Like most consumer advocates, Robert Krughoff, president of checkbook.org, advises car owners to skip extended warranties because they are rarely worth the money. He is appalled at the idea of buying one this way.
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“You would never want to buy an extended service contract without seeing in writing exactly what’s covered and what you have to do to make a claim,” Krughoff says.
What about the great price Vehicle Services offered me? Krughoff calls it “outrageous.” By comparison, my car dealer would sell me a three-year/36,000 mile extended warranty for $1,795 or $598 a year. As Krughoff pointed out, as with everything at a car dealer, that price was negotiable.