If you're about to buy a new car, there's going to be one question that you might need to think about – the extended warranty. The offer for the extended warranty always comes after you've received approval for your loan. If you're not prepared for the question, you probably won't be prepared to give an answer either. An extended warranty provides added coverage for automobile repairs that might be necessary after the initial factory warranty runs out. Before you say no to the extended warranty, here are three reasons why you should say yes.
You Do a Lot of Driving
If you're going to be using your car to get around town, you might not rack up a lot of miles on it. However, if you do a lot of traveling – whether for work or pleasure – you might want to consider having the additional protection on your car. Factory warranties give you either/or protection, meaning that you have protection for either a certain length or time or a certain amount of miles. If you put thousands of miles on your car each month, you might blow through the warranty miles before you've even paid off the loan. An extended warranty will protect you for those extra miles.
You Have a Tight Monthly Budget
If you have enough money for your monthly expenses – but a surprise repair bill would destroy the budget – the extended warranty may give you the peace of mind you need. With an extended warranty, your car is protected even after the factory warranty runs out. That means that you won't have to worry about budget-busting repair bills even after the factory warranty ends. This added protection will ensure that both your car and your budget is protected against unforeseen expenses.
You Plan on Keeping Your Car for Many Years
Some people trade in their cars after just a few years, which means they'll probably trade cars before the real repair work needs to be done. However, if you plan on keeping your car well passed the time that your factory warranty runs out, you should consider adding an extended warranty to your auto loan. The extended warranty will help ensure that you have warranty protection when you start needing it the most.
Now that you're about to buy a new car, you need to think about protecting your investment. If any of the information provided above applies to you, you should say yes to the dealer services extended warranty.