Everything About Extended Warranties: Why you might want one, what’s covered, and shopping for one

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  • Опубликовано: 4 ноя 2024

Комментарии • 84

  • @TEQLC
    @TEQLC Месяц назад +7

    Great information Josh! I laughed at extended warranties 10 years ago. But nowadays, with the crap that's being produced, sign me up! Hopefully I'll have my two 4Runners for a long time, but I'm guessing when I do buy something else a lot will have changed. (for the worse).

    • @joshjamescars
      @joshjamescars  Месяц назад +1

      Could not agree more!! LOL!! And yeah I think your 4Runner and my GX are the only two new cars that I would feel okay about owning without one today. 😅

  • @matthebron
    @matthebron Месяц назад +5

    Great video Josh - your content helped me secure a RAV4 XSE this year, appreciate your help. There’s a Toyota vendor called Jerry Johnson at Midwest Toyota who sells warranties at very low prices and gave me good negotiating room when I financed the plan. Not sure if you ran across their name in the Toyota forums.

    • @csan255
      @csan255 Месяц назад +1

      Can you be more specific which Toyota forum you are referring to?

    • @joshjamescars
      @joshjamescars  Месяц назад

      Awesome!! Thanks for the tip!!

  • @cgrinna
    @cgrinna Месяц назад

    Great video Josh. I just went through all the research for an extended warranty on my new Lexus NX350h. You are right about shopping the cost. There was a lot of talk about Jerry Johnson at Midwest Toyota, Hutchison Kansas with the best prices. He is in fact great to deal with and has the absolute best prices on Toyota and Lexus extended warranties. Picked up a Platinum plan for my Lexus at a price far less expensive than my local Lexus dealer. The Platinum plan comes from Lexus. ps: yes you can wait until your warranty runs out before you purchase, however there is no guarantee the price of the extended warranty won't increase during that time period. So I locked in the price in today's prices. Just thought you'd want to know. It was a very simple over the phone process. And Jerry is a true gentleman. Thanks.

    • @joshjamescars
      @joshjamescars  Месяц назад

      That’s awesome and thanks so much for the recommendation!!! And yes, you’re right about that prices could go up but as you also call out, who the heck knows since I’ve found dealers to be all over the board in terms of price.

  • @ianjay5301
    @ianjay5301 Месяц назад

    I bought an extended bumper to bumper warranty for one of my GM cars. Although the car was reliable (kept 14 years and several hundred thousand kms) the warranty paid for itself (the a/c compressor failed which was covered for example). Strange things were not covered: My rear shocks started leaking and were not covered (an easy repair) but when the front struts (far more expensive repair) I steeled myself but was surprised to discover they were covered. New cars are going to be interesting as things are very pricey (rear tail light on my F150 was 1800 bucks! I'm like you - I now check the fine print and am prepared to pay for warranty.

    • @joshjamescars
      @joshjamescars  Месяц назад

      Yes!! Could not agree more with all of this. Also, I owned an F150 and if yours was like mine, the blind spot radar sensor was integrated into the taillight housing and I also remember mine being exorbitantly expensive because having the sensor in there also meant there were data lines that had to run all the way back to the front of the vehicle.

  • @Sam9wilson9
    @Sam9wilson9 Месяц назад

    Thanks! things to consider for my 23 GX 460 🙂👍

  • @steveh545
    @steveh545 Месяц назад +2

    Have you checked Toyota Forums for extended warranties? There’s usually one or two dealers that are “famous” for offering a good deal with no hassle. Probably out of State, since you can buy from any Toyota dealer finance office.

    • @joshjamescars
      @joshjamescars  Месяц назад

      Yes! That’s what I’ve been doing. Haven’t bought anything yet, and don’t need to until November. So, taking my time and calling around when folks recommend I check with someone.

    • @METamez
      @METamez Месяц назад +1

      Dealerships in other regions are able to offer 10 year warranties. Not so in Texas.

  • @ayasearagaki2010
    @ayasearagaki2010 Месяц назад +1

    Josh, could you make a video or post about the finances of early lease buyouts? A lot of people on the toyota subreddit for prius prime / RAV4 primes are leasing the cars to get toyota lease cash, then buying them almost immediately to not pay the lease "rent". How much does this save over paying throughout the lease term? How much extra do you spend compared to buying with this method?

