Factory extended warranty

I read somewhere that some dealer has great prices for extended warranties. Can anyone help me??

 

Because our economy is in the dumper, one of our 3 Toyota dealerships is throwing in a 7 year/100000 mile warranty, N/C I thought that was pretty cool

 

I have heard about an extended warranty that will refund your money if you don`t use it. I know this sounds strange, but a friend who recently got out of the car sales bus.mentioned something about it. Anyone heard of it?

 

Consumer Reports recently published their annual auto issue. It had an article about extended warranties. My takeaway is that they aren't worth it. The article had stats of the numbers of people who use them and whether they get out of them what they paid and the numbers weren't good. It also went on to say that it's a very unregulated area. It's not really a warranty, but more like insurance. If it helps you sleep at night (or its free) get one. From a financial standpoint though, the odds are against it being worth the price.

 

If you buy a Toyota or a Lexus a warranty can be almost worthless, you may never use it. If you buy a Jeep, don't break 36k without one.

 

Southeast Toyota dealers were offering this when I bought my '08 DC Sport last November. It was $1300 for a 6yr/72K warranty. If I don't use the warranty, I can get a full refund within some window around the expiration date. I don't have access to the paperwork at the moment but I can provide more details later if you want. It had to be purchased when the vehicle was purchased. The ones you can get after the purchase do not offer the full refund, afaik.

The 6yr/72K warranty works for me because I only put about 7K per year on my tacoma. I wanted it for the time, not the mileage.

 

I would agree with this, in general, but quality seems to have slipped recently and I'm not yet convinced that the 2nd gen tacomas will hold up like previous years.

I definitely agree with this. My Heep started blowing chunks right at 36K. The inline 6 was a great motor, with no issues, but everything else started falling apart. This seems to be the norm for most American designed and built autos.

I think it's funny how they tout "#1 in initial quality". Yeah, that may be true but what about when it's a year old? And, a lifetime warranty is no good if you have to spend every weekend at the dealer getting something fixed.

 

So what now they only last 15 years and 200k miles?

 

The other thing I remember from the CR article is that you gotta be careful with the fine print. Some of them have sneaky wording that allows them to weasel out of a lot of your cost. Plus, there were stories about people that had to fight to get things covered.

This is the first I'd heard of any that offer a refund clause. Those sound safest. Still, personally, I'd rather be earning interest on my money.

 

My take on warranties. I bought the 7 year 100K miles when I bought my 04 Tacoma. I paid $1300 for the warranty. They told me I could "return" the warranty for full price anythime before it went into effect. IE before the factory 3-36000 was up. I traded the truck in with 16,000 miles on it for my 07, and was 4 days shy of the the 3-36000 being up. I expected full price back. So I dotted all the i's and crossed all the t's on the refund paperwork, told the dealer I'd come back in to buy the new warranty after I got the re-fund check from Toyota Financial.

So fast forward 3-6 weeks and I get a check from Toyota Financial in the mail. For $672.31. Si I'm pissed and I call up Toyota Financial ready to raise 7 different kinds of hell. So I learn that well I did get a FULL REFUND fron Toyota Financial. Anything above the $672.31 that the stealer can get for a warranty is pure proffit for them.

Now I am sure that there has been some inflation, but if you are going to buy a warranty at this point I would urge you to not dare pay more than $800.00 for a 7 yr 100k platinum warranty.

And since you do have untill the 3 36 is up to do it, don't let them rush you into it, and yes, somewhere on here is a thread for a dealer selling warranties near cost, if you can't find it through the search function I believe it was PB2themax who initially posted it so shoot him a PM for the info.

As for the warranty that you can return if you never make a claim on it, to date the only company I had ever heard of doing that was Harley Davidson. If any of you have more information on where I can sign up for that for my Ttacoma, I'd be very interested in hearing about it before I decide to opt for the Toyota Warranty again, though no rush, I still have 2 years to decide.

Thanks,

 

http://www.toyotanation.com/forum/showthread.php?t=209848

 

Yep. Corporate larceny is the norm. In 21st century America, expect to completely waste your money on at least 80% of all purchases over and above the basic needs.
I try to avoid buying anything anymore from lack of confidence.

Rob

 

When I purchase my '07, I got the factory extended warranty as the time of sale. I ended up paying a bit less than half what he originally quoted me for the coverage. I liked the fact that I can get a refund if I never have to use it.

 

Thanks for the post regarding refundable warranties, especially maveric491`s, man what a rip, that refund you got even puckers me a bit.