Should I cancel my extended warranty?
 

Sorry if this sounds like a stupid question, but I feel very conflicted. I have a few more weeks to cancel my ext. warranty and get my money back, and revert to the standard 3 year warranty.

The problem: I want to mod my car. This car just feels a tad bit underpowered. If I could tune it up now and get it that extra 15% I feel it wants/needs, I would - but I have that 6 year extended warranty staring back at me!

The responsible thing to do, would be to keep the warranty and just wait it out. Its just a car right, and really what's 15% more power going to do when my engine enivitably goes out the day after I install a supercharger?

So, I'm wondering... do you guys think I should cancel, and just mod away (maybe wait a few years probably), or just keep it? I can't see myself waiting the full 6 years, but maybe 3-4 years to start modifying it... good thing is, if I do modify it if anything else breaks it would still technically be covered, but really that's just stupid things like power windows, etc...

I just really like the peace of mind of a 6 year warranty! One thing I could do, is wait until TRD releases a supercharger. I think that would still be covered, right? I'd be very happy with that route. But there's always that conflict - I just love modifying my things :iono:

I don't ever buy any extended warranty or protection plan for anything, ever.

I work at a Toyota dealership. Our service dept was told to be very lax on mods done to fr-s because so many will have it. You shouldn't cancel it. I have to get mine in tomorrow for the high pressure fuel pump. We've had them get dropped right off the transport with bad cam's. it's a first year vehicle that was a collaboration with Subaru. You would end you severely kicking yourself if you cancelled it. The claim I have tomorrow is over $2500 just for that 1 claim. The average Toyota claim is over $2000. Over 90% of all claims are electronics etc.

Snake oil! I've never bought one for any vehicle or appliance and have yet to regret it. Sure there's the exception but for certain they take in more money than they pay out.

I'm gonna go with nope. Just nope. Call me old fashioned, but I like getting new things for free if something breaks.

What does the warranty not cover? I'd be interested to know. And who offers it? Is it through Toyota or is it through a bank/financial institution? Valid at any Toyota dealer?

Per Beaver Scion, we will not cover any modification including TRD parts installed by us that cause issues to the car. I cancelled mine right then and there.

Cancel it. Then take what you were going to pay monthly and deposit it in a savings account. If you should run into problems with your car dig into that savings for repairs. I bet that you'd probably end up with a sizeable savings account by the time you decide to sell your car.

All warranties are "in case shit happens" type of deals. The reason why banks offer it is becuase, for most people, nothing happens. It's a gamble. Take into account what you, or most people, pay monthly for health insurance (it's probably in the $250 - $500 per month). Most people, me included, don't ever go to the hospital for anything. Now imagine how much I/we would save, if I cancelled my health coverage and just put that money away each month. The only reason that I don't do this is that, "in case shit happens" scenario. Makes you think doesn't it?

Interesting, I'll be calling my dealership soon and see what their reaction is to me moding it. I do love the service I get at Toyota, and would love that for 6 years (instead of the standard 3) - and the warranty is by no means breaking the bank. But, at the same time, it'd be nice to stick that $1000 back into the car instead of service.

Its the standard 6 year toyota extended warranty. I'm not sure if its through the dealership, but I'd be its through toyota in general (that's the feeling I got at least). It covers quite a bit, including engine, transmission, brakes, electrical, etc.

And the warranty doesn't cover - not 100% sure, but I'll be checking that soon (currently working) to see. Under the Magnuson–Moss Warranty Act anything that you do to the car, that has the "potential" to break the car, the dealer can use that to argue that you broke it. Otherwise, its covered.

For example, if you install a body kit, and your engine goes out, they must fullfill your warranty. But, if you install a turbo kit, and your engine goes out, the probability of you getting your warranty fullfilled is very low. Its sort of a grey area.

You have 3 years 36 on the whole car and 5 years 60k on the powertrain from the jump. The powertrain warranty covers most anything that would get real expensive on this car. I would say to ditch it but that is just me.

Yea, 60k powertrain is pretty long...

