Sunday, September 19, 2010

Whether Or Not To Buy An Auto Warranty

By Valerie Soroker

When first hearing about the offer of an extended car warranty from the dealership, you may often justify the benefits of not accepting the opportunity. It may be out of a buyer's budget, or you might simply think it's a scam. While this may be true, deciding to take the extended warranty could indeed prove to be a positive decision too.

It is the truth that an extended car warranty can ultimately be very expensive. Costly warranties are frequently discovered to not be a good deal because dealers will oftentimes build their commission right into the price. Furthermore, this explains why they may possibly be forceful in encouraging a buyer to pay for the extended warranty. It is understandable why this tactic might scare a prospective customer away.

While the salesperson is wrong to be so forceful about purchasing the warranty, it is true that it is probably in the buyer's best interest. Once a driver gets into an accident or an unexpected mechanical error occurs within the vehicle, it will be too late to wish for one. However, there are plenty of independent agencies that sell extended warranties for much cheaper, and these are usually the more savvy option.

Purchasing an extended warranty from a company outside the dealership can prove to work to a buyer's advantage. The deductibles are particularly low, especially in contrast to the high repair costs, and the monthly payments are manageable as well. In the long run, the purchaser will find that he or she has actually saved money rather than the original notion that this might be a scam.

When faced with an actual issue with the vehicle, the driver will see how it not only makes the process more budget-friendly, but less time-consuming and difficult as well. The vehicle will merely need to be brought to an ASE-qualified mechanic to be fixed. The only personal cost to the driver is still just the deductible, and all other phases of the process are in the hands of the warranty agency.

A buyer should never let the pushiness of a warranty salesman talk him or her out of purchasing an extended car warranty altogether. Instead, browse the offers of other warranty agencies and find the best deal. Overall, while purchasing from the dealership could be a waste of money, purchasing a private warranty can make owning a car much easier on the wallet.

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