| lumberjim |
06-02-2010 10:15 PM |
here's a little flow chart i just wrote to help you with this kind of decision:
It's my opinion, and like assholes.... everyone has one, and they all stink..... but I DO sell these for a living and I bought one on jinx's car, and our tv.... and declined it on our laptops, and appliances ( both of which I have performed repairs on, btw... )
anyway.....
Quote:
The 'Should you buy the extended warranty?' flow chart by lumberjim franklin helm
First of all, an ‘extended warranty’ is really a ‘service contract.’ warranties are free and come with an item. Service contracts do the same thing, but are purchased to enhance or extend the coverage period. Most people are accustomed to calling them extended warranties, though… so I’ll do the same here. When I say ‘warranty’ I refer to a proffered Service Contract.
1. Is the cost of the warranty less than 10% of the cost of the item it protects?
No………. don’t buy it
Yes……. See item 2
2. Will the *average service repair for this item be equal or greater than half the cost of this warranty?
Yes…… Buy it
No… see item 6
6. Do you plan to replace the item anyway (usually due to advances in tech or your habits) before the warranty period expires?
Yes………Don’t buy it
No………..Buy it.
*if there is a deductible that is more than the values described in items 2 and 5, ask for the cost of the zero deductible plan and re run the flow chart.
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