Heavens Wing

Hey guys,

When I bought my car, I bought an extended warranty with it. At the time, I figured it was a good investment, now I'm not so sure. My 07 has 25.5k miles on it. Runs perfectly, all maintenance has been done, etc. The warranty runs for 4 years or 48k miles. It ran me 1400 or 1700, I can't remember. 100$ deductible.

Now with that all being said, I can cancel this at anytime and get a prorated refund which with my math would be around 1200 or 1500 back.

Should I cancel my warranty and take the money?

MikeekiM

As you know, extended warranties are nothing more than risk transference (or insurance)...

What is more valuable to you... The transference of the risk, or the $1,000 or so dollars?

If you think the risk is a low one (and I think we all agree that it is), then I'd pocket the $1,000 and hope that anything that goes wrong in the time period that you would have had the warranty is less than $1,000.00.

Of course, low-risk is not no-risk...

Personally, I'd take the money and run... But I almost never transfer a risk that I cannot afford to self-insure and accept the full burden if I am wrong...

The only extended warranty on a car that I ever purchased was for my 2003 Acura TL Type-S... And it was ONLY because it had a known transmission issue... The issue reminds me of the same issue that XBox 360 had with the Red Ring of Death... 2nd Gen TL owners often compare how many transmissions they've gone through...

Unfortunately, when my transmission finally went out, my extended warranty period had ended... Fortunately, Honda takes care of their customer's quite well... After they found out that I had low miles, and had purchased an extended warranty (that admittedly was expired), they promptly agreed to pay for 75% of my transmission work!

AZS2KDancer

Dealers make s killing selling extended warranties. Most are never used. You could put that cash toward future fluid changes, tires and or brakes, which are most likely not covered by that warranty. If you take care of your S, chances are, it will last a long time before needing major work. Ultimately, it's your call.

Heavens Wing

I think when I first got it, I was afraid of the owner and what he may have done/driven. Thus I bought this warranty, which I do not need.

MikeekiM

It's actually reasonable logic in my opinion...

While these cars have Honda reliability, they are also cars that attract young immature drivers that can beat the hell out of them...

Again...it's really whether you want to temporarily transfer risk at the cost of $1,000+... Or roll the dice, knowing that if someone abused the car, and it plays out as an expense during the warranty period...that the cost is going to be 100% on you...

For me, I'd still take the money and run if you have reasonable confidence that the car is in good condition... If you've driven it for any reasonable amount of time, you've probably already gained some confidence and can make the call...

Reckon

I had the extended warranty on mine and used it once to get the driver's side soft top latch replaced. I hadn't planned on getting it since the S I bought was actually Certified Pre-Owned by Honda, but they offered me a great deal (had been buying Hondas and Acuras from them for a while) so I took it. If you feel the car is ok (valve adjustment, compression test, leakdown test and overall shakedown have been performed) then cancel the warranty. It was good logic to start with it and it is good logic to recoup what money you can if it is no longer needed.

Have you had one of the local area gurus take a look at it?

not4s4l3

Definitely cancel and take the money back. I have very little faith in all insurances/warranties as when it comes to the real deal;
they tend to shift blame and not being much of help. Or you will end up paying them multiple times more than the actual damage! Besides the s2k is indestructible when properly looked after!

Take the money and run man !

V6 Donut

I would keep the warranty, especially since its already been purchased. $100 deductible is easier on the pockets than say.... $110 hr labor rate plus parts.


if I had purchased a warranty I probably would have driven my car with a little more fun and less to worry about. instead I drove like gramps. haha. just me though. I don't know your financial situation.

Heavens Wing

I haven't had anyone look at it other than my dad (he is a mechanic) and he says it runs amazing. I was talking to Brett about getting the valves adjusted, but I'm actually going to see my dad this Saturday and he said he could do it. If it breaks down, yes I'll have the money to repair it, but it will suck. At this point though, I really feel that it's a very strong running car without any issues. I will keep it for the drive to ATL and back, so if something does happen, it will be covered. Other than that though, I think I'll take the money and use it towards the car.

cosmomiller

I don't know if the top is covered but if it is, I would take a close look at it to see if it needs replacement. If it is covered and replaced I would think that might be worth it.