Buying An Automotive Extended Service Contract

Should You Buy An Automotive Extended Servicecustomers wished that they had purchased, and those
Contract?that did were glad they made such a sound financial
The decision to purchase an extended servicedecision.
contract or mechanical break down policy as they areConsider the following examples of repair cost:
sometimes called is a decision that has many variables.Air Conditioner Repairs can easily cost $1500.00 for
Depending on the age of the vehicle, the usage, howcompressor replacements.
long do you plan on keeping the vehicle for are just aTransmission Overhaul or Replacements--$3000.00
few questions that need to be considered.Water Pump replacements--$600.00
If you look online, some of these so called guru's whoPower Steering Pumps and Steering
write scam pieces will tell you-Don't Buy-it's a scam. IGears--$600-$2000.00
whole heartily disagree with their opinions, I question ifHowever, don't be mislead into believing a mechanical
they have real world knowledge and experience tobreak down policy covers every nut and bolt on the
begin with. If they did, then I firmly believe their opinionvehicle, there are variables and different kinds of
would be other wise.policies as well. Some cover seals and gaskets, wear
The scam comes when you are charged outrageousand tear items, consequential damages etc and others
and inflated prices for an extended service contract,don't. Be aware of what it does and does not cover
they are not cheap to begin with, but those whobefore buying, this will save you a lot of grief in the
exasperate the cost are the ones who are takingevent you have a mechanical failure.
advantage of unsuspecting consumers. Or perhapsIt is a major decision, and one that requires weighing
even requiring you to purchase as a condition ofthe advantages and disadvantages.
buying the vehicle, you should never be forced to buyMy personal and professional opinion is that if you are
under any circumstances.going to use the vehicle on a daily basis, you plan on
With automotive repair labor rates ranging easily up tokeeping for 2 years or more after the original factory
$100.00 per hour or more, it doesn't take a huge repairwarranty has expired, then you should purchase the
to cost you major bucks, and with the electronics andextra protection.
technologies of today's automobiles, parts prices areIt is after all, like an insurance policy, you hope that you
equally as expensive.don't have to use it, but it will give you some peace of
During my 26 years in the automotive service industry,mind in the event that you have to have an expensive
I can recall countless and numerous times whererepair.