Would you buy an extended warranty on a new car?

[Dancing Fire]

IMO..Extended auto warranty are for suckers.

Yesterday I spent a few hours online haggling a great price for my daughter's new Honda Accord Sport. The MSRP was $25,829 after adding a few accessories. I haggled the price down to $20,500 + tax and license. when we went to pick up the car she got "suckered into" purchasing the extended warranty (8 yrs or 120k) for $1460 I almost fell off the chair sitting next her .. .. I having no saying on this car b/c she is using the $11K that we received from the insurance co. as d/p after totaling her 07 Civic. Then they ran a credit check on her and I was surprised that it was 774.. but dealer said she doesn't have any payment history, so they can only offer her 3.9% APR instead of 0.9% APR. which is fine b/c I wanted her to establish a credit history for her future home purchase.

Anyway this is the car she purchased...

http://automobiles.honda.com/tools/build-price/summary.aspx?ModelName=Accord%20Sedan&ModelYear=2014&ModelID=CR2F5EEW&EColor=NH-788P&IColor=BK&Selected=ACCOR14046,ACCOR14028,ACCOR14029,ACCOR14039#

 

[MarionC]

No I would not.
When I bought a car from a good sales person last year he said I shouldn't get a warranty.
She can probably cancel it.

congrats on the new vehicle!

 

[NTave]

I would not per rule..however, I got beat into it by the sales guy after we had everything final in place..I got an extra .25 off a very low percentage score anyway so it really didn't make a big overall difference, but I was still miffed at myself for caving in. Its not like me. I was so exhausted by the car buying experience, I never want to do it again.

 

[kenny]

No. I buy Hondas.
Sure, anything can happen to any brand but Honda's quality is very highly rated.

If I bought a Dodge, Volvo, Mercedes or Chevy, yes I'd buy the extended warranty …….. actually no, I'd just buy whatever used Honda or Toyota that same budget would have gotten me.

 

[diamondringlover]

way back when we purchased a brand new 2005 Chevrolet Silverado..it had like 51 mile on it...I decided at that time to purchase the extended warranty (and yes I bought the truck) I dont normally buy extended warranties..but did this time...the truck came with a 36 month bumper to bumper and power train warranty...the warranty extended it to 7 years and 100,000 miles with the extended warranty...the truck turned out to be quite the lemon, we have had nothing but issues with it...so no I dont regret buying the warrantly..we still have the truck..but its getting time to think about getting a new one.

 

[Tacori E-ring]

I just read an article on extended warranties and they said to pass on the car ones. Good for you for getting them to drop so much in price. What is your secret?

 

[swingirl]

No. Cancel the warranty and get her money back. The car is already warrantied from the manufacturer.

 

[kenny]

No. Cancel the warranty and get her money back. The car is already warrantied from the manufacturer.

Not for 8 years.

That said I'd cancel the warranty too, but because you are already paying for the high reliability of Hondas.

 

[Dancing Fire]

No. Cancel the warranty and get her money back. The car is already warrantied from the manufacturer.

Not for 8 years.

Actually the extended warranty will kick in after the 3 yrs /36k factory warranty have had expired. 8 yrs/120k sounds good, but in reality the extra $1460 only cover an extra 5 ys or 84k miles. most young people are so gullible...

 

[kenny]

No. Cancel the warranty and get her money back. The car is already warrantied from the manufacturer.

Not for 8 years.

Actually the extended warranty will kick in after the 3 yrs /36k factory warranty have had expired. 8 yrs/120k sounds good, but in reality the extra $1460 only cover an extra 5 ys or 84k miles. most young people are so gullible...

Yet another thing that pisses me off.
Why don't they tell the truth by just calling it a 5-year extended warranty or 3+5=8?

 

[Dancing Fire]

No. Cancel the warranty and get her money back. The car is already warrantied from the manufacturer.

Not for 8 years.

Actually the extended warranty will kick in after the 3 yrs /36k factory warranty have had expired. 8 yrs/120k sounds good, but in reality the extra $1460 only cover an extra 5 ys or 84k miles. most young people are so gullible...

Yet another thing that pisses me off.
Why don't they tell the truth by just calling it a 5-year extended warranty or 3+5=8?

Exactly Kenny!...By calling it a 5-year extended warranty don't sound as good as 8yrs...

