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posted on April 27th, 2013 at 09:29 PM
I don't understand why anyone would care about new-car warranty. Modern cars are extremely reliable, so a major failure is very rare. Not only that,
but most manufacturers will refuse to pay up on a surprising variety of warranty claims! For example, a former colleague of mine had a Jeep Wrangler
Ultimate turbo-diesel, which he bought used with an extended warranty. The rubber intercooler hose cracked so he took it to the dealer to have it
replaced. The hose cost over $700 just for the part, and because it's a hose (consumable) it wasn't covered under warranty! The same is true of most
parts you are likely to have replaced. Brakes, bushings, hoses, belts, tyres, filters, any part which is classed as 'consumable' will not be covered
under warranty. Those parts cover a very large number of the car's potential failure modes.
Buy something 5 years old and just out of warranty. That way, you've saved so much money on depreciation that even if it does blow up, you're still
in front! Not only that, but a used car dealership will still give you at least a one-year warranty anyway, for whatever that's worth.
Originally
posted by waveman1500
I don't understand why anyone would care about new-car warranty. Modern cars are extremely reliable, so a major failure is very rare.
If you do have a major failure, you just write the car off and you have lost all of your money.
Quote:
Not only that, but
most manufacturers will refuse to pay up on a surprising variety of warranty claims!
Not all of them.
Quote:
For example, a
former colleague of mine had a Jeep Wrangler Ultimate turbo-diesel, which he bought used with an extended warranty. The rubber intercooler hose
cracked so he took it to the dealer to have it replaced. The hose cost over $700 just for the part, and because it's a hose (consumable) it wasn't
covered under warranty! The same is true of most parts you are likely to have replaced. Brakes, bushings, hoses, belts, tyres, filters, any part which
is classed as 'consumable' will not be covered under warranty. Those parts cover a very large number of the car's potential failure modes.
That was extended warranty.
Quote:
Buy something 5
years old and just out of warranty. That way, you've saved so much money on depreciation that even if it does blow up, you're still in front! Not
only that, but a used car dealership will still give you at least a one-year warranty anyway, for whatever that's worth.
You don't save that much and who do you get to work on it if something goes wrong?
I was talking to a used car dealer about a nice Jeep that he had sold for $30k. It had engine problems so he ended up buying it back from the customer
as this was cheaper than fixing it.
I read it on samba, so it must be correct.
Sometimes Volkswagen dealers sell spare parts. Amazing isn't it!
mickya
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posted on April 28th, 2013 at 08:52 PM
My daily is an '10 Lancer. Great car, zero regrets. Heading towards 80k with no problems. Compared it with the Corallas when buying it. Much more
comfortable, handles better and feels much faster as well. I'd go drive one, it's the perfect price you are looking at
Azure Blue 68 Beetle
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posted on April 28th, 2013 at 11:16 PM
If warranty really gives you that much peace of mind, then go for it, but I have to question this statement.
Quote:
You don't save that
much and who do you get to work on it if something goes wrong?
You don't save much by buying a 5 year old car?
A 2013 Golf GTI is $40,000, a 2008 Golf GTI will cost you about $25,000. You save roughly 38% or $15k, which I call a substantial chunk of cash!
A 2013 Corolla Ascent is $23k driveaway, a 2008 Corolla will cost you $13k, which is a saving of 43% or $10,000. I would like to see anyone tell me
that they wouldn't be happy with having an extra $10 grand in their pocket.
Who do you get to work on your car if it goes wrong? A mechanical workshop! Or a main dealer! If you can't find a mechanic that will work on a 5 year
old car then obviously you're not looking very hard! I just can't even begin to understand this question.
2013 Corolla is less than $20k driveaway in Sydney.
It is very hard to find a mechanic that can actually fix anything on a late model car unless you go to a dealer. Even then you may have trouble as I
did with my TT and that was multiple Audi dealers.
As I said, if something serious goes wrong, you just write the car off.
A friend of mine had a T4 syncro gearbox failure which cost $10k to fix. He then sold the car for $7k.
I have just seen a T4 towed back to Sydney from out west (maybe Dubbo) because they couldn't find a mechanic to change an oil cooler.
I travelled 111 km's to the nearest VW service place having informed them of the age of the vehicle when making the booking. I was only told when I
came to collect the van that they only had diagnostic equipment for recent models and not for the t4. I was charged $644 and the problem was not
fixed.
I read it on samba, so it must be correct.
Sometimes Volkswagen dealers sell spare parts. Amazing isn't it!
peter87
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posted on April 30th, 2013 at 07:46 PM
I have a new corolla they have a few factory defaults for example many models have been recalled for electric window problems and have water pump
problems. Other than that fuel economy is really good, but needs more power power for over taking on the freeway.
vlad01
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posted on April 30th, 2013 at 08:04 PM
Quote:
Originally
posted by waveman1500
If warranty really gives you that much peace of mind, then go for it, but I have to question this statement.
Quote:
You don't save that
much and who do you get to work on it if something goes wrong?
You don't save much by buying a 5 year old car?
A 2013 Golf GTI is $40,000, a 2008 Golf GTI will cost you about $25,000. You save roughly 38% or $15k, which I call a substantial chunk of cash!
A 2013 Corolla Ascent is $23k driveaway, a 2008 Corolla will cost you $13k, which is a saving of 43% or $10,000. I would like to see anyone tell me
that they wouldn't be happy with having an extra $10 grand in their pocket.
Who do you get to work on your car if it goes wrong? A mechanical workshop! Or a main dealer! If you can't find a mechanic that will work on a 5 year
old car then obviously you're not looking very hard! I just can't even begin to understand this question.
I agree!
71 notchback,
Past owner of, 70 NB, 73 SB and 72 FB TLE
AA003
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2013 Corolla $20k to sell in 5 years for $13k
2008 Corolla $13k + repairs (tyres,brakes,clutch etc.) to sell in 5 years for $6k.
Which one is cheaper?
I read it on samba, so it must be correct.
Sometimes Volkswagen dealers sell spare parts. Amazing isn't it!
waveman1500
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posted on May 1st, 2013 at 09:57 PM
Quote:
Originally
posted by AA003
2013 Corolla $20k to sell in 5 years for $13k
2008 Corolla $13k + repairs (tyres,brakes,clutch etc.) to sell in 5 years for $6k.
Which one is cheaper?
The 2008 Corolla is still cheaper, especially if you would be buying the car on a loan! If you buy the new car with savings then you are losing 5
years of opportunity cost with about a $10k investment, which should return at least $2-3000 even if you just stick it in a term deposit. If you
don't have the cash and you take out a loan, then you are paying thousands of dollars in interest and fees.
Quite apart from all this argument about 5 year old cars, my 1970 1500cc Beetle was the cheapest car to buy and run that I have ever owned. It cost me
$300, it was fairly good on fuel and only $13 per month to insure as an under-21-year-old (5 years ago). Not only that, but 14" tyres cost $75-$100
each and the fronts lasted forever, I did all the servicing myself for the cost of a $20 bottle of oil and a $5 sump gasket kit on every second oil
change. I did put a newer 1600cc twin-port engine in it for $800, but only because I wanted to go faster, not because it needed it. Eventually I
crashed it, wrote it off, sold a few parts and made a profit!
