Is An Extended Appliance Warranty Worth The Money? 3 Things To Consider

When you buy a large or small appliance, it’s almost a certainty that you’re going to be offered the option of purchasing an extended warranty to go with it. Opinions vary wildly on the benefit of extended warranties. Some believe that they’re simply a way to get extra money out of consumers, others wouldn’t purchase an appliance without one. To decide whether or not an extended warranty is worthwhile the next time that you purchase an appliance, here are some things to consider.

Overlap With The Manufacturer’s Warranty

You’re sure to have some type of warranty from the manufacturer of the product, and that may be enough, depending on what the appliance is and how you plan to use it. Imagine that you’re buying a refrigerator with a five-year manufacturer’s warranty. If you know that within that five years, you’ll must likely upgrade your kitchen and replace the refrigerator, then buying a ten-year extended warranty doesn’t make sense.

Before you agree to an extended warranty, find out what’s in the manufacturer’s warranty, including how long it lasts for and what kind of damage is covered. In order to be worth the extra money, an extended warranty should either significantly outlast the manufacturer’s warranty, provide coverage for things that aren’t covered in the manufacturer’s warranty (like breakage caused while moving the appliance, for example) or preferably both.

Reliability of the Company

An extended warranty may be offered to you by the manufacturer or the retailer, but in many case, it’s a third party company that is actually providing the warranty coverage. You wouldn’t buy an expensive large appliance from a manufacturer that you didn’t trust, or from a retailer that had failed to provide good service and quality products in the past. You should put the same amount of knowledge and consideration of past experience into buying an extended warranty for that appliance.

Research the company that is guaranteeing the appliance. What are other customers saying about their experiences? Check your own warranty history. Have you used them before? If so, how did that work out? Doing your due diligence can save you from ending up with a worthless warranty.

Other Options

When it comes to warranties offered at the point of purchase, the question is whether or not this is really the best deal. Even if you’re sure you want an extended warranty, you may not be sure that you want this one. Luckily, you aren’t limited to the warranty offered at the time of the sale.

If you purchase your item with a credit card, you may have warranty protection from the credit card company. If you want to use this, be sure to clarify the terms and conditions with your credit card company before making the purchase. Another option is to seek out a company that sells warranties or appliance insurance policies on your own.

Don’t feel pressured to make the decision in an instant when you’re standing at the register. Many retailers will give you a time frame during which you can come back and add on the warranty if you want it. Take your time, do your research, and make the right decision for your appliance purchase through a company like Amana Services.

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