 

[TC1987]

I don't know. Sometimes you get your money's worth out if it, if for weird reasons. I bought a 1987 Ford T-Bird Turbo Coupe new and I bought the best extended warranty plan they had. I had that car only 3 months or so when a driver ran a red light and I hit him (he was at fault.) There was rather a lot of damage, and the Turbo Coupe has a lot of electronics for a car of its day. The insurance company paid the collision repairs, but then later on I had problems with the charging system, voltage regulator, cooling fan, something with the clutch adjustment, the throwout bearing, a slug of something dislodged and clogged an injector or something, and I forget what else (it's been 26 years ) , and the extended warranty paid for those even though I suspect they were related to the collision. I still have the car, btw.

 

[kenny]

Although your experience with one brand is 100% of your experience, similar experiences may be only 0.000000000000000001% of all experiences with that brand.
IOW, we should not base our buying decisions on exceptions to generalizations.

There are many legitimate lists of car brands rated for quality and resale value vs. price.
They are based on a zillion samples, not just one, yours.

When buying a car I reject any brand that scores poorly in legit ratings.

I worked with a guy who bought a new 1982 Ford Thunderbird the same time I bought a new 1982 Honda Accord.
Ten years later he paid $12,000 on out of warranty repairs.
I paid zero.
When it was time to buy new cars he bought another Ford.
I asked him why.
His response, "My dad always bought Fords."

 

[Dancing Fire]

I just read an article on extended warranties and they said to pass on the car ones. Good for you for getting them to drop so much in price. What is your secret?

just go online and haggle with the two lowest offer you received. Unlike the olden days buyers nowadays don't needed to go all over town to haggle face to face with the sales person. I would also contact a few dealers within 100 miles to see if they would offer a lower price for the same car. In 2006 when we bought my wife's car we drove 100 miles to save $3200...

 

[DNB]

We just bought me a brand new Toyota Highlander Limited. With all the computer and electronics on it, we decided to buy a warranty. Not because we think the car will break down, but because if just one gadget does, it'll pay for itself. Between the GPS, blue tooth, back up camera, and other sensors (including blind spot avoidance, park assist, etc), anyone of those would be expensive. My last vehicle was a Honda Pilot which needed a transmission repair while still inside my extended warranty. It paid for itself in that one repair. Honda's aren't what they used to be which is why we switched to the Highlander. Safety ratings alone are much better on the Highlander than the Pilot.

 

[Dancing Fire]

I don't know. Sometimes you get your money's worth out if it, if for weird reasons. I bought a 1987 Ford T-Bird Turbo Coupe new and I bought the best extended warranty plan they had. I had that car only 3 months or so when a driver ran a red light and I hit him (he was at fault.) There was rather a lot of damage, and the Turbo Coupe has a lot of electronics for a car of its day. The insurance company paid the collision repairs, but then later on I had problems with the charging system, voltage regulator, cooling fan, something with the clutch adjustment, the throwout bearing, a slug of something dislodged and clogged an injector or something, and I forget what else (it's been 26 years ) , and the extended warranty paid for those even though I suspect they were related to the collision. I still have the car, btw.

A turbo car and American made = problems!...I would never buy a turbo car period.

 

[february2003bride]

We do not buy extended warranties on cars however we have on our washer/dryer and dishwasher.

DF- My DH owns a 2011 Honda Accord Sedan SE and loves it! I drive a 2014 Honda Pilot and plan to keep it till it dies. Love my SUV!

 

[Dancing Fire]

We just bought me a brand new Toyota Highlander Limited. With all the computer and electronics on it, we decided to buy a warranty. Not because we think the car will break down, but because if just one gadget does, it'll pay for itself. Between the GPS, blue tooth, back up camera, and other sensors (including blind spot avoidance, park assist, etc), anyone of those would be expensive. My last vehicle was a Honda Pilot which needed a transmission repair while still inside my extended warranty. It paid for itself in that one repair. Honda's aren't what they used to be which is why we switched to the Highlander. Safety ratings alone are much better on the Highlander than the Pilot.

Yea, there are problems with V6 Honda/auto trans, but their 4 cylinders auto trans are excellent running cars. We own 3 Toyotas and 2 Hondas. I would buy either Toyota or Honda depending on the model. All my mechanic friends say to...stay away from Honda V6 with auto trans.

