Advice From A Usually Inept Consumer

Although I ordinarily wouldn't shill for a product of any kind (unless, of course, I was paid huge sums of money), I must share this with the average guy and gal who doesn't have a lot of discretionary income. An extended warranty on an automobile is a great idea!

Many products offer extended warranties, but most of them are simply cash cows for the seller. The products on which they're offered simply last, obviating the need for extended coverage. Take my vacuum cleaner as an example. We've been using it for years and years without problems, yet I was "talked into" an extended warranty by the salesman. It was money wasted, and most products fall into this category.

An automobile, however, is a different animal altogether. Years ago, in 1991, I bought a 1990 Toyota with about 16,000 miles on it. I also purchased an extended warranty. I drove that car over 120,000 miles, and my extended warranty saved me over $1000.00 when the entire radiator system had to be replaced. I know the warranty didn't cost that much.

And today I drove home from a Chrysler dealer's service department in my 2003 Chrysler PT Cruise Turbo, bought new in October 2003 and covered by an extended warranty. The repairs to the rack and pinion steering would've cost me over $900.00, but my warranty reduced that to a $50.00 deductible. Opting for extended auto warranties is one of the few consumer options in my life for which I made the right decision.

I hope this small piece of wisdom will help one of you out there as you try to navigate our sometimes overwhelming consumer culture.