Sometimes called an "extended warranty", a service contract is a promise to perform (or pay for) certain repairs or services. Although technically not a "warranty" as defined by federal law, service contracts may be arranged at any time and always costs extra. Warranties, on the other hand, ONLY come with a new car and are included in the original price. Vehicle service contracts are popularly referred to as "extended auto warranties" or "extended warranties". Use of the term "extended warranty" or "warranty" on this site is intended to refer to vehicle service contracts and not manufacturer's warranties.
3/11/2011 3:22:58 PM
Awaiting 2 votes
Conrad Messner of Atlanta, Georgia, was so happy to finally get his used GMC Yukon, with only 38,500 miles. For peace of mind, he obtained an extended car warranty from his dealer. But less than 6 months later, his windshield washer was getting stuck. But Conrad did not worry, though, because his car warranty listed windshield wiper motors as a covered part.
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7/11/2010 9:10:40 PM
Rated 5.0. Votes: 2
Christine Royer always managed her own money. She works at a good company and earns a comfortable living. She never trusted financial analysts, who profit from telling other people what to buy. In considering how to protect one of her largest investments, her car, with an extended car warranty, she declined. She decided to “self-insure.” She concluded that she would just keep a bank account dedicated to paying for car repairs if they became necessary. Self-insuring may work for some, but it did not work for Christine.
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7/11/2010 12:21:13 PM
Rated 4.3. Votes: 3
Within the last 40 years, vehicles have been transformed from machines that the “backyard mechanic” could repair, to requiring the skills of a master technician even to diagnose. Technology has made the “horseless carriage” nearly a computer on four wheels. The sophistication of the electronics of newer cars is only equaled by their expense in having them repaired. Savvy consumers are turning to extended warranties for automobiles as a way of avoiding costly repair bills for parts too exotic to even name.
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7/11/2010 12:05:14 PM
Awaiting 2 votes
Anthony Silvio of Denver, Colorado, was thrilled to drive away in his gently-used 2005 Jeep Grand Cherokee, with only 48,000 miles. For peace of mind, he purchased the extended car warranty from his dealer. But only 5 months later, his power window was getting stuck going up and down. Anthony did not worry, though, because his car warranty listed power windows as a covered part.
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4/28/2010 2:00:14 PM
Rated 4.0. Votes: 2
There's nothing like chilling at a ballpark, munching nachos or hotdogs while watching nine innings. So for those who don't have plans yet this summer, a baseball roadtrip to all 30 major league ballparks -- or a few favorites along the route -- would be something to consider. But before baseball fans hit the road, they better get an extended auto warranty to make sure that their trip would be as fun as catching fly balls.
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4/22/2010 2:36:46 PM
Rated 3.3. Votes: 3
Many American students drive cars to school. It's not just a convenient way to catch classes in separate buildings that are miles apart, but may also be a cheaper alternative for students who don't live in university dormitories. After all, even though living with mom and dad means driving more than an hour a day, this arrangement can surely help defray the costs of college education.
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4/14/2010 2:22:27 PM
Awaiting 2 votes
About 8 million Americans spend an hour driving to work each day. These motorists feel not only every swing in gas prices but the fact that every mile they drive brings them closer to the usual 36,000-mile warranty limit. Motorists are better off buying an extended car warranty, which could continue the coverage on car parts after manufacturers relinquish their responsibility.
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4/12/2010 8:23:54 PM
Rated 4.0. Votes: 2
Year after year, the average cost of driving a car keeps on rising. In 2010, driving 15,000 miles per years means spending at least $400 more than last year due to the increasing costs of fuel, insurance and tires. As the cost of paying for wear and tear in a vehicle rises, it might be a wise choice for car owners to buy an extended auto warranty to stay within their budget.
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