 

[DNB]

We just bought me a brand new Toyota Highlander Limited. With all the computer and electronics on it, we decided to buy a warranty. Not because we think the car will break down, but because if just one gadget does, it'll pay for itself. Between the GPS, blue tooth, back up camera, and other sensors (including blind spot avoidance, park assist, etc), anyone of those would be expensive. My last vehicle was a Honda Pilot which needed a transmission repair while still inside my extended warranty. It paid for itself in that one repair. Honda's aren't what they used to be which is why we switched to the Highlander. Safety ratings alone are much better on the Highlander than the Pilot.

Yea, there are problems with V6 Honda/auto trans, but their 4 cylinders auto trans are excellent running cars. We own 3 Toyotas and 2 Hondas. I would buy either Toyota or Honda depending on the model. All my mechanic friends say to...stay away from Honda V6 with auto trans.

We're now a 2 Toyota family. DH owns a 2008 Toyota Solara convertible (too bad they no longer make them as he loves it). We have owned Honda Civics and Accords in the past with no problems. The Highlander just drives so much better than the Pilot did. I just like having a larger vehicle than a Civic or Accord. I hadn't heard that about the V-6, but I do know the Pilot transmissions have the particular issue mine did. It was a 2007 with 65K miles on it and we sold it to the Toyota dealership. It didn't even last a week on their lot because it was in such good shape. We never buy extended warranties on anything else. In fact, we didn't even get one on DH's car. Wish we had though, it would have paid for itself already and then some. His rear window defroster doesn't work. The only way to fix it is to replace the rag top. That alone is over 3K. He just lives with it. Fortunately, our cars are garage kept at home so no ice on the car in the am and it hasn't been an issue at work.

 

[Dancing Fire]

I worked with a guy who bought a new 1982 Ford Thunderbird the same time I bought a new 1982 Honda Accord.
Ten years later he paid $12,000 on out of warranty repairs.
I paid zero.
When it was time to buy new cars he bought another Ford.
I asked him why.
His response, "My dad always bought Fords."

Pre 2000 were the best period for Honda and Toyota b/c most were made in Japan with all Japanese parts... .. Nowadays even their most expensive Accords are made in U.S. with 50% Japanese made parts.

 

[TooPatient]

Yes.

Did it for our previous car and ended up using it extensively. Being a new car (and first year being made) it had some BIG issues that came up. The extended ended up covering full repairs (plus rental for the repair time) for several major repairs.
Cost us about $1,500 but covered about $20,000 in repairs plus another couple of weeks of rental car expenses.

When we traded that one in and bought our new one, we did choose to get the extended warranty again.

 

[lknvrb4]

We did for both our vehicles. We knew we would be driving them for a long time and it seemed worth it to us. We of course refused when they offered it at the beginning of signing all the paperwork but at the end they miraculously dropped the price of the warranty for much less than what they first offered.

 

[justginger]

I would never buy an extended warranty.

I have owned 3 cars. One Dodge, 2 Hyundais. My Dodge was beautiful, but had issues. I was in high school, so my parents (thankfully) covered the periodic repairs it needed. They were never terribly expensive, just annoying.

My Hyundais have been flawless. I trust a company with a 5 year, unlimited warranty. The only reason I got rid of the first, and bought the second new, was due to the massive hailstorm down here. It was written off, along with 40,000 other cars in Perth. My Hyundais have not had a single visit to a mechanic for anything more than preventative servicing since 2005. I will always buy Hyundai - cheap and reliable.

DH has an older Toyota that is super reliable, but our friends with newer Toyotas (in the last 3 years) have nothing but complaints about them. We won't replace his old Toyota with a new one; we'll likely go to Honda instead.

 

[chemgirl]

Never did until my new car because repairs are notoriously expensive. It's peace of mind when something minor will be easily more than the warranty costs.

In general though I would say no.

 

[TC1987]

Although your experience with one brand is 100% of your experience, similar experiences may be only 0.000000000000000001% of all experiences with that brand.
IOW, we should not base our buying decisions on exceptions to generalizations.

There are many legitimate lists of car brands rated for quality and resale value vs. price.
They are based on a zillion samples, not just one, yours.

When buying a car I reject any brand that scores poorly in legit ratings.

