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Old 12-12-2004, 02:41 PM   #1
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Just bought a 05 Dodge Ram 2500 diesel 4x4 and the dealer quoted $2,457 for a 100K $100 deductible extended warranty. Went online and find a number of similar products around $1,200. Does anyone have any "good" companies selling these products or any good/bad experiences in buying them directly from the insurer. Thanks.

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Old 12-12-2004, 02:41 PM   #2
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Just bought a 05 Dodge Ram 2500 diesel 4x4 and the dealer quoted $2,457 for a 100K $100 deductible extended warranty. Went online and find a number of similar products around $1,200. Does anyone have any "good" companies selling these products or any good/bad experiences in buying them directly from the insurer. Thanks.

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Old 12-12-2004, 06:00 PM   #3
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I paid $1995 for the Dodge 7 year 100K $100 deductable warranty from the dealer where I bought my truck. I financed it with the truck loan. Shop around, some dealers will discount the warranty, and you can buy it from any dealer you want.
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Old 12-13-2004, 12:50 PM   #4
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Extended warrenties from the dealer are sometimes an out and out scam, and the rest are usually only fair in quality and always way overpriced (often 200% markup). Read the contract carefully, because only what is stated to be covered is actually covered. If the contract is 'not available until you sign up', then avoid that warrenty.

Once you find a warrenty you like, then bargain them down to half the quoted cost or less. Although, if you are financing the whole purchase, it might be worth a bit more than that due to the conveniance of financing it.

The best idea is to at least check out the online warranty companies to see what they offer before you face the dealer's sale experts. A couple of the best are from WarrantyDirect.com and 1SourceAutoWarranty.com Many of the rest are either not reliable, not comprehensive or not a good value.
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Old 12-14-2004, 03:13 AM   #5
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If I recall correctly, isn't the standard warranty 3/36 bumper to bumper, 7/70 powertrain, and 7/100,000 engine?

It seems to me very unlikely that you could blow up more than $2,457 worth of parts between 70k and 100k to come out ahead on that deal... especially with the engine excluded (already covered)...
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Old 12-14-2004, 08:32 AM   #6
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I agree Jeff. However, I have found the same type of coverage from 1SourceAutoWarranty.com for just over a $1,000. With all the electronics on these newer vehicles I guess the question is how much you trust Dodge to build a dependable product.
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Old 12-16-2004, 04:16 PM   #7
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As I recall, (and my recaller doesn't work as well as it used to)! I saved some money by paying my extended $0 deductible, up front. I think I'll go for a Ford warranty next time. They may still be in business 7 years from now????????????????
When I think about my air conditioner, heater, power steering, brake rotors, etc, etc, did you say electronics?? I don't think it would take long to eat up the $2457 between the 3/36, and the 7/100,000. If you get the drift???
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Old 12-17-2004, 04:22 AM   #8
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Have a friend who was in the car finance business at a local dealer. The extended warranty is considered to be an almost pure profit. Most things that break will either do it during the first 36,000 miles if they are defective or after a 100,000 due to age/use. Antoher thing I found out when I had one was it did not cover troubleshooting. Had a relay go out ($10 part). Cost me $400 because of the troubleshooting costs and my $100 deductible. Be sure to read the fine print carefully.
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Old 12-17-2004, 04:41 AM   #9
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Your bet bet is to go with a factory service contract if you can get a reasonable price.

Try Waldorf Dodge in Waldorf,MD at 301-843-2400. Ask for Shane Taylor or current finance manager. They advertise $50 over their cost.

You must mention you saw their ad in CHECKBOOK magazine to get this "deal".

Let us know what you finally decide.
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Old 12-17-2004, 07:10 AM   #10
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Im not knocking those that want the security of the extended warranty, but as a business owner who has a small fleet of trucks, I can tell you that over time, I've saved enough money by not getting the extended warranties to buy another complete truck. The insurance companies/warranty providers obviously charge you more that the average vehicle's repair costs are as they are in the business to make money. The odds are in your favour as long as you can afford to take the risk (by not getting the extended warranty).
The ones that really make me laugh are the computer companies offering you long term warranties on computers and printers. By the time they break, they are so obsolete as to be worthless anyway!

Bigfoot 25C9.5, 2003 Dodge 3500 Cummins, 6 spd., Wells Cargo EW1622 partially camperized.
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Old 12-17-2004, 09:02 PM   #11
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....there is at least 200% markup on extendeds[HVAC BUSINESS] and I love those margins on the HVAC business. 'specially since I'm less than an hour from any of those with extendeds on their HVAC.....it's better than stealing and you don't need a gun or have to run from the police....it's money up front....no bad checks/CC's or any thing else and with enough loopholes to recoop your mechanic's $24.00-[$36.00 cost] an hour salary.....geof
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Old 12-23-2004, 08:51 AM   #12
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A quote from a current "Daimler Chrysler Service Contract Application."....in the "Important Notice to Dealer......" area: "(4) You will provide service to the purchaser in accordance with the provisions of the service contract DaimlerChrysler will issue to the purchaser;".........does this mean any non-selling dealer can refuse to honor or accept the DC ext. service contract?


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Old 12-23-2004, 11:29 AM   #13
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I have bought the extended BUT not till the main has just about ran out.If You smash the truck up in the next 5-7years You lose the $$$ and that makes no sence!Does it? My .02 John
John&Jeannette Just enjoying life, camping, friends, sitting around the fire at night LOL life is good. Bye John the Bushman!! EH
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Old 01-15-2005, 02:27 AM   #14
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Personally if it's not a true DC warrenty then don't do it. Yeah they may be cheaper, however you have to go thru too much crappolly to get warranty work done, that is if they are still in business when you need them.
Now about the extended warranty that the dealler offered seems a little high in price, mine was around $2100 but with the $50 deductable. YOu can purchase the DC warranty online from DC as long as you have less than 12kmiles and less than 1 year old or somthing like that.

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