Get the Lowest Price Auto Extended Warranty

After hours of sitting at a car dealership, when you’re feeling numb from long negotiations over the final price of your new automobile when all you really want to do is slide behind the seat of your new car and drive away, the real hard sell begins.

The financing manager will present his sales pitch, asking you to buy a vehicle extended warranty.  Automobile extended warranties are a guarantee that repairs on mechanical and electrical components for your vehicle will be paid for by the warranty company. This is protection coverage that begins after your vehicle’s full factory warranty expires.

Let’s say you plan to keep your car after its original factory warranty expires. Should you purchase an automobile extended warranty? Ask yourself these questions, they might help you decide;

1. Do unexpected auto expenses cause me great anxiety?
2. Could the cost of replacing an air conditioner or transmission strain my monthly budget?
3. Would I sleep better at night knowing major vehicle repairs are covered under warranty?
4. Can I afford the increase in my monthly payment?

If you answered yes to some of these questions, you could be a good candidate for an auto extended warranty plan. But make a wrong move here and it could cost you hundreds of dollars.

Extended Vehicle Warranties Sales are an Important Income Stream for Your Dealer.

Chances are your auto dealer is going to do everything he can to convince you to purchase an extended warranty contract. The dealer markup amount varies across the nation, but aggressive dealers on each coast are known to make as much as $1,000 just from the sale of one vehicle extended warranty.

Don’t be Pushed Into Buying at Their Retail Asking Price.

Driving worry-free from repairs is a nice idea, but paying too much for the privilege isn’t smart. You can and should negotiate a better price. Start by asking the salesperson for a $500 discount.  Tell them you’re aware of all the online deals available. You may not get the full discount, but you’ll be setting the stage for a discount at some figure. In my experience, most dealers will sell their service plans for as little as 2-3 hundred dollars profit. That’s the deal you want!

Your Dealer is Not the Only Provider of Good Auto Extended Warranty Plans.

If your dealer won’t budge on the profit margin, decline their offer. In most cases, the same factory auto warranties and excellent aftermarket extended car warranties can be found online, many at deeper discounts. With a little research effort, you will find an auto extended warranty that’s right for you at a price that won’t break your budget.

You know you’ll get the hard close from your dealership on the extended warranty, but how should you respond to their “take-no for an answer” attitude?

Consumer Reports rarely forgets to comment about auto extended warranties. But are they right this time?

About the authors: As an 11 billion dollar U.S. business per year, the auto extended warranty is an integral part of the vehicle ownership experience for millions of Americans.

Written by a group of industry professionals with a combined 30 years experience, WarrantyWatchman.com is a consumer protection site and premier source for information regarding auto-extended-warranties.