I worked with a guy who bought a new 1982 Ford Thunderbird the same time I bought a new 1982 Honda Accord.
Ten years later he paid $12,000 on out of warranty repairs.
I paid zero.
When it was time to buy new cars he bought another Ford.
I asked him why.
His response, "My dad always bought Fords."

Who died and appointed you God? Don't knock my Fords, Bossy. YOUR experience with your Honda is your experience. I always own more than one vehicle, and some of them are deliberately chosen for occasional use and fun, not daily drivers, so reliability is not really an issue. Plus, IF you hang around on the enthusiast forums for those vehicles, they figure out all the problems and find ways to repair and upgrade. And they have group buys on parts and mods. So, what is YOUR sky-is-falling crisis is not even on my radar screen. Japanese makes are NOT infallible. I had a lousy experience with a Toyota that was highly rated by every review I read. It was a lemon, a total POS, and had cracked piston rings, ground-up synchronizers in the transmission, and finally developed electrical problems so that it couldn't be driver in the rain. I waited until the first sunny dry day, changed the fuses, and traded her off. My next car was a Mitsubishi, and it was trouble free and a pleasure to drive, but started to rust badly after 5 years. I had a Mercury Topaz (another FORD) for daily driver for 11 years -- great car for a cheapo and completely reliable. Worst thing that ever went wrong with it was the fuel pump quit. I've owned two Chevy trucks and still have one, a Duramax diesel beast. Current driver is a 1996 Ford Crown Vic LX that I bought used with 85k miles back in 2003. Has 166k on it now and has been an economical car and very easy keeper. Had to replace a cracked intake manifold for %700 in 2003, spent $225 to fix the ABS in 2010; those were the two most expensive repairs and the rest were nickel and dime things. Over, it's a great car and I'll drive it until the frame rusts out. I already bought the next daily driver, and yes, it's another Ford. WHICH Ford makes a lot of difference.

In my case, I bought that extended warranty on the Turbo Coupe specifically because it had a lot of things that COULD go wrong. The '87 and '88 are different cars from the earlier '80s, at least the Turbo Coupes are. And as it turned out, I got enough usage out of that particular warranty to say it was worth buying. My TC stickered for %17,500 or thereabouts. That was a lot of money for a car back in that day. $12k is close to what I paid for that entire new car! I sure as Hades would not put another $12k into repairing it.

If I were buying a BMW or Mercedes or other thing with high repair costs and a lot of unique technology, I might buy a warranty. It's an insurance policy, that's all it is.

 

[TC1987]

A turbo car and American made = problems!...I would never buy a turbo car period.

It was Motor Trend 1987 Car of the Year. When I bought mine, there there three other Turbo Coupes at work and the guys welcomed me in, and it was like a secret society. N.A.T.O. club, TurboTbird.com is a great resource. That engine came from the Pinto or something, was used in SVO 'Stang, and had been around the block a few hundred times. The engine is bulletproof.

They are wicked good highway cruisers, which is what I bought mine for. Huge gas tank (18 gal?) and mine always gets 26-30 MPG highway with the 5-speed. Needs premium gas, though, and is a true fuel hog in town.


eta: Here, this guy will take you for a drive. https://www.youtube.com/watch?v=na_RhJJQwvE

 

[dk168]

I purchased my MINI in 2002 that came with 3 years new car warranty, and bought extended warranty until the mileage reached 100k when it was offered to me, as I believe it was a good deal/value at the time.

If and when I am ready for another new car, most likely to be another MINI, then I would do the same again.

DK

 

[Dancing Fire]

[quote="TC1987|1399331149|
If I were buying a BMW or Mercedes or other thing with high repair costs and a lot of unique technology, I might buy a warranty. It's an insurance policy, that's all it is.[/quote]

I would buy an extended warranty too if I were to buy another BMW or Mercedes. Bought a 1995 BMW 540i (3 yrs old) with 28k on the clock for $30k then for the next 9 years probably spent like 20k on repairs... so finally in 2007 we traded in that POS for my daughter's 2007 Civic which her totaled a few weeks ago.

My wife bought a brand new 1979 Ford Mustang for $6500 and after 45k on the clock in ran like S**T! .. she sold the car for $400 bucks, so I don't see us owning another Ford in the near future.