    • @joshjamescars
      @joshjamescars  Месяц назад

      I probably won’t make a video because everyone’s situation will be different-let me explain here…
      Let’s say you lease the car to get the lease cash. You’ll want to then buy it out after about 2-3 months (your account needs to fully open with the lease holder). In doing so, you’re buying the car out for whatever the remaining principal amount is, and that will depend on how much you put down when you leased it and whether you’ve already paid taxes. Do note that states handle taxes differently too. Some states will tax you on the entire vehicle up front, some will only tax you on the total amount of the lease (so you’ll need to pay more tax on the remaining amount), and some will tax you on each lease payment.
      Now once you’ve bought the car out of the lease, “savings” will vary because if you can’t afford to buy it out in cash right then and there, you’ll have to take out a loan from a bank and you will pay interest on that loan. Depending on the interest rate and loan term, that could in theory negate the $6,500 lease cash. So the lease cash offer only makes sense if you can buy the car out in cash or finance it but pay the loan off in a year or so.
      Further, most people don’t realize that when you buy a car out of lease you become its second owner. So your vehicle’s CarFax won’t show “1 owner vehicle” which may have an impact on your depreciation down the line.
      The $6,500 lease cash is great but I only advise taking advantage of it if you have the cash in the bank to pay it off immediately.

  • @ycpoon4044
    @ycpoon4044 Месяц назад

    Kudos to Josh. The extended warranty in Canada is different from the one in US. You have to purchase it at the point of sale.

    • @joshjamescars
      @joshjamescars  Месяц назад

      That’s wild!! I hope they refund you the entire amount if you cancel within the new car warranty period since you’re forced to buy on day one.

  • @myalkut
    @myalkut 7 дней назад

    Thanks for your video. If you just bought a new car and found out you paid too much for the extended warranty but you still want one, can you cancel with the dealership you bought it from and go buy one from another dealership? will they have any issue with the fact that you had one and cancelled it?

    • @joshjamescars
      @joshjamescars  6 дней назад +1

      Yes you can cancel and then buy again later. And I don’t think the second dealer would care at all. But like I say in the video DO NOT buy an extended warranty until your new car warranty is close to expiring!

  • @midiman5045
    @midiman5045 Месяц назад +1

    Great info, I wish you touched on Lexus. To Note it can be any Toyota dealer even out of state since it's a Cert Toyota warranty. Several years ago there was a guy on the internet that sold the VSA at a good discount at a dealership.

    • @joshjamescars
      @joshjamescars  Месяц назад

      Lexus is identical in offering and process since it’s the same parent company. The only difference being your new car warranty is 4 years/50,000 miles whichever comes first.

    • @midiman5045
      @midiman5045 Месяц назад

      @@joshjamescars Thanks for the info.

  • @rebeccatrainor734
    @rebeccatrainor734 Месяц назад +1

    This is such an interesting topic. I gave my son my 2012 ES350, and he is a good driver. This car has been really great with minor mechanical repairs. He does understand how to have it maintained regularly...but this video made me wonder if I should just purchase one for him while he is in medical school....🤔

    • @joshjamescars
      @joshjamescars  Месяц назад

      You should on your new ES350 (when the time comes) but your old/his new ES is way outside of the period when you can add a warranty on. That in addition to the fact that a 2012 ES has a bullet proof powertrain and doesn’t have too much tech that can go wrong. I think your money would better be spent getting out into a savings account he can access if he ever needs money to fix the car. :)

    • @rebeccatrainor734
      @rebeccatrainor734 Месяц назад

      @@joshjamescars Got it!!! Thank you, once again, for your great insight!!!

  • @METamez
    @METamez Месяц назад

    The toyota financial and honda financial plans also come with road side assistance for the length of your extended warranty. Toyota also includes the cost of a rental car in the platinum policy for up to 5 days per claim.

  • @BigdogLarry
    @BigdogLarry Месяц назад

    Great information Josh and very informative. Appreciate the sharing of the knowledge you possess. I’m with you, I hate having to deal with dealerships. Luckily I won’t have to for quite some time since I will have my GX for a long time 😉. Will you be getting one for the GX as the warranty winds down?

    • @joshjamescars
      @joshjamescars  Месяц назад

      Hey Larry! I haven’t given it too much thought, but because it’s quite old school and doesn’t have too much technology, I think I may take my chances without one or do a basic gold plan versus a full on platinum plan.

  • @TechJunky777
    @TechJunky777 Месяц назад +3

    My dealer here in Ontario, Canada said just replacing the head up display is $25,000 CAD.

    • @myytchannel6632
      @myytchannel6632 Месяц назад +1

      WHAT? Are you serious?

