Used Auto Warranty Warning: Beware Dealer-Issued Extended Auto Warranty Coverage
Buying a used car? You need an extended auto warranty to protect you from expensive surprises down the road. But be careful when your dealer tries to sell you used auto extended warranty coverage. Usually, the dealer is simply reselling used auto warranties issued by a used auto warranty company, with a markup of up to $1000. You could just as easily have bought the extended warranty directly from the auto warranty company. But overpaying for a third-party used car extended auto warranty is certainly not the worst used auto warranty deal you can get. The worst auto extended warranty deal is to buy one that isn’t issued by a third party at all. Dealer-Issued Extended Auto Warranties Explained Yes, some dealers actually sell extended auto warranties they’ve created themselves. These dealer-issued auto warranties typically only allow you to get service at the dealership. They either don’t cover repairs done anywhere else at all, or they only cover emergency repairs for breakdowns. Often, a dealer-issued used auto extended warranty even restricts you to getting maintenance at the dealership only. With a captive clientele, the dealerships often charge much more than local mechanics. There are some other big problems with a dealer-issued used auto extended warranty: What happens if you move far away? Answer: you’d have to buy another auto warranty. What if you’re driving somewhere far away when your car breaks down? Answer: if the used auto warranty doesn’t cover reimbursements for emergency service, you’re in trouble. Even if it does cover reimbursements, you’d better hope your credit card or checking account can handle the damage in the meantime. What if the dealership goes bankrupt? Answer: get in line behind the banks, the car manufacturer, the dealership’s vendors, and everyone else trying to get money out of the business. What if you just aren’t satisfied with the dealer’s work? Answer: complain very, very nicely. You can’t take your business elsewhere unless you’re willing to pay for it. If you comparison shopped the dealer-issued extended auto warranty, you’d realize it wasn’t worth it. But most people never do a used auto extended warranties comparison. There is simply so much ignorance about auto warranties. Your best hope is to learn more. Dealer-Issued Used Auto Warranties: Why Does Anyone Buy Them? Most often, the buyer simply never thought about an extended auto warranty before going to the dealership. When the salesperson explains how important extended auto warranty coverage is, the buyer just thanks him for the tip and buys it. The buyer doesn’t realize how expensive the warranty is. Of course, car repairs can potentially be so expensive that even an overpriced dealer-issued warranty can pay for itself several times over. Meanwhile, next to a $15,000 car, even an overpriced $2500 dealer-issued warranty seems cheap. But if you’re going to buy a warranty, why not buy a really good one? Many buyers mistake dealer-issued warranties for manufacturers’ warranties. In some cases, the salesperson may even try to let you think the warranty will cover repairs at any of the dealerships affiliated with that manufacturer (say, any Chrysler or Mitsubishi dealership). Of course, such warranties do exist, but they’re more common for new cars than used cars. In short, if a used car dealer ever tries to sell you an extended auto warranty, make sure to ask flat out: will this warranty cover repairs done anywhere, or just this dealership? Double-check the warranty itself to make sure it has a third-party company’s name on it, not the dealership’s. Better yet, why not just buy the extended warranty directly from the warranty company rather than pay the dealer hundreds of dollars of markup on it? That way, you can also research the warranty thoroughly, without pressure. In fact, you should start investigating extended auto warranties even before you go to the dealership. You’ll certainly like the salesperson’s face when you tell him you know what the original warranty company charges for the warranty they’re trying to sell you. You’ll also know in advance how much total the car purchase really will cost you. Don’t wait. Start looking at extended auto warranties now, before the dealerships’ salespeople ever have a chance to breathe down your neck.<p>Joel Walsh, a freelance automotive writer recommends Auto Service Warranty, Inc. where you can get an <a href="http://www.autoservicewarranty.com/">auto extended warranty</a> quote online in seconds: http://www.AutoServiceWarranty.com/<p>
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Lemon Laws - Documentation Is The Key
There is nothing worse than realizing that the vehicle you purchased is not running the way it should, and in fact this can be downright dangerous. Fortunately, all states have a lemon law which allows consumers to address financial and legal issues that may result if they have bought a defective automobile. A vehicle may be considered a lemon if it continues to have a defect that substantially impairs the vehicle?s use, its value or your safety. Generally, if the car has been repaired 4 or more times for the same defect within the warranty period, and the defect has not been fixed, the car qualifies as a lemon. ?Lemon? is not a term that can be applied simply because you no longer like certain aspects about your car, and it does not refer to all defects the vehicle may have. If the transmission doesn?t work, the car won’t go into reverse, the rear door opens all by itself, the driver’s seat wobbles, or the car can?t reach minimum required highway speed, then you may have a lemon. It is essential however, that the dealer has been given an opportunity to correct the problems before the courts will determine the automobile is a lemon. In most states, ten different defects during the warranty period won?t classify the car as a lemon. In some states, a single defect that might cause serious injury could qualify your car as a lemon; if the manufacturer hasn?t fixed the problem after 1 repair attempt. If you think you may have purchased a lemon car, the key to winning your case is documentation. Keep any receipts and records for the repair of the defects in your vehicle, and any receipts pertaining to the vehicle?s breakdown (such as cab fare). Retain any notes you write to the company, as well as names of employees you have talked to about the problems. Any costs or problems caused by the buyer?s neglect or abuse will be specifically excluded by State Lemon Laws. Purchasing a lemon is an unfortunate but not irreparable circumstance if you follow the correct lemon law procedures. Be diligent with your documentation, even during the frustration. Read your state?s lemon law and follow the documentation requirements to the letter. If you must hire an attorney, this will not only save you tremendous time, but some States provide some portion of attorney?s fee in lemon law resolutions. copyright?2006 conferencewebs.net. Visit for more <a href="http://www.conferencewebs.net/articles">conferencing</a> articles, resources for <a href="http://www.conferencewebs.net">audio conferencing</a> and<a href="http://www.conferencewebs.net">video conferencing</a>.
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