Buyer Beware: Common Car Dealership Pitches
Auto dealers will do just almost anything to get you to buy auto warranty coverage plans through them. Buyers should be aware of the common pitches the auto dealers will use so to avoid falling into their marketing traps.
The best place to buy extended warranty is at an auto dealership.
Most of the time, the dealers are not providers of warranty, they are just third parties who either earn commission from provider for each client they bring or add on their fee on top of what the extended warranty actually costs. This makes them an expensive option for you to take.
The best and obviously the cheapest place to get the extended warranty is buying the plan directly from the provider. Take your time to search cost of the plan the dealership is recommending to you online. You will realize that the price quoted online is lower than the one the dealership wanted to sell to you at. What’s more is that you are not even sure the provider is trustworthy and what kind of experience you will go through. The warranty company could at any moment decide to close down or it goes bankrupt rendering your warranty useless. This is just one danger that the dealership will never tell you and the huge risk you will be taking if you decide to buy from them.
Going through all the providers online and choosing the best can be hectic not to mention the many con services operation online. The only way you will get peace of mind from your extended auto warranty is to let professionals in auto warranty coverage plans. We have helped many people before and have a long chain of satisfied clients who have left reviews of the great experience they have had on our website.
This is another lie you usually get from the dealership. The fact is that you can purchase the warranty at any time even after the expiry date of the manufacturer’s warranty. Most of the extended auto warranty plans protect your vehicle up to 100,000 miles. You should, however, note that it will cost you less if you choose to buy extended warranty while your manufacturer’s warranty is still valid.
You have to buy extended warranty to qualify for financing.
What has financing got to do with extended warranty? The only thing that matters to your financial provider is your credit score. If you have high credit score you should qualify for financing any day. You will however need to have insurance for your vehicle to get financing which in all sense is not the extended warranty the dealership is trying to trick you to buy from them.
Any other add-on that the dealership may tell you to buy to increase your chance of being financed is blatant lies. The purchase price of the vehicle and the trade-in or the down-payment you are supposed to make for the vehicle are the other factors that the financier will consider in making decision if you qualify for the financing you are applying for or not.
If you purchase an extended warranty and GAP insurance today I can get you a great deal on the interest rate.
One thing which should always be clear to you is that the extended warranty will have zero effect on the interest rate you will get from the financing institution. It actually doesn’t matter to them whether you have it or not. Yes, the dealership can get you good deal on the interest rates but it will not be because of the extended warranty they are trying to sell to you.
Most dealerships always have financial partners who can finance you at good rate when you buy the vehicle from them. The financial partners don’t require you vehicle to have the warranty but will only require what other financial providers require; good credit score and insurance to give you a good rate. The interest rate can be lower if the dealership gets it for you directly but it has no conditions of buying any warranty plans or any other products from the dealership.
Extended warranty comes with the vehicle you are about to purchase.
Good marketing tactic from the dealership but one that is aimed at making you to purchase the extended warranty plan without even realizing it. You get the idea that they are giving you the extended warranty plan for free. When they say that the warranty comes with the vehicle what they actually mean is that they have added the price of the warranty to that of your vehicle. If the vehicle costs $10,000 and the warranty is $1,000 you will most likely find that the price they have for the vehicle is $10,999 so you have not saved anything on buying the extended warranty.
Look around for the price of the same vehicle from other auto dealerships and the price of the extended warranties they have and you will realize the total cost of purchasing the two products together is almost the same to the price of the vehicle the dealership was making you believe that it was for the vehicle only.
“Purchase Extended Warranty at 50% Off! – Limited Offer.”
Have you ever asked yourself why they are making that “limited offer”? First of all, it is 50% off what? Get the answers to these questions and it is then when you will realize what a sucker you have been taken for. The limited offer is a line to call you to action immediately as you try to be one of the “lucky few” who get it.
For the 50% off you will realize that the price they are saying they are taking 50% off is way too high when you compare it with same plans from other dealerships. In simple terms they have doubled the price then making an offer of 50% off means they are just selling to you at the original price of the plan so you are saving nothing!