Should You Buy An Extended Warranty?

Capt'n Midnight

Found this on a web site - see what you think - I'm thinking especially of UK electronics chain stores...

http://www.coiningmoney.com/library/spender/nd022697.html

... DO YOU REALLY NEED ONE?
In many ways, an extended warranty is an oxymoron -- after all, how good can a product be if it needs to come with an extended guarantee? Buying a contract is betting that the product will break down.
Manufacturers promote these safety nets for one reason only -- they're profitable. Otherwise, believe me, they wouldn't be selling them.

In fact, somewhere between 68% and 80% of all extended warranties are never even used. That means, a lot of extra cash for the seller, not you.

Experts note that more often than not, defects surface during the early life of an appliance or electronic equipment ... not four to six years later. And yet, during that first year, the product is still under its original warranty.

However, there are three instances in which a warranty is probably warranted:

1) For really expensive items that also have outrageously high repair costs
2) If it brings you peace of mind which you personally require
3) If it covers routine maintenance on equipment that is known to need it.

....a great many extended warranties are not backed by biggies. They come from smaller, independent companies and NOT, repeat, NOT from the original manufacturer. ..


..
10) What if I lose my warranty contract? Will you honor it?
11) What is the most likely reason I would need this coverage?
15) Can I return the item if I don't like it? If I do, will I get a refund on the warranty?

Paddy20

Re: Should You Buy An Extended Warranty?..

Sure, Of course!. That is if YOU are a rich idiot. Or just another gullible member of the public. Who enjoys being Ripped-Off!.

P.;)

oneweb

I used to have to reach a target for extra warranties per day. Best seller of the week got a half day. Which was sweet, never happened me tho 'cos I used discretion and woulda felt like a twat askin the oul' wans if they wanted a €5 insurance on something that only cost €20.

However, I did end up getting the replacement cover on an organiser a few years ago (thought it was a flip-cover when I was asked if I wanted it :rolleyes:). 2 and 1/2 years later I'm running down the quays and smack into a delivery man coming from the back of his van. Later open my organiser to be greeted with a nasty smashed screen with black streaks

Check out the policy and it covered me for accidental damage. Walked into the store, told 'em what happened, they took it in and after a while I was sent out vouchers for the replacement cost of the organiser. Was well pleased

So, if you reckon yer gonna break something, go for the extended warranty, provided the cost of it isn't too much. Or, near the end of the extended warranty, lump the product against a wall, bring it back and you can get the latest model, or at least something to the value of the old one! (We were even told to tell customers of that advantage, believe it or not!)

Regardless whether you take out the extra insurance or not, the product should be brought back if it fails within a year.

unkel

Every time I buy anything substantial enough, typically from one of the UK chainstores, I run into the following scenario, this example when buying my TV. Me in store pointing my intended purchase to Salesperson

Me: "I'd like to purchase that TV"
Salesperson: "ok great I'll get one for you from the stores"

Gets one from the stores - me approaching checkout with purchase - Salesperson tries to re-direct me to semi-private area with desks and chairs

Salesperson: "We do offer .."
Me: "No thanks"

Salesperson: "You might be interested in .."
Me: "No thanks"

Salesperson: "Are you sure you .."
Me: "Yes I am - can I proceed to the checkout please now - thank you"

Salesperson now retreating showing signs of unbelief and total exasperation

Typedef

Yeah I believe that's called the hard sell.

Typically the sales drone in question will attempt to lure you into spending (yet more money) with discounts or freebies (obtained when spending yet more cash).

It's a beautiful system really.

p

It is useful in certain circumstances, but liek all insurance you have to weigh up the pros and cons.

One tip though, if you're getting the extra insurance (cause that's what it is really) make sure to get a deal on it. You'll always get stuff thrown in.

Though, in my opinion, and I used to sell it, often having a decent house insurance plan might be more benificial & cheaper.

- Kevin