Is the extended warranty really worth it? I know that toyota usually produces reliable vehicles, but being how the xb is still fairly new I am considering the warranty.

 

From what i have read here, you can purchase the extended warrenty after you make the pruchase of your Scion. You dont have to make that decision right now. I have one, it only cost me an extra thousand, and included GAP insurance too.

I work under this theory .... if i didnt get it, it would break just as the original warrenty ran out. JMO

 

Same as Chris with me. Key is to get a GOOD extended warranty and read what it covers and what it doesn't. The Toyota ones are usually very good. Heritage ones, not so much. I've seen lots of people save TONS of money with these.

If you plan on keeping your car past the factory warranty, buy one.

If it sways your decision any, most of the technicians in my shop have one on their newer vehicles.

-Alex

 

thanks for the help

 

another way to think about it:
if you get the 6 year 100k warranty for an extra $1000, you get to finance it into your car payment, it adds a few bucks a month, no big deal. if something goes wrong, you're covered, if something doesn't, well then great, you don't have to deal with the aggravation and you're paying for the peace of mind.

if you don't get the warranty, sure the vehicle is reliable by nature, but if ONE relatively big thing goes wrong after 36k, you're screwed with the repair and can't finance the cost of it out, you have to pay the mechanic/shop all at once. not having to scratch up the cost of the repair all at once is worth it to me. my '04 xB has the 6 year 100k and GAP insurance.

 

Mine is the 7 yr. 100K mile warrenty with GAP. BTW .. my warrenty is through Toyota, and is the Premium. Not an aftermarket warrenty.

 

standard powertrain warranty is 60,000 miles 5 years

 

alright, what i meant is bumper to bumper stuff. 3 years 36k bumper to bumper compared to 6 years 100k bumper to bumper, which is the warranty i purchased. does the 60k powertrain cover accessories, I.E. alternator, AC compressor, stuff like that, or just the longblock, transmission, etc...?

 

I did not purchase an extended warranty for the xB. It is not a new model and has been proven in Japan for some time.

The premium you would pay for a warranty will pay for the repair or a good portion of it if you need it. If you don't have any repairs, thats money saved.

The basic warranty is very good. Most defects will show up during the warranty period.
Let's face it, the warranty program is a money maker for the dealer and Toyota, why do you think that is?

The dealer tells you to buy the car because its so good and reliable... Then as soon as you make the purchase, they tell you to buy the warranty as something is going to go wrong for sure.

Why would you want to finance the warranty? That just makes the whole thing more expensive... better off getting interest for that money or having the money invested working for you.. IMHO..

 

you don't sound like you're 23, relatively fresh out of college, and buying your first new car like i am. for me, if something major goes wrong with the car, i don't necessarily have the money for the repair to get the car back on the road, and paying an extra $20 something dollars a month factored into my car payment is 100% worth the peace of mind of knowing i'm covered until i hit 100k. the warranty also covers a rental car and hotel stay while the car is repaired if you're stranded due to mechanical failure...

yes, you could take that $20 something a month and invest it and possibly come out a few hundred bucks on top in the 5 years i'm financing my car, but honestly, i would probably spend that $20 a month on something frivolous if it weren't part of my car payment, not save it.

 

You are correct... I'm not 23. I understand your points mentioned and I do agree with some of it.
I am not against extended warranties as I have one on my Z06. I drive it hard and its a Chevy... so I bought the warranty... Not the case with the box.
I used to buy the extended warranty for my Honda cars...
I have owned many Hondas and had a few warranties... Never had the need to use them. Toyota built its reputation on reliability... I'm betting that the car will be problem free...

So you don't think $240 a year is worth savings? And you are paying that amount for the the first 3 years when you don't even need the coverage...

Two sides to every thing

 

and my side is that IF, yes IF, something relatively large fails at 61k, 80k, 99k, whenever, it's covered. i went into buying my first car aiming for $300 a month or less with no down payment, and with that figure in mind bought an extended warranty instead of $350 fog lights, or lighted cup holders, or any number of other overpriced accessories many people opt for.

i came from owning 12 older volkswagens before the box. i'm tired of fixing things myself when they break, which means all the time w/ older VW's. my project cars are still VW's...i love working on them when i want to, not when i have to to keep them on the road. in buying daily transportation, my goal was a $300 a month car payment, nothing down, and a warranty to cover me for 100k, which for me will be about 3.5 years.

i understand your argument, but honestly, the xB would still have been a bargain at $15k instead of $14k. i gladly paid the warranty cost because a lot can happen in that 64k bumper to bumper and 40k powertrain that i purchased in addition to the normal factory warranty. the fact that nothing will likely go wrong is the reason i bought the xB instead of a new volkswagen, but there are still too many things to break in a new automobile.

 

My dealer only offered a 6yr/75k mile for $800. I took it, added GAP for $385. .

 

I work at a Nissan dealership and let me tell you, it never fails that someone doesn't purchase an extended warranty and something breaks or goes "bad" on a vehicle, after the regular warranty expires, and then the owner of the vehicle is wishing that they had bought one...

 

Do you know for a fact that the vehicles are identical? Are there different emissions standards between Japan and the US? Are all the electrical components the same? I understand what you're saying, but if there are new/different parts in the xB (vs. bB) then those are potential points of failure. And regardless of how well things are designed and manufactured, they are still subject to wear and defects.

Well, with my credit score, the interest was only 4.5%. It was more beneficial for me to finance the warranty at 4.5% and free up my cash for investing in my stock portfolio that has been returning 25% annually.

By leveling my monthly payments, I free up more cash for investing and use elsewhere.... rather than have to have a reserve for unexpected and costly repairs.

There is no single "best" solution... you have to look at your own personal finances and life situations and assess the alternatives based on that.

 

Hmmmm....my dealer didn't even offer me an extended warranty

 

Sometimes you get lucky and sometimes you don't. You might be able to drive a Scion for over 100k miles with no problems at all. But things happen. I bought the extended premium warranty that basically takes my bumper-to-bumper out to 6 or 7 years (I forget which). Stuff like power window motors, alternators and A/C compressors could easily cost more than I spent on the warranty. I'm glad I got it.

 

exactly. i recently went through the mitchell crash guide for the '04 xB, which details most of the major parts in the car, including stuff like window regulators, motors, ABS units, various electronic modules, etc....

to add the car up in parts, from scratch, including all new sheet metal, would be over $87,000. the parts prices are absolutely ridiculous, particularly stuff like seat frames, ABS pumps, steering rack, etc...

if one major thing goes wrong, I.E. ABS malfunction or some such, the warranty is paid for. also glad i got it.