    • @joshjamescars
      @joshjamescars  Месяц назад

      That is definitely not true unless that dealer is really being an a-hole and jacking up the price. A HUD can be a $3,000 repair but not $25,000.

    • @TechJunky777
      @TechJunky777 Месяц назад

      @@myytchannel6632 No joke!

    • @TechJunky777
      @TechJunky777 Месяц назад

      @@joshjamescars No joke! That is what I was quoted! I also had a wobbly drivers side rear view mirror…they replaced it for $2500 at no cost to me. 🤷‍♂️ Edit: that was my 2023 model that I no longer have…traded it in for the 2025 NX350h Executive trim. The 2023 had a blurry head up display and they didn’t want to replace it because of the cost. It’s their problem now.🤷‍♂️

    • @joshjamescars
      @joshjamescars  Месяц назад

      @TechJunky777 WOW. You need to find a new dealer. I actually had to replace my side mirror on the Rav because someone hit it in a parking lot and it was $550 all in ($350 in parts, $200 for an hour of labor).

  • @jsdtx
    @jsdtx Месяц назад

    The dilemma today is that new cars are so expensive today and repair similarly can be very expensive. When cars were around $30K, you could buy or lease and then trade every 3-4 years and only lose 10-13K total with no maintenance costs. Today so many cars are 50-80K so the 3-4 year cost of ownership is likely to be double. So if you keep it 7 years, you could get lucky and just have regular maintenance but if you have a computer issue, you could be out of pocket 5-10K for a fix that may or may not work. Computer chips are notoriously difficult to troubleshoot. The technology is great but I loved the days when I could trade a car regularly and not have much out of pocket cost on a depreciating asset.

    • @joshjamescars
      @joshjamescars  Месяц назад

      Yes!! Could not agree more-I used to do the same thing, either lease or trade somewhat frequently and it wasn’t a huge financial burden to do so and even putting 25% down on a car purchase didn’t mean what it does today. And today, I don’t see us buying any new cars simply because of how expensive something as basic as a Rav4 Prime is.

  • @user-zh2cm4ur4n
    @user-zh2cm4ur4n Месяц назад

    Would you recommend a Toyota Dealer in Austin? I am new to Austin too. I got a used 2023 Corolla Cross. It is a sensible choice but it is a sore in my eyes lol. I dunno if I should consider Lexus too, because I do like the sound dampening.

    • @joshjamescars
      @joshjamescars  Месяц назад +1

      Toyota of Cedar Park is the best of the worst. I’ve had some bad experiences there but they’re better than the other dealers in the city.

  • @TheOriginalDwadefan
    @TheOriginalDwadefan Месяц назад +1

    I bought a used Lexus RX350 and the only warranty they offered was for 2 years at around $5k AND they tried building it into the loan so interest on top of that. The finance manager tried to sell it by breaking it down what it would cost per week to pay for this warranty. I passed. Perhaps when you buy new the extended warranty process is different but the used car extended warranties seem to be very predatory.

    • @joshjamescars
      @joshjamescars  Месяц назад +1

      That’s ridiculous and good on you for passing!!! LOL at them trying to build it into the loan so you not only get a crap warranty but also get to pay interest on it.

  • @September82006
    @September82006 Месяц назад

    I had a really good experience at Tegeler Toyota in Brenham, TX. I was offer the VSA platinum for 2024 Camry V6 for about 2,000-2,200k. Their fiance department is not pushy at all. You can ask for Jim and he will gladly help you.

    • @joshjamescars
      @joshjamescars  Месяц назад

      That’s really high… no way that should be over $2K for a Camry V6. I hope you didn’t buy, but also because your car is brand new. You don’t need to (and shouldn’t if you haven’t) buy an extended warranty until 2027 comes around.

    • @September82006
      @September82006 Месяц назад

      @joshjamescars no, I didn't buy I am waiting also closer to the end of my warranty to purchase since I have the panoramic sunroof.

  • @alexanderrosenthal5324
    @alexanderrosenthal5324 Месяц назад

    Thanks Josh. Many people want to keep their cars for much longer than 8 years. Especially reliable cars such as Toyota. What do you do after the 8 years? Can you buy the warranty from Toyota? Other manufactures? Is it exponentially expensive?

    • @joshjamescars
      @joshjamescars  Месяц назад +2

      After the 8-10 years, you’re kind of on your own, though I think that’s reasonable since the car has aged out quite a bit by then.

