When you are buying a car, whether it is used or brand new, you should make sure you are familiar with both standard and optional car warranties. A car warranty works in almost the same way as car insurance would. Your car’s warranty will cover specific parts for a certain period of time or number of miles. The three basic car warranty options are manufacturer’s warranty, dealership warranty, and extended warranty. Learn the differences among these below:
When you purchase a new car, it will be covered by the manufacturer’s warranty at no additional cost to you. This warranty will cover damage to or issues with certain parts of the car for a number or years or miles. It will also cover any defective or improperly installed parts. Your car’s warranty may include bumper-to-bumper and powertrain coverage. These options will cover wear-and-tear items such as brake pads, belts, and windshield wipers. Most manufacturer’s warranties cover your car for 3 years or 36,000 miles (whichever comes first).
A dealership warranty is an optional warranty that may or may not be backed by the manufacturer. This type of warranty will usually require you to have your car serviced specifically by that dealer, whether for routine services or repairs.
An extended warranty can be purchased on a new or a used car. It will provide you with security and protection once the manufacturer’s warranty is no longer valid. Most plans will offer 3-5 years of protection beyond the manufacturer’s warranty. You can customize a plan to cover as much or as little as you would like.
We’ll go over specific warranty details, the condition of the car you are buying, and your personal driving habits. This will help us determine whether an optional warranty is worth your consideration.
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