IS IT WORTH GETTING EXTENDED WARRANTY ON A USED CAR?

IS IT WORTH GETTING EXTENDED WARRANTY ON A USED CAR?

Yes, it’s worth buying an extended warranty on a used car.

Buying a used car has tons of benefits; they usually have a lower price tag, hold their value for a longer amount of time, and most dealerships (including ours) have a larger variety for you to choose from. Since the frequency and cost of repairs increases as a vehicle ages, buying a used car also means that the vehicle is more likely to need repairs. An extended warranty can reduce the stress and financial worry that’s associated with the repairs a used car may require

Frequency of Repair Graph – shows how the repair costs required to maintain the vehicle increases as the vehicle ages
Extended warranties…

• Protect you against expensive repairs and part replacements
• Ensure that your vehicle is fixed right the first time
• Create peace of mind and reduce financial worry

Usually, a vehicle’s standard manufacturer’s warranty covers most unexpected car repair costs during the first 36 months, or 60,000 KM (whichever comes first). Since most major repairs won’t arise until after the 3-year mark, the manufacturer’s warranty likely won’t provide coverage when you need it the most. This is why it’s recommended to get an extended warranty on your used vehicle.

An extended warranty is repair coverage, which usually includes failure of the car’s parts, but not environmental damage. Extended warranties generally provides similar terms to the manufacturer’s warranty that would come with a new vehicle. If you purchase a new car, extended warranties typically begin after the manufacturer’s warranty ends. With a used car, the extended warranty begins once the customer takes ownership of the car.

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