Used car warranties are a capital way to avoid derision and the inevitable expenses of purchasing a vehicle that doesn’t work properly. But, used car warranties, many times, can be a swindle in and of themselves. Therefore, consumers should be knowledgeable of several warranty terms and specifics before opting to buy.
When purchasing a used automobile from a dealership, the most common warranty type is a 3 month/ 3,000 mile powertrain coverage plan. Used car warranties routinely publish 2 term limits (time and mileage). However, coverage becomes void after one of these limits has been satisfied. So, if a car owner decides upon a 36,000 mile/ 3 year warranty, the warranty expires immediately after either 36,000 miles or 3 years—not both. A powertrain warranty covers the larger (and typically more expensive) components of the vehicle: engine, drivetrain, axles, transmission, and rear end. When dealing with dealerships or used car warranty suppliers, more and less extensive coverage options abound.
Exclusionary warranties provide owners with more comprehensive benefits. Typically, exclusionary used car warranties cover any and all components unless explicitly stated otherwise (brakes are routinely excluded). In regards to warranties, consumers should always get coverage specifics in writing, otherwise, come crunch time, the warranty provider can deftly slip through available loop-holes. You want used car warranties to be as air-tight as the gaskets on your car.
In the way of government protection, state-enforced “As Is” and “Implied Warranty” laws aid owners opting to buy from dealerships. While “As Is” is not technically a warranty, it does grant prospective buyers the right to all germane information concerning a vehicle’s past. In short, by law, dealerships must divulge any persistent problems or possible detractions about a car they intend to sell. ‘Implied Warranty” decrees that consumers are entitled to a reasonable level of expectation that a purchase will work for a reasonable amount of time. For instance: if a dealership attempts to sell a car that currently runs, but is missing, say, gaskets that will prevent it’s operation in the near future, implied warranty regulations give citizens legal recourse. Obviously, this is not a comprehensive warranty plan, but rather limited (but vitally useful) consumer protection.
One of the major variables in determining the extent of warranty coverage needed is the reliability of a given make and model. Some cars are more reliable than others, which precludes the need for an extended warranty. Extended warranties are purchased from dealerships or third parties after legally stipulated or buyer incentive warranties expire (new cars come standard with 36,000 mile/ 3 year exclusionary warranties called factory warranties). Oftentimes, warranties can be transferred with the deed of sale, whether from a dealership or private party—further reducing the need for an extended warranty. But many times, recent used car buyers opt for peace of mind over nominal warranty expenses and purchase some form of extended warranty. Again, the make and model of a given car facilitates or assuages the necessity for additional warranty support. Before deciding, research your car’s specific problems, as well as the general history of the make and model.
Used car warranties can be a tremendous tool is staving off lemons and poor purchases, but they can also be excessive. It behooves potential buyers to know that states enforce certain laws and regulations with regards to automobile purchases to protect consumers from such nasty situations. But, for those in search of additional protection, used car warranties provide plenty of coverage in case of vehicular foibles and troubles, not to mention against the giggles of swindlers.
By Jean-Pierre Lacrampe