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SInce I bought the car barely 5 days ago, all the documentation is still in limbo. When I get my first bill, I have to call the dealership and verify everything.
I still haven't purchased the HOndacare yet. I will do so when I find that my EW has been cancelled for sure.
Thanks for the responses.
If you read over this forum, you will see that there are plenty of certified Honda dealerships that sell real Honda Care extended warranties over the internet for a very reasonable price. NO hoops to jump through and they are honored by any Honda dealership nationwide. the reason they sold you that warranty is not because it is better than Honda Care but they make more money off of the deal.
Check for yourself at this site and this site . As was mentioned you have several months and until you hit 6k miles to buy it (at the best price).
To give you an idea, the 8yr/120k/$0 deductible plan is $985 from either place. The other plans (fewer miles, shorter term) will be less.
Dennis
I just don't understand people sometimes...are all these buyers just that st...I mean naive?
The Sandman :confuse:
I'm just inexperienced, certainly not stupid. I don't see how it's so hard to understand that people are naive when it comes to buying a car. I mean, it's not like buying gas or something.
I bet the dealers LOVE for this type of people to come in - they deal on the car and think they got a good deal then the dealer gets it all back and then some.
You know what they say about a horse and water, you can lead them but can't make them drink it
Dennis
It is like folks on ebay - they know how to get on the Internet and find ebay, but they never check pricegrabber, shopping, nextag, etc to see what they could buy stuff for - so the overpay at auction.
The good thing about HondaCare is that you can cancel the plan for a 100% refund in the early days, so you can get out of the bad deal and into a discount deal (if you really want the coverage).
Dennis
With my first car negotiation, I got the advise of my dad, who had bought probaly 30 or so cars before. He told me about interest rates, although he always paid cash or charged it to the family business, downpayments, extended warranties...and then some.
Everyone should do all their research before even stepping thru the front door of any dealership and have a good idea about all the figures that they'd be willing to spend, i.e. the car price, what they'd settle for on their trade, the length of the loan, should there be one. We all have a target area for all these things, at least I do, and if any of the variables are outside my targets, I just don't buy. That's where the Bobst method comes into play...if enough dealers don't accept all of your variables, it's time to go back and tweak them until both sides can come to an agreement which makes both sides feel like it's a good deal.
The Sandman
Oh, yes, I buy Hondas because they work and because they are well enengineerednd last a long time... Go price a 1993 Accord SE with 160,000 miles retail. ~$5,400.-- not bad for such an old dawg and directly reflecting desirability and expected additional use of service...
Aloha and mahalo.
Hawaii CRV Guy
You might be able buy a 3rd party warranty for it (as your dealer tried to sell you), but I don't think I would go that route.
Dennis
Geez I just got a quote for the Honda Care that was cheaper than the apiprotection plan that was offered. He said he could sell me a plan at for four (4) years, 48,000 miles for $1050 with a $100 deductible but when I told him I live in Hawaii thats when it got dicey. I tried to register on line but it will not let me and maybe its due to the miles on the crv and maybe my computer just sucks. Who knows? I see that a rep posted on this site and wondered if he had any answers? Living in Hawaii sometimes things, warranties and deliveries are not available or honored. Even though we are part of the United States we miss out on a lot.
Its tough to live in Hawaii.
Mahalo again for your answer.
Tough call I think. Some will say its a classic rip off, that Hondas are among the most reliable on the road, others will say Hondas do actual need repairs sometimes. Its a gamble either way.
Good luck. And yes, Hawaiians do get discriminatory treatment on things like this, but that's the price of living in paradise (been there twice).
How does a 2005 CR-V get 40,000 miles on it in Hawaii? Was it used as a taxi or something? That would have put me off buying it (warranty available or not) - you would think HI cars would not be high mile cars unless used for biz purposes.