  • @jpdoc5722
    @jpdoc5722 Месяц назад

    thanks Josh 🙏
    can we buy this extended warranty online?
    ( like from Toyota/ Lexus dealerships other than what’s near us?)

    • @joshjamescars
      @joshjamescars  Месяц назад

      Sadly you cannot. You’ve got to call them because prices vary depending on mileage and model…

  • @adrienchan2097
    @adrienchan2097 Месяц назад

    I buy the platinum plan

  • @bobprice6274
    @bobprice6274 Месяц назад

    You said not to buy any warranties at the time of sale but my girlfriend when she bought her CHR from Toyota was offered at technology warranty that would cover all of the electronics and the financial person said that the technical electronics was not covered in the standard warranty from Toyota. I agree with you that electronics are really important and that is where most of the expenses are going to come up something goes wrong for example the computer chip that controls the transmission. I had a problem with my vibe and it was an older car and I could hardly even drive it with that problem. I am looking at getting a RAV4 hybrid. And I am going to be probably buying it new. So my question is do I buy that technology warranty I think I need it. Now here’s something else that’s interesting I believe that I want to get the same thing that you got the platinum warranty so it makes sense to me that I would want to buy that at the time of sale to kick in when the car is ready to go out of warranty. That makes sense to me it probably would be less expensive to do it that way then to buy it later too. Also I don’t like dealing with dealers either this would make it so that I could get all of that done at the beginning and I have to worry about going back in and dealing with them again Interested in your thoughts on this. Regarding your video about your prime All it would take is one thing on your prime to go out one thing out of all of those complicated components you’ve got the front panel all of the internal computer diagnostics anything in there could cost a lot of money to fix so it makes sense that you’re getting that platinum coverage

    • @joshjamescars
      @joshjamescars  Месяц назад

      And that right there is called finance lying right to your face to make a sale. Your new car warranty covers ANYTHING that goes wrong that isn’t a result of you damaging it. PERIOD. What you were told is a BLATANT lie and infuriating that they had the nerve to tell you that. Hence what I said at the beginning that your only objective in the finance office is to buy the car. Anything they try to push on you is profit for them. And as stated in the video, DO NOT DO NOT DO NOT buy ANY kind of additional or extended warranty at point of sale. Period, end of story.

    • @delilahgray0826
      @delilahgray0826 Месяц назад

      @bobprice6274 It’s actually painful to read your comment as Josh is right-your girlfriend was taken for a ride by finance and probably just paid a thousand bucks for something she didn’t need and the dealer is laughing their heads off all the way to the bank. Please read the warranty documentation on Toyota’s site before you make a decision on your next car. You can find the new car warranty terms for any vehicle.

  • @TilleyDuthie
    @TilleyDuthie Месяц назад

    So 3 weeks ago I purchased a brand new 2025 Camry XLE. I purchased the platinum 10yr/100k vehicle extended warranty which was offered for USD $2,400. The warranty is managed by Fidelity.
    Do you think I overpaid? Should I ask for a refund and try to buy a cheaper or more discounted policy?

    • @joshjamescars
      @joshjamescars  Месяц назад +1

      Congrats on the Camry! But call the dealer or fidelity and cancel that warranty. First, you never want a warranty managed by a third party, those are an absolute disaster. Second, like I say in the video, never buy an extended coverage plan until your new car warranty is close to expiring. Even if you fully intend to keep the Camry for a long while, you could end up needing to flip out of it, or it could get totaled in an accident. Ride out the first three years on your new car warranty and as it’s getting close to expiring, then add on a Toyota OEM extended warranty.

    • @TilleyDuthie
      @TilleyDuthie Месяц назад

      @@joshjamescars thank you so much for your quick response and kind advice! You are truly a servant to all of us!! I will do exactly as you suggest!
      Another question. Your thoughts on lifetime powertrain warranties offered by some dealerships?

    • @joshjamescars
      @joshjamescars  Месяц назад

      @TilleyDuthie one word: scam LOL. Don’t ever trust the dealer when they offer you something. Your only objective is to buy the car. Anything else should only be purchased after you’ve thoroughly researched.

    • @kurtburkhardt5862
      @kurtburkhardt5862 5 дней назад

      I worked for 12 years in the car business. I normally tell people to not buy an extended warranty. Particularly, any aftermarket non manufacturers warranty. If it is a Toyota factory warranty then with the complicated electronics and powertrains it makes sense.

