Use Age Warranty For Free

If your used car is covered under warranty and breaks down, you'll want to take it to a repair shop for diagnosis. In most cases, your plan or contract administrator will pay the repair shop directly minus your deductible. However, only the components and parts that are covered under warranty will be paid for.

Usually, an extended warranty is most worthwhile if it starts when the manufacturer's original warranty expires, whether you're driving a new or used car. As with any warranty, the key is to read the fine print of an extended warranty and ask any and all questions before you sign.

If things don't work as expected, a warranty may allow the purchase to be returned, replaced, or repaired. A product's warranty acts as a guarantee that it will perform. However, not all warranties are equal. A warranty might cover a product for a lifetime or a matter of days.

A guarantee is a written statement provided free of charge by the manufacturer. It usually includes assurances about the quality of the item, or service, as well as a promise to provide repair or replacement if something goes wrong within a set amount of time (for example, within 12 months after purchase).

If you discover that something you bought is defective, contact the retailer and manufacturer to ask for a repair, replacement, or refund. Along with companies' express warranties, you also have "implied warranties" under state law.

How to get your money back. You can cancel an extended warranty at any time and you'll get a prorated refund for the unused portion of your policy. If the warranty was included in your loan, your car payment won't drop, but you may pay off the car sooner after the refund is deducted from your balance.

Ensure you read the warranty and instructions. If you've damaged an item using it for something it wasn't designed for, most warranties won't cover the damages or issues. Additionally, some warranties may not cover certain issues. Contact the seller, then the manufacturer.

Can You Cancel an Extended Warranty? Every warranty company is different, but in general, most offer the ability to cancel, either for a refund or a prorated refund. That's the good news. The bad news is that you're likely to face a tough time getting through the cancellation process.