Warranty and Maintenance Plan, is it Worth it?

[RedRidingHorse]

Hello! I needed some advise on the warranty and maintenance because I just bought a 2014 Corolla LE and was wondering if I should cancel. This is my first time buying a car from a dealership and I think I may have made a mistake getting these plans on it but wanted to make sure before taking them off.

Here is my list of points about the car

- I purchased the Platinum Extended Warranty that's good for 7 years, 100,000 miles with a painful price tag of $1,775.
-Car already has 42,600 miles on it
-Car was originally a rental car
-Car is a certified pre-owned with power terrain warranty good for 7 years, 100,000 miles and a year left of a pre-existing maintenance plan
-I also purchased the classic care maintenance plan that is good for 4 years, 55,000 miles with the price tag of $800. For the price, is that wise?

I did not know I could haggle with them about the prices so I made no attempt to do so at the time of purchase. The prices seem too high to me and I am inching towards getting them off but what would I do for things like the maintenance?

 

[Thomas]

Hopefully someone else chimes in, because I'm not an expert, but...

"certified pre-owned" is worthless marketing speak (it doesn't not mean anything legally, there is no standard, etc. It's just a fancier way of saying "used".

Rental car? I don't know how those are treated by the people renting them, or the rental agency. Maybe it will have problems and you will need the coverage, I just don't know. And it's a 2014, which is the new body style, so for some other reason, the rental agency decided to sell it (ie, it wasn't going to make them money - and whether that's because they have too many of that car, or that particular car has had problems, or they crunched the numbers and it was going to start costing them more money to operate with that car, or they're going out of business, I don't know). If it was because a mechanical reason, then yes, some coverage would be good, so...

If I had to guess on a rental car, the transmission would probably be one of the most abused mechanical parts. The car has a 7 year 100,000 mile that will expire maybe a year or so before your "platinum" extended warranty does (remember, "platinum" is more marketing BS and only reflects the price you pay, not the service you get). So, you're probably paying $1,775 for just one year of coverage in about six years down the road. From what I've heard, those extended coverage warranties use the cheapest parts, etc.

I have no idea what a "classic car maintenance plan" is. Classic cars generally refer to cars that are older than 25 years. So again, that name is just marketing BS. What does that plan actually cover? If it's just oil changes and fluid top-offs, then you overpaid significantly.

READ THE FINE PRINT BEFORE YOU SIGN ANYTHING. So, if you haven't read the fine print already like you should have, read it now. What does it say? Is there a 30 day refund period?

Maybe it's not all doom and gloom like I'm imagining, I just don't know without being in your shoes. Maybe I'm wrong. So definitely get a second or third opinion.

EDIT:

Q) "what would I do for things like the maintenance?"
A) Find an independent maintenance shop if you can't do the maintenance yourself (you probably can if you have a garage or driveway, all you need to do is learn how and it's easy with YouTube these days).

 

[Bcrewcaptain]

When we got ours a month or so ago, I decided to spring for basically the same things. Granted, my car was new, but this car I just want zero effort. we read the fine print. Pretty much the only thing we need to do is the consumables(brakes/tires/wiper blades) free oil changes/inspections for life, etc. I have done my share of wrenching, but the peace of mind is nice. Somethings broke? They fix it, doesn't pass inspection? not my problem

 

[HanSolo]

If having the ESP gives you peace of mind, keep it. People often take for granted just how important peace of mind is if you are the type of person who likes to hold onto and get as much usable life from a vehicle as possible. I purchased a platinum 7yr/125k mile ESP with no deductible for $1650, but it was also a new purchase. My dealer also gave me the 100% refund option if the ESP is unused at the time of cancellation upto 7 years from purchase date. Because I have decent knowledge about this industry, my dealer sold me my plan for $100 over invoice with it having a suggested sale price of $1995.

 

[Black64]

Considering a new engine/transmission in this car would cost around 2K installed, i don't think it was a good deal. Corollas are meant to be reliable and cheap, so these plans are not worth it.

 

[Bcrewcaptain]

Considering a new engine/transmission in this car would cost around 2K installed, i don't think it was a good deal. Corollas are meant to be reliable and cheap, so these plans are not worth it.

Unless you don't have 2K in that emergency repair fund.... then adding it to the monthly payments may be the difference between Nikes or Goodyears.At stated above, the peace of mind aspect is a big thing, and if you want to argue THAT point...you can meet my wife and get back to me.

 

[Black64]

Unless you don't have 2K in that emergency repair fund.... then adding it to the monthly payments may be the difference between Nikes or Goodyears.At stated above, the peace of mind aspect is a big thing, and if you want to argue THAT point...you can meet my wife and get back to me.

Well considering the chance of something going wrong AND actually being covered under warranty AND the cost adding up to 2K is probably less then 3% in the time you own the car (on a high estimate), I think saving that money and putting it in a emergency fund is the better option, but peace of mind is worth more to some people, I understand. For me, driving a corolla is all the peace of mind I need. I used to drive a BMW 745Li and a Audi A6, those are cars that are truly worth worrying about when something goes wrong.

But that's why I choose the corolla, i just wanted a cheap, worry free car for my commute. It's an amazing car!

 

[jolly]

As others said : if it gives you peace of mind, fine ! But be sure to read the fine prints (exclusions, restrictions, obligation to buy specific consumable or to use only some shops, deductible, what happens if the company goes out of business...)
Although called "warranties", those are rather "insurance" : the company (not always the car manufacturer) get to benefit from your money and if they are lucky, you won't cost them much.
Of course, like insurance, if something happen, you'll be glad to have it but, money wise, I'm with Black64 : I'd rather keep my money and benefit from it. And if I'm lucky...
If I understand right, the car came with a 7 years power-train guarantee ? Than see if you think you'll have to put $1,775 of repairs on covered (fine prints again) non power-train issues in the next 7 years.
No idea what «classic care maintenance» means. I hope its for more than oil changes, of which you'd get about 5 in the 55,000 miles covered period.
In other words, just do the maths like the "insurance" company does !