Car Warranty | Carfin | Extended Warranty | Service Plan

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When buying a car, especially a used car, the subject of warranties always comes up. There is a lot of confusion around the subject and a warranty and/or extended warranty almost always gets confused with a service or maintenance plan.

So, what is a warranty? When a car is purchased the manufacturer will supply a warranty that covers defects in some of the major components. This normally only covers you for 3 years or a specific amount of kilometres.

And an extended warranty? This is normally purchased once the original warranty has run out. They typically are for 12 to 24 month periods.

Then what is a service plan? This covers your general services, i.e. oil changes, spark plugs etc.

So what is covered in a warranty? Well this differs from plan to plan. Generally speaking a warranty and/or extended warranty covers major parts that are not associated with wear-and-tear, such as tyres, shocks, CV joints etc.

Well, then, is a warranty and/or extended warranty really necessary? The answer to that question is subjective. The major reason why a warranty and/or extended warranty is needed is to curb on cost, especially when buying a used car where both original warranty as well as maintenance plan has run out. You are purchasing a car that more than likely already has some city miles on it. The chances of major components malfunctioning is a lot greater. And major components cost major bucks!

How many times have you heard horror stories of people buying a pre-owned car, very excited because it’s new for them! Only, when they leave the dealership or a few weeks later, having to fork out thousands of Rands to fix a gearbox, engine or electrical components?

No one knows what the future holds but isn’t it better to have a plan?

Feel free to contact us at Carfin and one of our expert consultants can advize you on a warranty and/or extended warranty plan that best suits your needs and your pocket!

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