Last week, Pat Goss shared his first seven tips to help you pick the right extended vehicle warranty. This week Pat is back with 8 more tips to make sure you don’t get scammed when you purchase an auto warranty.
Tip # 8 – Check the Seller’s Credit Rating.
You should be wary of extended vehicle warranty companies that are not accredited or carry a negative rating from the Better Business Bureau.
Tip # 9 – Beware of the Name Change.
Check to see if the extended vehicle warranty company has changed names over time. This could be a sign that the company is trying to hide something from its past. Also, be cautious when dealing with companies who have been in business for 5 years or less.
Tip # 10 – Check the Details.
If the policy is inclusionary (lists what is covered), ask to see a list of every item covered within each system and not just the system itself.
Tip # 11 – Choices, Choices.
Favor a policy that is exclusionary (lists what’s not covered) rather than inclusionary (lists what is covered). Exclusionary coverage is what you had with your manufacturer’s warranty.
Tip # 12 – It Costs What ?!?!
Ask about the labor rate of your policy. For example, if the allowable labor rate is $65/hour and your mechanic charges $85/hour, you will need to pay the difference for every repair.
Tip # 13 – Know the Cancellation and Refund Policy.
Make sure you fully understand the company’s cancellation and refund policy. Some companies will charge you stiff penalties for canceling a policy.
Tip # 14 – Specialized Systems.
If you vehicle has specialized systems, such as, navigation systems, ask about high tech electronics coverage included in your extended vehicle warranty.
Tip # 15 – Credibility is Everything when Buying an Extended Vehicle Warranty
If you have never heard of the company you are buying from or if they are not affiliated with any companies you know well, do not purchase an extended vehicle warranty from that company. You need your extended vehicle warranty company to be around to pay claims when you need them. CARCHEX is partnered with more Fortune 500 and well known companies than any other car warranty company. These include CARFAX, Capital One, Cars.com, DMV.org and Lending Tree.
Need more proof CARCHEX is the right choice? CARCHEX is endorsed by the nations most trusted mechanic, Pat Goss from the PBS automotive series MotorWeek and Goss’ Garage and NASCARS favorite driver, Dale Earnhardt, Jr. We also have an A+ rating with the Better Business Bureau.
An extended vehicle warranty can help you cut down on repair costs, but only if you do it right. Research and compare auto warranty companies so you don’t get fooled! Get a quote today on an extended vehicle warranty from CARCHEX.