What you should know about warranties.
Strict state used car “lemon laws” may not be enforced. Transferable manufacturer warranties MAY not be transferred as easily. The Big 3 are attempt to eliminate their legacy warranty costs.
What happens to cars sold by dealers who go out of business or who are merged?
Internet access to reliable vehicle data from services like CarFax (the generic name) continue to grow. Consumers should be warned that the original source of this data is the same for any used car data seller. In the opinion of many Google Base and Google VIN data (user generated content) may replace both CarFax and Autotrader as the premier source of used vehicle data
Selectcar.com is an expert in car warranties. We have worked with of nearly every make and model dealers to get factory defects repaired at little or no cost. As you can see from the types of cars SelectCar has sold we understand late model "nearly new" cars from all major Dealers,
import and domestic. We are car warranty experts. We also sell extended car warranties and understand how these contracts are very similar to health care plans.
SelectCar was a high-end independent used car dealership. As a retailer we got factory defects repaired under factory warranty. Before SelectCar put any car on the lot, the car was sent to a franchise Dealer repair facility and got all factory defects fixed.
We had many problems and
our customers had many problems. We expect in the year 2009 all type
of warranty problems will intensify.
Franchise dealers service departments are run as separate profit centers. The franchise dealer sends the warranty bill to the manufacturer. the dealer bills the manufacturer at a reduced wholesale labor rate. SelectCar as a used car dealer provided many dealer service departments with a steady flow of billable jobs. Dealer service department in the past were happy to have SelectCar as a customer.
We think this may change dramatically with auto bailout.
We think the Detroit Big 3 MAY NOT honor used car warranties sold by certain dealers? Although you think your used car is still covered by a Big 3 factory warranty, it may not be. Your local dealer may not provide you the old pre-bailout level of warranty service?
We think situation MAY open the door for some sort of warranty sales from a trusted local mechanic. possibly some sort of a prepaid plan for labor only.
The ability to buy parts as a franchise dealer is hard for many local service facilities.
When you buy a pre-owned vehicle, it’s important the warranty is transferred into your name. Sometimes there is a fee, which must be paid by the customer directly to the manufacturer to transfer the warranty. As a courtesy, the seller of the used car should provide the information to complete the warranty transfer and pay the fee.
Make sure you complete this step and understand what is and what is NOT covered
Many used car buyers do
not completely understand their warranty; especially the differences in basic,
drive train, federal emission and corrosion.
In our new fee system we
are prepared to discuss in detail any potential future repairs and to determine
whether these repairs would be covered by the factory warranty for any specific
used vehicle you are considering.
All cars need periodic
maintenance, and this is not covered by most warranties. However often an
emissions warranty is shorter than a basic factory warranty. Additionally, we know which vehicles
really mean it when they promise “bumper to bumper” coverage.
We can help any used
car customer understand the process specifically how dealers verify warranty
eligibility especially the start and end dates. Whether your warranty is
for 3 years /36,000 miles or 4 years and 50,000 miles it is the event that
happens first, the length of time or the mileage which ends your warranty. When you buy a pre-owned car you usually
are buying the remainder of the factory warranty. This may no no longer be the
case. It’s important that you
know the exact month your 36 or 48 months are up. Dealers determine this
month by running the vehicle’s VIN through their factory communications
computer. Although digit 10 of the
VIN gives the vehicle’s model year (y= 2000, x = 1999) the “in-service” month is
kept in the factory database. This is the month when the warranty clock is
started. manufacturers should
include this on their web sites so consumers know exactly when their warrant is
up and which dealer will honor the manufacturer warranty. We help prospective used car buyer understand any "Special
Factory Policies" with regard to their vehicle. SelectCar is a pre-owned
buying expert. We know how to check the VIN's of all cars to see if any
campaigns are open on any of the vehicles we sell. This is different from a
CarFAX We review all vehicles for
factory campaigns, special policies, or secret warranties. Manufacturers set aside funds for dealer
repairs that are available "no charge for recurrent problems. These are only
available for specific vehicles as Special Factory Policies
" What if you forget or can’t get your car to franchise
dealer for a warranty repair? As a used car buyer you do
NOT want to find out that repair work you paid for at an independent repair
facility would have been covered by your warranty if the repair were performed
at a franchised facility. If this
has ever happened to you you know how you feel. We are experts in being
reimbursed. We know the procedure. We can teach you how to make sure you have
the right receipts and how to present them to the right person at a dealer or at
the factory. In most instances
dealers have the ability to reimburse the customer at factory labor rates.
SelectCar
is also an expert in extended warranties. We sold many brands of
extended warranties. We can explain the exact coverage the dealer is trying to
sell you in an extended warranty. We can help you with an objective “risk-
reward” calculations. Sometimes extended warranties are not worth it, they are a
high margin dealer add on