I usually never buy extended warranties, and never really regret doing so. I'm not really a fan of "warranties" (then again, never owned a new car either)... But of course people were there (family) when I bought the car and being my first "new" car 6 years of no worries sound appealing.

Thanks for the responses so far guys!

I'm conflicted:
Yes, cancel b/c they are normally a bad idea. Also, you car will probably do something to create a CEL and you can bitch to Scion and get free extended warranty.

No, keep it because this car is already proving to be unreliable and parts will be pricey.

How is the car "already proving to be unreliable"? I'm aware of the CEL issue, and a few other issues, but everything I've heard has been pretty minor.

I just called Toyota, and I'll probably be cancelling tonight.

It's my opinion based upon the large number of CEL issues with no real resolution yet from Subaru or Toyota. I feel that the issue will become much larger. I may be biased as my car has been in the shop for 5 weeks today.
I spend more time in the problems section than the others.

1st year cars usually have problems at a higher rate and joint venture car can't help that statistic.

i bought all extended warranties and protection b/c I thought I would keep this car for 10 years after I finally got to drive it when I was closing on it. I drove it 1 week and its been in the shop now for 2. I may speak with my finance guy when I go back to discuss canceling the ones I bought because I am now unsure how long I may keep this particular car. Either way I plan to pay it off way early and may or may not mod it. I plan on talking to my SOA rep and see if they will offer anything for my inconvenience even though I am owed nothing in reality. I am in the same boat as you but at this point I feel I may keep the car 3 years then get a newer brz later on.

I'd recommend cancelling it. I bought an extended warranty on one out of the eight new cars I've had, and I ended up modding that one, autocrossing it heavily (some drag racing too), and selling it 4 years later, and never needed/used the extended warranty. Any first year issues are likely to be worked under the basic 36 month warranty, and you'll likely be fighting an uphill battle to get coverage under the extended warranty after you start modding the car (depending what mods you do and how flexible your dealer is).

How long do you have before you can cancel the extended warranty?

They are cancel able at any time. Pro-rated

The only thing I can say is every new car pretty much comes with a longer p/t warranty vs comp 3/36. The reason is over 88% of all warranty claims come from electronics and computers. Most vehicles don't have internal lubricated part issues in engine and transmission. The longer coverage always covers the parts that normally don't break. Also cost effectiveness its not p/t that in today's technology that cost more. It replacing computers, electronics, ECU, etc. I've gotten all of my $ out of every VSA (Vehicle Service Agreement) observer purchased. Key is, only buy FACTORY coverage. TMIS VSA backed by Toyota.

Just my opinion. It's easier to pay $15-$20 a month and having peace of mind than it is to pay for repairs. Stuff always happens always at the worse time. Never when you have a bunch of disposable $$$

Thanks. I got it for the peace of mind and this being a first year car of its kind. Now that I'm having the CEL SL issue I might push to get it for free depending on how long my car stays at the shop.

I have never in my life bought an extended warranty, but plan to for this car. Is is NOT a Toyota or a Honda and has shown some significantly annoying and expensive early problems already. That is my reasoning to buy one for the first time. I also intend to not spend over $1200 on it.

My opinion is that if you buy a first year model of anything you should get any and all warranty coverage that you can… Regardless of how great a car or its manufacturer is there will be issues… The next few model years these issues are all sorted out…

-Nate

do what I am doing. Do Cosmetic mods until warranty is just about up and then start your tuning and other engine mods. Who cares if others will use that stupid term "rice", ITS YOUR MONEY NOT THEIRS.

Thanks for the input guys. I'm still on the fence about this. Might just keep it, $1200 won't break the bank but I can always put it back to the principal, so its hard...

Thanks again though, everybody's input has definitely helped.

If you're financially sound, dive right in and mod... b/c
https://encrypted-tbn0.gstatic.com/i...VD6nUAGnwO9nXi

:lol:

Only suckers get the warranty. You got rolled.

keep it, and go with the TRD parts (aren't they covered under warranty?)

The problem with extended warranties is that they are usually offered by companies that are fly-by-night operations and are essentially unregulated. They are started by the same con-artists who sell enlargement pills, colon cleansers and various other scams. They sell the policies to dealers very cheap and the dealers mark them up and make a huge margin.

