What is a Car Warranty? A Beginner’s Guide
Actually, today’s cars are more sophisticated and offer advanced features. Thanks to high-end electronic systems and mechanical components, vehicles provide enhanced comfort that wasn’t typical of the early cars. However, vehicles can have problems from time to time. You have to spend a considerable sum of money for repairing your car. Thus, if you have a car warranty, take a breath with ease, as it helps you save your financial means. Are going to purchase a used car or a new one? In fact, in both cases you need a good car warranty, to have a peace of mind. Our guide explains everything that you should know about car warranty.
What is a car warranty?
A car warranty refers to an insurance policy that aims at covering the cost of the vehicle’s mechanical and electrical repairs. This also includes parts and labour. In other words, car warranties can be defined as a manufacturer’s promise to repair or replace defects of your vehicle. With automobile warranties, you gain legal rights to get a refund if it turns out that your car has problems. Most importantly, when you purchase a car, some dealers provide you with the Buyers Guide sticker. What is Buyers Guide sticker? It is the official statement whether you receive a warranty at the time of purchase.
What do you know about car warranty laws?
Regarding federal warranty laws, we would like to mention The Magnuson Moss Warranty Act. In 1975 the Congress passed the Magnuson Moss Warranty Act. This federal law deals with governing warranties on consumer products, including vehicles. According to this Act, manufacturers and sellers have to provide a consumer with full information concerning the warranty coverage. You should keep in mind that the Magnuson Moss Warranty Act covers only written warranties. That is to say, it doesn’t refer to oral warranties. Do you have a defective car that has a written warranty? The wisest decision in this case is contacting a consumer lawyer who will assess your situation.
What car warranty options do you have?
As a matter of fact, you have a few options of car warranty. It depends on the following issues:
- Are you going to purchase a new vehicle?
- Do you want to buy a used car?
- Do you need the warranty for your current car?
You can find below the answers to these questions and a few options of car warranty.
It is true that usually new cars come with a manufacturer’s warranty. Typically, many car manufacturers offer consumers a three-year warranty, sometimes they may also provide up to 5 years’ car warranty. In most cases, it is included in the price of the vehicle. Similarly, you can come across some used cars that have a manufacturer-backed warranty. When the consumer returns the vehicle to the dealer or manufacturer, it experiences a full pre-sale inspection. In case the car has defects, it is repaired to be sold later. Additionally, don’t forget about an essential point. If you want your car warranty to be valid, you have to follow certain terms and conditions. For example, a car owner should service it using an approved garage to preserve the vehicle in a good state.
Used car warranty
You are planning to obtain a used car from an independent dealer, aren’t you? In this case, you should be aware that two variants are possible. A car warranty is available either as a part of the vehicle’s price or for extra money. Essentially, warranties that independent dealers offer mainly have 3 months’ worth of cover. However, in case of a prestigious vehicle, it may last up to twelve months. Certain independent dealers may suggest you extending the term of your car warranty. It is worth pointing out that the cover available can be different from dealer to dealer. So, you should find the option that is the most suitable for you.
Today you also have the option of buying after-market warranties for a vehicle that is over twelve years old. Finding a good after-market warranty means that you will be reimbursed for your car repairs for the specified timeframe. However, compared with manufacturer’s warranty, third party warranty has more exclusions. For instance, some of them are able to cover only repairs concerning the engine and gearbox of the car.
In conclusion, the car warranty has a lot of advantages, including peace of mind, as well as financial assistance. But if you are about to obtain a new vehicle from overseas, you shouldn’t forget that car manufacturers offer different warranties in different countries.