Dennis
The car belonged to a serviceman (not known if officer / non-com) who bought the vehicle when he was home in Georgia of all places. He bought it then was transferred for training to California. Then in 2006 he was transferred to Hawaii, he has that military sticker on the crv. ***Don't they need that to get another one?*** Anyway, when he was in Hawaii it already had 35,900 or something like that so while in Hawaii he only but on 6,000 miles and then turned in the car to either a Toyota Servco dealer or someone who put it up for auction where the Toyota servco guys bought it and then I bought it. Thing is awesome condition and that engine looks like it came off the assembly line. I used a used car check list and spoke to my friends who work at Honda and they say the crv is a no trouble vehicle just the air conditioner craps out but that the rest of car rarely rolls in for anything except routine service. The car was actually a 2005 but sold in December 2004 must be one of those early year specials or something but yeah I was like huh? When I saw those miles.
Thanks for the responses everyone.
Aloha.
Did you ask about the cost of this repair? Someone I know had the compressor fail in their Accord just out of warranty and the repair cost exceeded the amount you posted for the HC warranty quote.....
Of course, when you live in paradise who needs AC? Just roll down the windows and enjoy
Dennis
Ultimately that is ALL that matters. If you are satisfied with the transaction, then that is all that matters!
Exactly
I bought my 07 CR-V last night. I was really surprised at the F&I guy's reaction when I said that I didn't want any of his plans. Including his stinking GAP insurance. I knew that I would buy my warranty from an online place. He did the typical spiel. Then he said, "I can offer our premiere plan for $100 a month. It includes gap insurance..." $100 a month?!?!?! WTF? He went in his desk and showed me a report in which someone (with a 15% interest rate) and used his GAP insurance when his 06 Accord was totaled. I said, "Um. So, you mean to tell me that I would fork out 6000 dollars to save $4000?" No thanks. Oh check this out. It was for a 6 year/75K warranty!! Highway robbery!
Have they lowered the pricing schemes to reflect this?
before the basic warranty expires?
I own 2 Hondas: 05 Accord V6 Sedan, purchased June 2005 (21 months ago), and 05 Pilot EXL, purchased Dec 2005 (14 months ago). After I bought the Accord I reached the conclusion, after digesting a long explaination of HC from you, that I should wait until the 23rd month of ownership to purchase HC, as the price structure stays the same if purchased under 24 months, but the refund timeline (should I sell the car) is more beneficial to me. Not to mention delaying the outlay of cash. Well, I am back now, approaching 23 months on my Accord, and here are my questions:
1. Have the policies changed on HC? I've been reading in this forum and there has been a lot of talk about buying within the first 6 months?
2. Previously, you mentioned College Hills, Jay, Curry, and Griffith as the best pricing on HC. Is this still the case?
3. How much leverage do you think I would have if I bought HC for both cars at the same time? Would you do it?
4. I assume you are still a firm advocate of HC?
Thanks in advance for your response.
Many people skirt around this issue by supplying a non-Florida address when buying a Honda Care warranty. Once purchased the warranty is good anywhere in the country.
Yes, they did change the rules and rates for HC. Used to be the price did not go up until 24 months, now you need to buy within 6k miles (and maybe 6 months?) to get the best rates and the most options.
Last time I checked, Bernardi and Saccucci were the two lowest price places. It has been a while, so I would check around to get the best prices for what you want.
The lowest online prices are said to be just over dealer cost, so I don't know that buying more than one HC policy at a time will net a better deal - but it never hurts to ask.
I liked it better when you could wait 23.9 months to buy for the same low price, then net more of a refund should you cancel the policy (trade the car, total loss, etc). I still think it is worthwhile if you are going to keep the car for lots or miles or years - and I think it makes a terrific sales tool if you decide to sell your car later on. You can offer someone a CPO-like (or better) warranty for less than a CPO car from a dealer. With a Honda you don't have to have an extended warranty, a lot of folks will say - and they may be right. For sure if you get one, get HC though.
Dennis
Another question for the guru. Just bought 07 Odyssey Touring w/Nav, about 700 miles on it. I understand I have until 6K to get HC at lowest rate. We will likely keep more than 3 years but may want to trade in around then, esp if minis will be hybrid by then.
Question is, if we're unsure about how long we plan to own, should we get HC or not ? and according to the HC pricing sheet, getting HC after 6K and before 3/36 seems to be only $2-300 more than getting it before 6K -- is that correct ?
Thanks much.
1) try to get name and phone number of dealer manager or better yet dalership owner; even if you only get his/her secretary, that's a good place to escalate. Worked for me when dealer I bought from tried to squirm out of a trade in offer advertisement, and I ended up with the best deal possible.
