys think? Is this worth the $$$? Which plan would you go for?
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First of all, let me say this: Your dealer is full of shit. You can purchase the extended warranty anytime BEFORE the 36K full maintenance cutoff. However, each dealer may have their own restrictions, so I can't say this applies to everyone. It's not good to purchase the extended warranty right when you purchase the car because while if you don't put too many miles on the car, the years will run out first. But as far as getting it, it's really a lottery ticket. You may end up losing your $800-2000 (depending on your dealer and greed) throughout that time span, or you may be able to save some money with the warranty. My previous car had a/c failure and few other things that would have cost me a good deal of money, but because I had the ext. warranty, it saved me more than the price I paid for the warranty. You ought to look into aftermarket warranties as well, but I doubt from what I read that your dealer will honor it. I wouldn't go for the full maintenance upgrade, it's too much money and only 14k miles.
Thats what I'm not sure about - whether the rate is a good value, or whether the $1,350.00 is steep. I have no basis for comparison.
I have no doubt the engine should be trouble free for a long time. What I have doubts about is the clutch and drivetrain, which from reading posts here, is plagued by problems. Get these repaired out of warranty would cost big $$$.
As far as the dealer goes, if I choose the payment plan, thats interest free.
I have no doubt the engine should be trouble free for a long time. What I have doubts about is the clutch and drivetrain, which from reading posts here, is plagued by problems. Get these repaired out of warranty would cost big $$$.
As far as the dealer goes, if I choose the payment plan, thats interest free.
Do some negotiating
. They dont' do that either do they?:dunno:
. They dont' do that either do they?:dunno:You also need to see exactly what is covered. Most extended warranties will still not cover the clutch, brakes, and other "wear" items.
End of New Vehicle Warranty, what to do?
So I have 46,000 miles on my 2001 330i. I can do either of 4 things, and was hoping someone could shed some light on the subject for me. Maybe think of something I haven't.
1. Do nothing. Don't buy any extended warranty and hope that nothing fails or breaks. It has been rock solid (knock on wood) thus far, and should continue to be so far into the future.
2. Spend $1700 to purchase the "Platinum" extended warranty which covers almost everything for another 12,000 miles. (12,000 miles is good for about 7 months)
3. Spend $1,062 for just a powertrain warranty extention, (12,000 miles) and hope nothing else breaks.
4. Sell my car third party for around $25,000 pay off the $14,000 loan I still have, then use the rest of the money as a down payment on a CPO car with a 100,000 mile CPO warranty.
Anyone have any ideas?
Thanks
Daniel
So I have 46,000 miles on my 2001 330i. I can do either of 4 things, and was hoping someone could shed some light on the subject for me. Maybe think of something I haven't.
1. Do nothing. Don't buy any extended warranty and hope that nothing fails or breaks. It has been rock solid (knock on wood) thus far, and should continue to be so far into the future.
2. Spend $1700 to purchase the "Platinum" extended warranty which covers almost everything for another 12,000 miles. (12,000 miles is good for about 7 months)
3. Spend $1,062 for just a powertrain warranty extention, (12,000 miles) and hope nothing else breaks.
4. Sell my car third party for around $25,000 pay off the $14,000 loan I still have, then use the rest of the money as a down payment on a CPO car with a 100,000 mile CPO warranty.
Anyone have any ideas?
Thanks
Daniel
My goal is to have my 2002 330ci paid off my june/july of next year, then trade it in on an m3. If you like to upgrade and always drive something new then I would say #4 daniel. But #4 is also the way in which youll loose the most money. If you are worried about the car breaking down, just spend the 1700 bucks and get peace of mind. spending 1700 bucks is alot cheaper than buying a new or cpo car.
My opinion of extended warranties . . .
is this:
I feel like it is good to have the car under warranty for at least as long as you are making payments on it. If the warranty runs longer than your payment period, great but I wouldn't pay extra for it. My $.02
is this:
I feel like it is good to have the car under warranty for at least as long as you are making payments on it. If the warranty runs longer than your payment period, great but I wouldn't pay extra for it. My $.02
:lmao:
When I saw the title of the thread I automatically assumed it was from 'iiotoko' (more like 'aho-chan' if you ask me)
:lmao:
FWIW I think I've bought an extended warranty on electronics maybe twice ever, and felt it was worthwhile just once.
Heck, half the problems I've had on my car so far I've fixed myself, even though I coulda gotten em done under warranty.
When I saw the title of the thread I automatically assumed it was from 'iiotoko' (more like 'aho-chan' if you ask me)
:lmao:
FWIW I think I've bought an extended warranty on electronics maybe twice ever, and felt it was worthwhile just once.
Heck, half the problems I've had on my car so far I've fixed myself, even though I coulda gotten em done under warranty.
If this were a poll I would check “no.”
Re: End of New Vehicle Warranty, what to do?
For that price, you might as well see what the dealer would charge to CPO your car.Daniel said:
Warranty Gold
Too bad they are no longer allow to underwrite in CA, but everyone I know who has had it loved it. ANd you can get it anytime before standard warranty runs out.
They also got good reviews from listers at Suzy's E36 M3 list.
Check them out at same name website. And no, I have nothing to do with them, just passing along some info...
Andy
02 M3 CB/Cloth SMG
Too bad they are no longer allow to underwrite in CA, but everyone I know who has had it loved it. ANd you can get it anytime before standard warranty runs out.
They also got good reviews from listers at Suzy's E36 M3 list.
Check them out at same name website. And no, I have nothing to do with them, just passing along some info...
Andy
02 M3 CB/Cloth SMG
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