RE: 2004 Squeaky brakes
Login  | |
|
RE: 2004 Squeaky brakes - 3/10/2007 12:23:09 AM
|
|
|
Katzmans Caddy
Posts: 1268
Joined: 12/3/2006
Status: offline
|
Here in Canada a 3 year old Cadillac would qualify for a GM warranty when sold by a GM dealer, it's called the Optimum Plan. I think however that GM Canada exercises a good deal more control over it's dealer network than what GM does in the US. In real life I am the VP Finance for my organization and generally I can tell you that extended warranties on any product are pure money makers for the companies that offer them. They are structured that way. Having said that you have purchased just an absolutely beautiful car and in this case I think you would be well advised to see about getting the extended warranty.
Just some tips. I can't possibly give you all the what if's but here are some ideas. Look into the deductible per repair, often $100, sometimes $500. Look into the lifetime limit on repairs, some times capped at $1,500, sometimes at $5,000. Look into what aspects of the car are covered. Sometimes it's just power train, sometimes bumper to bumper. Look at the length of time the warranty runs, you will have to decided whether you think the car will need repairs during this period. These things all affect the purchase price of the warranty. Lets say they quote you $4,500 for a 3 year bumper to bumper warranty with a $100 deductible per repair. On a straight line basis that's $1,500 of repairs each year. You are betting that you will have at least this value of repairs over each of the next 3 years. If you think that is 2 repairs per year then add $600 to your cost for the dedcutible, so now it cost you $5,100. Look into your obligations, things like mandatory yearly inspections, if not done will void the warranty. I worked in a Law firm with 500 staff for 10 years so I am saying to you, do some math, read the fine print and get clarificatiion on anything you don't understand. Get it in writting to be sure.
|
|
|
|
|
|
|
RE: 2004 Squeaky brakes - 3/10/2007 9:36:04 AM
|
|
|
G.A.R.Y.
Posts: 1639
Joined: 2/18/2007
Status: offline
|
What great advice on ext warranty, I've always been leary of them.. I called one company regarding my daughter's (aka Sam 20 something) passat. I felt like I was talking to a vacum or used car saleman.
Bottom line, she bought a Honda.
I don't know if any laywer would let one of his clients buy in to one of these.
_____________________________
occ
z06
93 allantesold
sts maybe in December
|
|
|
|
|
RE: 2004 Squeaky brakes - 3/10/2007 11:43:33 AM
|
|
|
Katzmans Caddy
Posts: 1268
Joined: 12/3/2006
Status: offline
|
For a car an extended warranty is peace of mind and it's often difficult to reach a totally objective decision, because as we know people LOVE their car and once emotions enter any decison well, we know what happens.
On other products like a dishwasher or computer or whatever it is they try an sell these days, a kid tried to sell me one on a $10 battery for Pete's sake the other day!, the strict rule of thumb should be, if it is going to cost less than 20% of the purchase price of the product then it is worth considering. Refrigerators, diswashers, ranges, how often do they ever break, most of us use then for 15 to 20 years until they need service.
I bought a Toshiba travel lap top two weeks ago, real sweet, 12" screen 3 lbs, for $1499. They quoted $452 for the 3 year replacement warranty with international coverage. My 20% rule would have been $300. I thought to myself that this little computer would be packed in luggage and carted all over the world, it's in the Philipines as we speak so I wanted the warranty. Anyway I haggled with the sales rep and he gave it to me for $300. Normally however I stay away from them. If I was going to be the only user of that computer I probably would have passed too but it's for company use and deployed as needed.
< Message edited by Katzmans Caddy -- 3/10/2007 11:45:16 AM >
|
|
|
|
|
RE: 2004 Squeaky brakes - 3/10/2007 11:56:23 AM
|
|
|
Stealth
Posts: 2999
Joined: 2/18/2007
Status: offline
|
i do use the 20% rule you mentioned but i adjust it
to the expected MKT VALUE of the item in two or three years.
even a $1,000 fridge is only worth $200 or so in a couple of years.
laptop or any electronics? having been in the computer industry, i use a
50% decrease in value every six months.
$2,000 ==> $1,000 ==> $500 in about 18 months
it may be off at times, depending on the model, but, is not way
off in the majority of cases.
bottom line, i have yet to buy an extended warranty in the past
decade. i think of myself as SELF-INSURED.
on a car (including XLR), i would lean on the product warranty and
the dealer's responsibility .. but then again, i can be a pitbull when it
comes to fighting for getting service. not every is or wants to be.
.
|
|
|
|
|
RE: 2004 Squeaky brakes - 3/10/2007 1:12:13 PM
|
|
|
Katzmans Caddy
Posts: 1268
Joined: 12/3/2006
Status: offline
|
Kind of sad in a way, we have turned into a throw it away society, especially with electronics and computers. My wife and I have been married 25 years and last Christmas we bought our second refrigerator and diswasher, still on the first range! The old ones were Kemnore btw. Bought a Kenmore Fridge and a Kitchen Aid DW.
|
|
|
|
|
RE: 2004 Squeaky brakes - 3/10/2007 2:25:03 PM
|
|
|
G.A.R.Y.
Posts: 1639
Joined: 2/18/2007
Status: offline
|
I agree, except part of th e reason has to be technology. What I mean is that when an appliance breaks that's more than6 or 7 years old. sometimes people figure instead of fixing this old model which btw has served me well, we can get that new fangled fridge that has a tv and phone in it and will tell you when you need to go to the store. Or a new flat range that will tell you when it's okay to clean the cook top. I will say for myself if it's over ten years old I will buy new rather then spend a few hundred to keep the old, example 13 years old 50" mitsubishi went on the blink, guess what, over 10 years old got a 62" hd diamondbright mitsubishi. So that was definately a tech move. Things seem to be obsolete faster now ,especially computors, new stuff every 6 months. Okay end of rant.
|
|
|
|
|
Printable Version
