Extended Warranty - discussion and questions

[WallySimmonds]

Hey guys,

Have put an order in for a new Golf Highline and I've got the opportunity to extend out the warranty by 2 years to 5 for 15 hundy.

Now, I'm inclined to do it as I think I may end up keeping the car for a while, and will likely make it easier on resale if I decide to keep it for less time.

Anyone done this and reckon its worth it? I had heard some mumblings that the factory warranty had actually been extended on the DSG (my main point of concern) on the MK7's anyway..

[Dutch77]

If it's genuine factory as opposed to an after market insurance warranty AND it is priced reasonably AND you think you will keep the car five years then yes.

If the answer to any of those is no, then I'd save your cash.

[Ralfi]

I'm waiting until the car approaches 3 years, & will weigh up whether the issues I've had to that stage (if any) is worth investing in an extended warranty.

/knocks on wood

[WallySimmonds]

Yeah, the warranty is VW factory, otherwise I wouldn't bother. The trouble is that it can only be picked up prior to delivery...

[Swallowtail]

I'm waiting until the car approaches 3 years, & will weigh up whether the issues I've had to that stage (if any) is worth investing in an extended warranty.

/knocks on wood

Aftermarket extended warranty is a pain in the a$$. Check out the fine print on those before you do them. VW extended warranty purchased BEFORE you drive away is a full extension of the factory warranty, and at 1500 for the 2 years seems like not too bad of a deal... BUT I would suggest WallySimmonds - wait until you are closer to the time, don't put it in the contract just now. Who knows, with the current issues they are having they may end up offering warranty as a discount or inclusion - if it's in your contract already it's too late. You can get this right up to the point of purchase.

[WallySimmonds]

Given the car is due to arrive at the end of the month, and VW have to do something 14 days prior to delivery, they're saying I have a choice till this Friday. I doubt very much it'll get included as part of this deal as I got them down to a very good price (imo) anyway.

[Timbo]

That's their sales tactic; as others have said, there's many reasons to hold back until the point of purchase. You might mention in passing that you're impressed that Renault now offers a 5 year warranty (no, I wouldn't touch one, either....but VW is currently vulnerable in the market)

[Swallowtail]

"Volkswagen’s 2 year unlimited kilometres Extended Warranty is only available for purchase from participating Volkswagen dealers at or before the time of first registration of a new Volkswagen vehicle. It may not be purchased after taking delivery of a vehicle."

Factory extended warranty < Three Year Warranty < Volkswagen Technology & Service | VW Australia

Until the day they register it you can choose.

[harbour2929]

Hey guys,

Have put an order in for a new Golf Highline and I've got the opportunity to extend out the warranty by 2 years to 5 for 15 hundy.

Now, I'm inclined to do it as I think I may end up keeping the car for a while, and will likely make it easier on resale if I decide to keep it for less time.

Anyone done this and reckon its worth it? I had heard some mumblings that the factory warranty had actually been extended on the DSG (my main point of concern) on the MK7's anyway..

G'day WallySimmonds... I have recently (30 September) purchased the extended warranty for my R car. It is a full extension of the factory warranty and as you stated it must be purchased before the car leaves the dealership. The warranty cost me $1499. In my case I firstly confirmed the fact that it is the genuine factory warranty (they put that in writing for me), I also considered the cost acceptable, and I will own the car for more than the total 5 year term of the warranty. The dollars were important but my peace of mind is more important. So, for me, the decision was positive..
My 2 cents worth mate...

R Wagon, White Oryx Pearl.....

[WallySimmonds]

Thanks for the replies guys. I've already paid my deposit/agreed on a price so my negotiating position is not good - as you say Harbour2929 I will most likely keep the car for 3 to 5 years and at the very least the warranty will help with resale (imo). 750 a year for a factory warranty on these things isnt bad. Be nice if it was standard like some of the other big manufacturers, but that's life when you want the fancy cars...

[Ralfi]

Had a feeling the warranty cover scope changed after purchase. Thanks for clarifying. Too late for me then...

Though, how can a factory warranty be off the table for ever & ever, after initial registration? Seems like a tactic to force an extra purchase..

[Dutch77]

Possibly because it's the only time VW know the state of the car - $1,500 is pretty good for a factory extension.

The aftermarket insurance policies (let's not pretend they're anything but) are usually a fair bit dearer but can at least usually be bought at any time.. but good luck getting coverage on them for anything major going wrong. I'd save the coin, self insure and work on the basis of a goodwill gesture if it's a DSG or expensive engine part in that 3-5 year window.

And obviously both are a complete waste if anyone is tuning etc.

[gh172]

"Volkswagen’s 2 year unlimited kilometres Extended Warranty is only available for purchase from participating Volkswagen dealers at or before the time of first registration of a new Volkswagen vehicle. It may not be purchased after taking delivery of a vehicle."

Factory extended warranty < Three Year Warranty < Volkswagen Technology & Service | VW Australia

Until the day they register it you can choose.

I only found out about this just before delivery. I tried to purchase the warranty the day my car was delivered but was unable to do so as the car was already registered. My dealer claimed to have no knowledge of this warranty extension which was why it wasn't mentioned to me when I first signed for the car. I was pretty annoyed!

[NTPete]

I attempted to get this also. I was going to pay cash for my MY16 GTi and the dealer requested that I finance the vehicle for $10k, then told VW wouldn't accept my application but they had arranged "another" warranty and finance and the rate was only 8.3%. I told them to stick it.

[wai]

Look at it this way. VW is NOT going to extend their warranty if they had even the slightest inkling that they would have to pay out on it. What it does do is lock you into having the vehicle serviced at a dealer and use only all genuine parts for another 2 years.

Now you may do just that, but even here, look into the fine print as you will probably find that that there are conditions, and then look at the service costs and you will find that VW (through their dealer) will get even more than you will.

Maybe what you should ask for is a discount if you take up the factory extended warranty, and the dealer is going to get even more business from you.