2) send certified letter, return receipt, confirming cancellation, w/dates you spoke and date of your first letter.
Take a look at your policy and it should have a toll free number. Call it and cancel it yourself. Then wait about a month or so and buy one online.
Look on the warranty paperwork and try to contact this 3rd party company directly to get this cancelled as well. Send THEM a letter as well with a receipt.
If you financed the warranty in with your car it is likely you will not get a refund. They will either change your monthly payment down to reflect less money borrowed (the amount of the warranty) or they will reduce the NUMBER of your payments - take it off the back end of the loan. So you pay the same amount each month, but make 57.3 payments rather than 60.
If you do not buy your HC warranty before you hit 6k miles then you will have to pay a penalty in price, so don't wait too long for those return phone calls.
Dennis
Weigh that against how much you would lose if you cash out. I don't have one of the new policies so I don't know if the refund calcs have changed or not, but it used to be you got back the "unused" portion of the warranty, less a fee ($50?). "Unused" was calculated as the months or miles used against the months or miles you pay for - and they use the number that returns the lesser amount to you. So if purchased an 8 yr, 100k plan and drove 50k in 3 years you would get back 50% less fee. If you purchased a 6 year, 80k plan but only drove 15k in 3 years you would get back 50% less fee.
If you look at the new policy refund formula and run the numbers, you may come out OK buying now and getting the refund then VS waiting and paying more. The biggest difference would be the loss of use of that money for the next 3 years if you buy now.
Dennis
I bought the warranty against my better judgement.. I've never used it..
But, the main reason I bought it... was to quell the excuses I make to buy a new car.. In that sense, it's worked..
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What they do with the refund does vary. If your loan has not funded, then they could have the bank/finance company adjust out the cost of the warranty so you net a lower payment. This is the best and easiest way. If they can't do that, I just wanted to warn you what COULD happen - they just apply warranty cost to the back end of the loan - so you pay the same payment, just fewer of them. I have heard of this happening once the loan is funded, coupon books (if any) printed up and sent out, etc.
Everyone should go into the car deal with all eyes wide open. Do your homework on the price of the car - look at invoice and incentive prices here and elsewhere, look in the prices paid forums here to see what folks are able to get for the same car. Then you will know what is a good deal on the PRICE of the car.
Then secure your own financing before you step onto the dealer lot. Get it from your bank, credit union, or capital one online. If the dealer can beat your rate for the same term, simple interest, so setup or pre-payment penalties - then let them do the loan. Then you know what a good rate is for the loan.
Check the prices of any accessories you might want to buy and have the dealer install. Check the discount online dealers for a good price on the stuff - but don't forget installation does cost more. I have gotten folks great price deals on cars, then they way overpaid for add-on stuff. Then you know a good price is for the add-ons.
Check the extended warranty terms and prices before you go. Most all of us (except FL folks) can find an online dealer who will sell us a real factory backed warranty (if one is available) for less that the local dealer will offer. If your dealer can match the discount price, then buy it - otherwise wait and buy online for less at a later time. Then you know what the warranty should cost.
So you do all this BEFORE you call, e-mail, or visit the dealer. Then you can get a good deal on the car, the financing, the add-ons, and the warranty with a minimum of hassle and fuss.
Dennis
"If you financed the warranty in with your car it is likely you will not get a refund. They will either change your monthly payment down to reflect less money borrowed (the amount of the warranty) or they will reduce the NUMBER of your payments - take it off the back end of the loan. So you pay the same amount each month, but make 57.3 payments rather than 60."
Actually, the finance manager told me that I will receive a full refund, and the $1400 will be deducted from my bill. I bought the car a month ago, and i haven't received my first bill yet. What I'm concerned about is being charged a finance rate (about 120 bucks) for the $1400 on my first bill because the EW isn't deducted fom the bill yet. If they did try to charge me a finance rate for the EW, I can fight it, right?
Man, I hate dealing with freaking greedy/shady business people. And it looks like I'm not the only one who's had problems with cancelling my EW.
http://www.insiderpages.com/b/3711396720
If you scroll down to "Pregnant woman trying to get warranty refunded," it's very similar to my situation. It's at the same dealership too!