Extended warranty worth buying?

[tuminatr]

For me it is, I did the 8 years 125,000 mile for $1485 through Zeigler. Cheap protection because I plan on keeping the car that long and if I don't it helps with resale because it's transferable

Sponsored

 

[Chuck]

How do you get the replacement keyfob? Do you just say you lost it and drive in with PAAK?

I actually did lose it. But found it later. I went in with a PAAK but didn't leave my phone. I had to give them the door entry code and the password to start the car. I changed it for them so it would be simple.

 

[Happy]

? I am hoping to get my Mach e GT by year end. Can I actually shop around dealers for the lowest price extended warranty?

 

[tuminatr]

? I am hoping to get my Mach e GT by year end. Can I actually shop around dealers for the lowest price extended warranty?

Yes, you can even buy one after you buy the car. Several ford dealers offer significant discounts online and are mentioned in this thread

 

[phidauex]

We just invest the money we would otherwise have paid into any kind of warranty. On all purchases. For vehicles, we've been doing this since the first new vehicle we purchased in 1995. We have never regretted not purchasing an extended warranty.

Exactly, self-insure! This is what companies do all the time - they fund their own internal insurance so they don't have to pay the massive overhead and margins from using a third party insurance. If you took the money you would have spent on all the random warranties for cars, appliances, houses, etc,. and put it in a modest income earning account, and pay for repairs out of that account then over the long term you'll always come out ahead.

They say that in gambling you can never beat the house - the only exception is if you become the house...

 

[tuminatr]

Exactly, self-insure! This is what companies do all the time - they fund their own internal insurance so they don't have to pay the massive overhead and margins from using a third party insurance. If you took the money you would have spent on all the random warranties for cars, appliances, houses, etc,. and put it in a modest income earning account, and pay for repairs out of that account then over the long term you'll always come out ahead.

They say that in gambling you can never beat the house - the only exception is if you become the house...

This is very true if you are capable of paying for repairs then don't buy the ESP. On the other hand, people buy insurance or service plans to budget and have fixed repair costs.

For me the plans on this car are so cheap I bought one and considering my car has already been in for service 3 times I think it will pay for itself.

If I am wrong well its not a large cost

 

[Ponypower50]

Just get it! If something happens you won't be sorry.

 

[jeffdawgfan]

Every consumer advocate out there will tell you....Never, never, never buy an extended warranty on a new car.

 

[alexgorod]

Maybe that $8,000 is paid out in two claims to two people for $4,000 each. Those people who got back $4,000 for putting in $1,000 made a killing. The other eight people put in $1,000 got nothing.

You don't know which group you will end up in at the start, but you do know in the end, on average, buyers will lose money on the policy, even if some people come out ahead.

If I pay a thousand dollars and don't use them - I'll be happy that gods accepted my sacrifice and gave me a good car
If I pay a thousand and get back four - I'll be happy that I was wise enough to purchase this warranty and also saved some money.
If I don't buy it and need to spend for repairs - I'll be mad on myself for being too cheap.

I can self insure myself, it's not so much financial decision but psychological.

 

[cvk71]

It really depends on if you are going to keep the car for a long time or if you drive a lot of miles. I plan on keeping the car for at least 3 years and I drive over 20,000 miles a year so I will burn through the factory warranty in year two. This is too new of a technology from Ford for me to run the risk of a huge payout in year two of ownership. I purchased a GL350 Mercedes for my wife and purchased an extended warranty for $4k. At around 55,000 miles it started to fall apart conveniently just after the factory warranty expired. When I finally sold the car Mercedes had spent almost $8k fixing the POS so it was money well spent. Ever since then if I plan on keeping the car long after the warranty I usually get the extended coverage. Case in point on her 2016 Flex I just made my money back on the extended warranty I bought because of a water pump and hatch motor replacement at 92,000 miles.

 

[810to310]

I used to buy them, for peace of mind, then decided that I can have it (peace of mind) without spending extra money. But with this first-year, new technology vehicle, and after reading this forum for a while, I am not so sure.

I don't even know how much it costs or what and for how long it covers, but now I'm thinking...

I have to much time while waiting for my Mach-E

I always wait till my warranty is almost up and then buy...but I buy directly from Ford in Dearborn, never from a dealership. And on the one vehicle I sold before the extended warranty was up, I got the remaining value of the warranty back from Ford (I had to give them my mileage.) I’ve never thought about comparing prices to different dealerships. I will do that in the future!

 

[Maquis]

Short answer: No.

Long answer: Absolutely not.

Longer answer: There is a reason the margin is YUUUUGE on extended warranties. They are not your friend. Don't do it. Sell the vehicle after 3-4 years if it is that big of a concern.

You and I appear to be in the minority.
The margin is about 87%…in common terms, it’s a suckers bet.

 

[Motomax]

I always tell people never buy the warranty but I’m actually considering it for this one. It’ll be my commuter and the warranty will be up within a year and half mileage wise so that doesn’t leave me much room. Also, I have yet to drive a ford vehicle that didn’t have something broken so my confidence level isn’t that great to begin with lol.

 

[generaltso]

I actually did lose it. But found it later.

Where was it?

 

[macchiaz-o]

Where was it?

Right where he left it. Key fobs don't move by themselves, duh!! ?

Sponsored