Should You Pay For That Extra Warranty?

Post By: Admin / USA Frugal Club

An extended warranty can be found anywhere. It doesn’t matter if you’re buying a car, a phone, or an electrical appliance; getting one is almost always a waste of money. That is because the object you get an extended warranty on won’t ever break on its own.
On the rare occasion something does break, the minimal repair you’ll require won’t cost you as much as the money you pay for the extended warranty.
Sure, some enthusiastic buyers can save money with the help of an extended warranty, which is great. But before you decide to get one, ask yourself the question: why would a brand want to offer you one in the first place?   

- Extended Warranty For A Car

Getting an extra warranty on your car is a giant scam you need to stay away from. This plan will not make your life any easier, and they are certainly not worth the money. However, every situation can be different. If a dealer is offering you an affordable extended warranty with a car that has a big mileage number, considering the pros and cons might be worth it.
The average price for an extended warranty on a car can range from $350 to $750 annually. In many cases, the extended warranty isn’t going to cover the regular maintenance you get. On the other hand, if you took an amount between $350 and $700 and put it into a savings account, you’d have more money than you would need for car repairs. 

- Extended Warranty On A Cell Phone

Getting an extended warranty on a smartphone can be one of the few occasions this menacing deal can be worth it. According to research, 5,761 smartphone screens break every hour in America. While you digest that fact alone, you also need to consider that since we charge our phones almost every day, the battery’s capacity can start to be affected.
Because of this reason, some manufacturers can offer a full phone replacement in their extended warranty. If not, they can repair your phone’s broken screen. Even if you don’t use the extended warranty on your phone, having the peace of mind alone is a huge relief!
It can be nice knowing you won’t to splurge $1,000 for your iPhone’s broken screen.   

- Extended Warranty For Appliances

Approximately one-third of all buyers opt for an extended warranty on appliances, and on most occasions, these warranties are never used. On the rare chance they do get used, it’s usually for a matter that the normal warranty wouldn’t cover.
So it can be pointless to buy an extended warranty for appliances. If you’re afraid you’ll need one, put half of the price of the warranty into your savings, and you’ll be set! 

Wrapping Up

An emergency fund ora savings account is usually more useful than an extended warranty. If you aregetting a good deal on one, consider the pros and cons and make sure you readthe fine print!