Have you guys ever had any dealings with Carchex extended warranty? Or do you have a third party that you recommend for getting an extended warranty? My warranty is about to run out on my truck and it is a diesel and would like to extend it due to high prices for diesel parts. What are your thoughts. I currentyly have 2006 with 74,000 miles on my truck, and i drive about 23k a year Any thoughts would be appreciated. Thanks
Collection on third party warranties is historically very difficult for you and mechanic.
I would pocket the money for warranty extension and put into your own warranty “fund”
Extended warranties are mostly about profit for the seller, and usually offer slim coverage to the buyers. If you insist on purchasing an extended warranty I suggest you read it VERY CAREFULLY and take particular note of what is excluded from coverage.
I think your best bet is to take the money you would spend on a warranty and put it in the bank, where it will earn a little interest. If you need the money for an expensive repair it will be there. If you don’t need it it will still be there.
If you buy an extended warranty your money goes into the warranty seller’s bank. Where would you rather see your money?
I’d Check Out What Extended Warranty Plans Chevrolet (GM) Has To Offer.
I don’t trust the coverage offered by aftermarket vendors.
CSA
If I had to have an extended warranty (I never have, and am money way ahead, but to each his own) the only type I would consider would be one from the car company. Many horror stories have been told about the problems with 3rd party warranties. I would never get one.
I’d pass on a third party warranty. All extended warranties are designed to do one thing: make money for the seller. At least with a manufacturer’s warranty, they also want you to buy their product next time. They have added incentive to be straight with you.
Also, as the miles pile up, the chance of something failing goes up. If the warranty does not cover wear-and-tear items, then it becomes worthless. If your transmission goes out at 140,000 miles and you have a 150,000 mile warranty, how easy will it be to pass off the failure to regular wear? Very easy, I think.
Or do you have a third party that you recommend for getting an extended warranty?
I’ll NEVER buy an extended warranty. They are a waste of money.
I currently have 2006 with 74,000 miles on my truck, and i drive about 23k a year
You can buy and extended warranty past 100k miles??? I’ve only seen one and it was something like $5,000. If you can’t then you’re only going to pay for one more year of warranty.
I agree with CSA.
If you feel that you will sleep better at night if you have the coverage of an extended warranty, the ONLY one to consider is one from GM. Historically, third-party insurers have a tendency to go out of business and to disappear with your money.
Even if they remain in business, these third-party insurers will either deny every claim or put you and your mechanic through a paper chase of marathon proportions, and then pay such a piddling amount (maybe 10 or 15% of the total) that you will never recoup the cost of the policy.
Take the money you would have spent on the extended warranty, put it in a seperate account and call it “extended warranty account”. Then if something breaks you’ll have the money to fix it and if not you’ll have the money for a nice vacation.
If you send them the money their CEO will use it for a nice vacation…his, not yours.
Thanks for all the Info, it has given me a lot to think about. Carchex has an A rating with the BBB and they do offer a 100,000, 0.00 deductible plan for 1600.00. This is tacked on to the milelage i already have. I am going to check with GM. THat was my next step. Again thanks to everyone on the info.
WOW…That’s very very expensive…$1600 for ONE year warranty.
Realize too that that warranty is likely to be limited in its coverage.
I recommend against it, but if you do decide to seriously consider it be sure you check the fine print. And, if they won’t give you a copy of the warranty unless you sign, the RUN AWAY! FAR AWAY!
Sorry five year 100,000 mile warranty
" … would like to extend it due to high prices for diesel parts."
The insurance companies selling these policies know what it is going to cost. They start there, add 50% for the dealer plus whatever it cost them in paperwork plus profit. Believe me they understand any high prices for diesel parts and factor that in.
If it makes you feel better to have the insurance, go ahead, that good feeling has value. But don’t do it thinking it is a good financial investment.
Carchex is a broker. They connect buyers with extended warranty policies. You need to check the warranty companies, not Carchex. There can’t be complaints against Carchex, since they don’t underwrite anything. This business model might work, but their ads on the home page remind me of the same misdirection used by the quadruple-your-gas-mileage folks. The list of media where the products are featured is impressive, but it usually just means they bought an ad there.
Also, some of these “3rd party warranty” companies aren’t really valid companies at all. There were a few of them in recent months who would:
- set up shop,
- solicit customers for their money,
- then close up shop and run (with the money).
Be careful.
All, thanks for the advice. After some checking i think I am going to go to the dealer first, then if that doesn’t pan out, do like mcparadise suggested, start my own warranty fund. Agains thanks for the good advice.
I suggest you read that warranty very carefully…are you sure it’s not UP TO 100k miles??? I seriously doubt it’s for an additional 100k miles.
Do yourself a favor and google “carchex problems” and I think you will be more than convinced to “run away quickly” from that idea after you see all the problems associated with that company. Even if only a portion of the complaints against carchex are legitimate, that’s too many for me. Oh, that Internet. You gotta love it.