Because they are basically unknown entities and have little to fear from governmental regulation or oversight, they have little reason to honor your claims. They will string people along as long as possible, and when the heat gets too strong, they simply fold up their tents.

There are some warranties that are reputable - most notably the ones offered directly by manufacturers.

However, they are inevitably a bad deal. In order to sell these instruments, the manufacturers know that on a statistical basis, the cost of the warranty will always be far more than the expected payout. That means that perhaps one-in-five buyers will actually gain more from the warranty than it cost. So while you might be one of those rare people who benefit from the warranty, the chances are 5-1 that you will not.

That 15% horsepower increase you're looking for will compound once you get used to the increase. Its a never ending thing.
You also want to consider your habits, keeping in mind that warranties are basically insurance. People who are hard on the car or don't maintain it properly sway the cost of the warranty upwards. So if you are nice to your car, you're not getting your money's worth out of the warranty.
In regards to the first model run perspective, many of the things that are being discovered will not be repaired by a warranty (e.g. loose speaker grills, rattles, etc.). The statisticians who come up with the warranty price probably accounted for the first model year issues anyway.

I didn't go for it because frankly i can't afford it. The car new was already pushing my upper limit for a car. Extra piece of mind is great if you're going to keep the car as is, and don't plan on racing it and/or taking part in activities or mods that will void your warranty.

Also, i will have definitely voided the warranty before it expires anyways. It will probably be void within a matter of weeks if not days once my other parts arrive :).

it only takes one claim for the warranty to pay for it self. I am a finance Broker and I sell extended warranties, my customers love the warranty they save thousands. I bought my FR-S and bought the extended warranty for 72mo or 200,000km it was only $1900. Dealers get paid to do the claims from the warranty so it is in thier best interest to let mods slide. If you are worried ask the service manager at your local dealership. Dont ask a service writer.

I love reading all of these. I won't buy a car w/o a VSA (vehicle service agreement). Not a 3rd party extended warranty. A manufacture coverage ie Toyota. I like how people say they can't afford it. You can't afford not to. I've already had over $3000 worth of issues while the car is still new. What's going to happen when my car is 4-5 years old with 60-80,000 miles. I work at a Toyota dealer and see what goes wrong. It's all electronics and computers. When you do normal maintenance ie oil change etc. that only prevents power train issues in the future. There is a reason why every manufactures have a longer power train warranty than comprehensive. Power trains for the most part are the least of your worries and have the least amount of claims. You say you can't afford it ! Then you say you will void it with in a week! So you are dumping $ into mods first. Ok. I get it. But put $ into priorities first then mods. Even with the tunes that are out there. The service depts don't care. They get paid to fix the problems that all cars have. They all break, it's when, and what? That's my 2 cents. :)

I have the scion 75k extended warranty on my frs
the fact it's the first year on the market and part subaru\toyota, there's bound to be problems later on and mostly likely expenisve then nornal ,better to be safe then sorry unless you can afford a costly repair after your basic warranty is out.
I can careless about Mods , I think the car is great the way it is inside and out

You can always purchase the same extended warranty for the same price 3 years from now or whenever the regular warranty is about to run out.

It's not free.

Firstly, can't help but notice how many people ask for advice making big decisions on this forum. Perhaps that is due to the relatively low average age of the registrants. Just an observation.

IMHO extended warranties are great...if you are buying a second hand high end car like a Merc or BMW that is at or close to the end of its bumper to bumper. I'd hate to lay out $5k unexpectedly to swap modules or something on a 2008 5 series. The warranty caps the maximum repair cost at the cost of the insurance, ensuring affordability. I couldnt justify doing that with a brand new Toyota or Subaru product. You have several years to determine if your vehicle will be reliable. I'm thinking huge repair bills are rare on these makes.

I'm well aware of the risks buying a first year production automobile. I'm also aware that most manufacturers, in the past, have held back on some design features so they can throw them on their second and third year production cars to make them much more desirable. I figure I'll be trading my present FR-S in before the original warranty expires so I'm not concerned about longevity. I am loving this car enough to think that I'll trade it in on another FR-S.