    • @TilleyDuthie
      @TilleyDuthie 5 дней назад

      @@kurtburkhardt5862 this warranty is considered the Toyota warranty, because SE Toyota dealers contract with Fidelity for their warranty coverage.
      How can I purchase an extended OEM warranty directly from Toyota?

  • @quantumjim45
    @quantumjim45 Месяц назад

    Where do I find out about percentage of claims covered vs denied?

    • @joshjamescars
      @joshjamescars  Месяц назад

      I doubt that would be published anywhere, and warranty claims are ultimately up to the dealer (so every dealer is going to vary on how they handle problems).

  • @lydellleopold5884
    @lydellleopold5884 Месяц назад

    What’s the best third party warranty for a car that’s at least 10+ years ?

    • @joshjamescars
      @joshjamescars  Месяц назад

      At that point, I wouldn’t go after a warranty. Third party warranties are a whole other ball game that are mostly (if not all) scams. At 10 years old, the car is going to have problems and has been paid off for a while so you can just repair things as needed or trade it in.

  • @adrienchan2097
    @adrienchan2097 Месяц назад

    Prices are going up, not sure why buy later, and is all start from day 1 of purchase of car

    • @joshjamescars
      @joshjamescars  Месяц назад

      Because an extended warranty is meaningless if the new car warranty is still in effect. And no, it doesn’t get more expensive over time.

  • @gregjoubert5118
    @gregjoubert5118 Месяц назад

    I never was one to believe in warranties. But, in this day and age and the cost of parts and labor I definetly would get one if you plan on keeping the vehicle long term. If you haven't purchased one yet, do you have an email I can contact you? I may have some info that can help.

    • @joshjamescars
      @joshjamescars  Месяц назад

      This is exactly my thought too! And yes! It’s joshscarsofjapan@gmail.com, thank you!

  • @DCTroy
    @DCTroy Месяц назад

    Just sent you an email Josh. Great content - keep up the amazing work!

    • @joshjamescars
      @joshjamescars  Месяц назад +1

      Just got your email, thank you so much!!!

  • @wonderboy1998
    @wonderboy1998 Месяц назад +1

    You so right Abt how expensive it is to fix a car nowadays, the amount technology that goes around is to much.
    And you nailed abt them Koreans car and their warranty adv., I don't know if you saw in the news Abt a buyer in Canada bought a electric Hyundai and the battery went out and they were charging him 50k to change the battery, y'all he careful with Koreans and Euro cars

    • @joshjamescars
      @joshjamescars  Месяц назад +1

      Yes to all of this!!! And regarding Hyundai… I’ve had four or five friends who had cars with the Theta engines that failed. One of them took Hyundai to court for failure to honor their warranty when the engine died at 60K, another one had to fight the dealer tooth and nail, and the third just ditched the car and took a huge loss after the dealer refused to do anything about it. It’s why I’d lease one but I’d never ever invest my money into buying a Hyundai/Kia/Genesis.

    • @wonderboy1998
      @wonderboy1998 Месяц назад

      @@joshjamescars wonder if outside of US Hyundai Kia have same reputation of screwing their costumers not honoring their warranty promises

  • @Libby0617
    @Libby0617 Месяц назад +1

    Are you planning to get an extended warranty for your GX? Do you think it's worth given its reliability?

    • @joshjamescars
      @joshjamescars  Месяц назад

      I’m so far from that point I haven’t even really thought much about it, to be honest! Given that it’s a proven, old school, reliable truck with very little technology, I might not. But… we’ll see. The umbrella analogy still stands. 😅

  • @bngr_bngr
    @bngr_bngr Месяц назад

    Sounds like this is a product that can be easily sold directly from Toyota online.

    • @joshjamescars
      @joshjamescars  Месяц назад +1

      It really should be… it’s beyond frustrating that it’s not.

    • @bngr_bngr
      @bngr_bngr Месяц назад

      @@joshjamescars who wants to deal with a finance manager a second time🤦‍♂️

  • @billyrock8305
    @billyrock8305 Месяц назад +1

    Extended warranties are a cash grab from manufacturers and not just automakers. It’s FREE money. 😢
    If I bought a Jeep, Range Rover or Mercedes Benz it would be worth analyzing.

    • @joshjamescars
      @joshjamescars  Месяц назад +2

      It is if you don’t use it, it is, and honestly I’m okay with that too. But it can save you a lot of money (especially on the Prime) if something goes wrong later on. A new head unit for any Toyota is $2K or more and those go out all the time.

    • @billyrock8305
      @billyrock8305 Месяц назад +1

      @@joshjamescars
      Good point Josh! ✅