| Thinking about a used car extended warranty? | | | | undetectable. When--not if--something gives |
| Nervous about what's under the hood? Used car | | | | out, you'd better have a used car extended |
| dealers are feeling your pain all the way to | | | | warranty. |
| the bank. In an ironic twist, "pre-owned | | | | |
| vehicle" dealers have found a way to profit | | | | "Certified" Used Car Warranty Coverage under |
| from their bad reputation. | | | | the Hood |
| | | | |
| No, they're not just selling overpriced used | | | | The implied selling point of "certified" used |
| car extended warranties anymore. They're | | | | cars is they won't break. That kind of makes |
| charging a 10%-25% markup on used cars | | | | used car extended warranties seem |
| "certified" (by them) not to be pieces of | | | | unnecessary. Naturally, some buyers may |
| junk. The accompanying "certified" used car | | | | wonder what will be happen if something does |
| warranties in fact usually carry much less | | | | break anyway. In order to ease those |
| protection than the best used car warranties, | | | | inquiring minds, "certified" used car |
| which you can buy yourself online. Who needs | | | | warranties often come included, or are at |
| a used car warranty if your jalopy is a | | | | least implied. Sadly, too few people will |
| "certified" machine? | | | | inquire further about what the "certified" |
| | | | used car warranty covers. |
| But even paying 10%-25% more won't eliminate | | | | |
| risk. Thorough extended warranties for used | | | | *Does certified mean "under warranty"? Not |
| cars are necessary, "certified" or not. In | | | | necessarily. The major manufacturers' |
| some cases, a half-hearted inspection means | | | | "certified" programs usually include some |
| the certification may not be worth the paper | | | | extended warranty protection. But oftentimes, |
| it's written on. Used car problems often only | | | | "certified" cars sold outside of |
| appear months or years after purchase. That's | | | | manufacturers' programs do not come with any |
| why even for mint used cars, used car | | | | extended warranty coverage. If it does break, |
| extended warranties are essential. | | | | tough luck. |
| | | | |
| Worse, "certified" used cars don't always | | | | *How good's the warranty? The GM Certified |
| come with any extended used car warranty | | | | Used Vehicle Warranty is only for 3 months or |
| coverage. When a "certified" used car | | | | 3,000 miles! Ford offers longer "certified" |
| warranty is included, it usually has much | | | | warranties. But they generally aren't |
| less coverage than a new car warranty. Even | | | | bumper-to-bumper, covering only the "power |
| most standard pre-owned vehicle extended | | | | train." Forget about the little extras like |
| warranties offer much more protection than | | | | the roof or the doors. Right off the |
| most "certified" used car warranties. | | | | internet, you can buy extended warranty used |
| | | | car coverage that is generally |
| You can almost always do better on your own. | | | | bumper-to-bumper and lasts several years. |
| An independent inspection and a used car | | | | |
| extended warranty provide better peace of | | | | "Certified" Used Cars: Extended Warranties |
| mind, often at a lower price. | | | | Still Needed |
| | | | |
| Certified Used Car Inspection: Used Car | | | | "Certified" used cars offer two things: an |
| Extended Warranties Still Needed | | | | inspection and a used car extended warranty. |
| | | | Arguably, neither is worth the price. |
| The cornerstone of a "certified" used car | | | | |
| program is the supposedly super-thorough | | | | *Inspection. Let's face reality. The junky |
| inspection. There are good reasons to think | | | | used car problem doesn't exist for want of |
| that the inspection does not replace an | | | | dealer inspections. Lemons get sold for one |
| independent inspection or used car extended | | | | of three reasons. a) The defect did not show |
| warranty coverage. | | | | up in the dealer's own inspection. b) The |
| | | | dealer is trying to sell a car whose defects |
| *Are inspections really added value? Don't | | | | were already known. Or sometimes c) the buyer |
| you wonder why dealers aren't inspecting all | | | | knows about the defects but is guilty of |
| their cars before taking delivery themselves? | | | | wishful thinking. In none of these cases will |
| Car dealers aren't idiots, at least not with | | | | a "certified" inspection provide the |
| cars. Anyone who's had to haggle over a | | | | protection of an independent inspection and |
| trade-in knows that. The big question is | | | | extended used car warranty. |
| whether the dealership will disclose | | | | |
| everything it knows. Trust is still an issue | | | | *Warranty. A "certified" used car will often |
| with "certified" cars. | | | | cost 10%-25% more. For a $10,000 used car, |
| | | | that's $1,000-$2,500. An extended used car |
| *Certified by whom? Think about it: the same | | | | warranty from an independent auto warranty |
| people who are trying to sell you the car are | | | | company will often cost about the same. But |
| also "certifying" it. Yes, you read right: | | | | the best used car warranties will provide a |
| the "certification" is usually done by the | | | | lot more protection than "certified" used car |
| dealership selling the car. If there's any | | | | warranties. Given that fact, you may end up |
| manufacturer oversight, it's often just an | | | | getting an independent extended car warranty |
| occasional inspection of the dealer's | | | | anyway. |
| inspection. | | | | |
| | | | Worst of all, certified used cars come with |
| *Duplicate inspection. You should have any | | | | an expensive risk. They tempt you to let your |
| used car, "certified" or not, thoroughly | | | | guard down. Ford even issued a press release |
| inspected by an independent mechanic. You're | | | | headlined "Pre-Owned Vehicle Program Reduces |
| up against an industry that demonstrates | | | | Customer Buyer Beware." As if that were a |
| about as much trustworthiness as, well, used | | | | good thing. |
| car dealers. Do not give up your first line | | | | |
| of defense. | | | | Of course, in the end, you may buy a |
| | | | "certified" used car anyway. These days it |
| *Limits of inspections. No inspection in the | | | | seems there are fewer and fewer used cars |
| world can foresee every possible problem. | | | | that aren't "certified." Just make sure to |
| Oftentimes, something that breaks a few | | | | get an independent inspection and an |
| months after purchase really was fine when | | | | independent used car extended warranty. |
| the car was sold--or was virtually | | | | "Certified" or not, it's still a used car. |