When you buy from them, the Honda Care contract still comes from the Honda Corporate office exactly as it would if you purchased it from your local dealer. The Honda Care is entered into their nationwide database so that whichever Honda dealer you take it to for service, they'll immediately see that you have coverage when they pull up your VIN number.
I use the Honda Care I got online at my local dealership and I don't even have to show them any paperwork. They see I have coverage and they make the repair. It's a great system.
Florida state law prohibits sale of warranty to residents. It would appear that the dealer associations in Florida have a lot of influence on the $$$ politicians, Alternative is to register car in another state, then transfer to Florida. This is an undesirable alternative and make sure you check out all costs and ramifications of doing this. I was quoted 3,180 for the Honda Care 8/120/0 warranty. I see this same coverage on the internet (states other than Florida) at a price range of 985. to 1,485. Nice markup for the dealer. Also, remember to re-elect the career politicians who support this law.
Since the message you responded to was posted in January 2003, I suspect that person has already found or declined coverage by now!
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Since the message you responded to was posted in January 2003, I suspect that person has already found or declined coverage by now!
Regardless, the restrictive laws of Florida remain preventing all Florida residents from purchasing extended warranties out of state or even negotiating extended warranty prices with in-state dealers.
Many posters have mentioned saccuccihondacare.com . When I priced recently, they were very good, but readers may want to verify that by comparing quotes from the following sites:
I thought I'd share my story, since I wish I had done more research before I was presented with the Honda Care option at closing. I was rushed into buying the warranty by a closer ("Billy") who gave me the hard sell, after different, very honest salesman ("Frank") sold me the car. The letter I wrote to the car salesman basically summarizes everything -- I'm pasting it in. (I've changed the names since I don't mean to single out the individuals or the dealership.)
BEGIN QUOTED LETTER:
Dear Frank,
Thanks for fielding my question this evening. Here are the details, as promised.
Yesterday Billy sold me the Honda Care extended care warranty, 8 years / 120k miles, $0 deductible. He charged me $2119 (or about that much -- calculating it exactly is difficult, as I'll explain below).
Today a Google search easily turned up dealers who will sell that product for much less. I have two personalized price quotes, and am expecting a third. (The dealers I found are in Rhode Island, Massachusetts, and Ohio.) So far, the best offer is $1295. This is for exactly the same product Billy sold me: Honda Care extended care for my new Odyssey, 8yrs/120k miles, $0 deductible. Here is the quote I received by e-mail from a Honda dealer today:
Pricing for vehicles under 6,000 miles $0 deductible plan D82 8/120k $1295
Google also turns up many discussions (on Edmunds.com and other sites) about how dealers have a lot of flexibility in setting the price of Honda Care and how most dealers inflate the price. I fault myself for not doing my homework, but I have to say that Billy was also dishonest with me. I explicitly asked if I could wait to decide and buy the warranty later, and Billy said, "It will always be cheapest if you buy it when the car has the the lowest mileage." This isn't true. I also asked if I could shop around and get the best deal on the warranty, and Billy said, "You will always get the best deal from the dealer who sold you the car." Also not true.
I see that Billy was giving me the hard sell, but I can save about $825 by buying the warranty elsewhere, so this is a no-brainer. I know I can cancel the extended warranty Billy sold me, so I intend to do so and buy it for less elsewhere.
But it won't be enough simply to cancel the policy I bought. That's because the price for that warranty that shows up on the paperwork is only $1948. However, when Billy sold me the warranty, he played with the accounting. He quoted me a price of $2119 (or thereabouts) for the warranty, which is what we agreed to. I declined every other product he offered. Then he said, "Since I'm supposed to try to sell at least two products to every customer, I'll give you the security system for no charge"; he then did some recalculations, reducing the price of the warranty by $161, and charging me $161 for the "security system". (This itself is kind of fishy; if I were Billy's employer, I wouldn't want to create incentives for him to engage in such peculiar accounting.) Since I only "bought" the security system because Billy convinced me it was really "free", I will also expect the dealership to refund me the money that was accounted toward the added "security system" ($161, plus $9.66 tax).
(The reason I don't know the exact price we agreed on for the warranty is that I don't know if Billy was including the tax when he recalculated the price of the warranty.)
There is one more thing, Frank. The price quote I have for the Honda Care warranty indicates that there is a $100 fee for re-purchasing Honda Care after a cancellation. Here is the language attached to the price quote I pasted above: "*Re-purchase Surcharge: The above prices are for vehicles that have never had a Honda Care plan purchased for them. If you have previously had a Honda Care contract on the vehicle and cancelled it please add $100 to the price. Please mention the previous cancellation when ordering your new plan or the contract will not be valid."
When I purchase the warranty from another dealer, I would not have to pay this $100 surcharge if Billy had not sold me the Honda Care policy yesterday. Since Billy sold that policy to me under false pretenses -- indeed, with outright misinformation -- I think it is only fair to ask him, or more likely his manager or whoever structured his perverse sales incentives -- to compensate me for it. Therefore, on top of canceling the existing policy, and receiving a refund of $170.66 for the "security system", I will expect the dealership to cover this $100 surcharge for me.
Frank, I would like to get this taken care of soon. There is a difference of $833.66 between what I paid yesterday and what I could have paid for the same product somewhere else; that is not an amount I can ignore, as I'm sure you understand. You have been fair and honest with me, and so I'm coming directly to you to ask how I can work this out quickly. Thanks in advance for any advice or help you can offer.
Thanks,
Joe Carbuyer
END QUOTED LETTER
In the end, the dealership did the right thing and offered me a fully refund for the difference. So all turned out okay -- indeed, the dealership's integrity in responding to my letter regained my trust. But the moral of the story for carbuyers: remember to do research on all added products (financing, warranties, etc.), and not just on the car, before you go for closing. And if you do research after the fact, and think you've been given bad information, it can be worth it to bring it to the attention of the dealer.
I see this all the time. Everyone focuses on the price of the car, gets a good price negotiated, then gives it all away in the F&I office buying warranties and / or overpaying for loans. Folks should spend just as much time researching loan and warranty prices before they step foot in the dealership as they do on the car price.
When my daughter got her Civic she did want to buy Hondacare, but we printed off the cheapest online quotes and took them with us. When the hard sell started she shut them down quick by simply handing them the quotes. Beat this price or I guy elsewhere. They opted to quit the hard sell and move on. Ditto the financing, get pre-approved for the loan from you bank or credit union on online source at a nice rate. When they push you to finance with them, tell them if they can beat your rate for a simple interest, no set up fee loan then you will take it - otherwise you use your pre-approved loan. Makes the whole F&I process short and sweet in most cases and you don't overpay.
I purchased a Honda Care policy from my dealer when I purchased my new car from my dealer several days ago, at an inflated price, of course. Now that I found this site and see the prices I can purchase it for I would like to cancel and purchase at a lower price. I know I can cancel the current policy, but there is a clause in boldface in there that says "IF CANCELED, COVEREAGE CANNOT BE REINSTATED." I am concerned that if I cancel, I will not be able to buy from someone else, even if I pay the extra $100 that I see some of you referring to. Has anyone done this, and have you had any problems? Thanks.
Where is that bold clause? It doesn't sound right to me. Or it could mean that the same policy can't be reinstated, but a new policy could still be purchased. It sounds ambiguous.
Anyway, you might start by writing to the dealership that sold you the warranty, explaining that you think you were overcharged. Indicate your intention to cancel, and (if you think that they misrepresented your options when they sold you the policy) ask them to cover the $100 surcharge for re-enrolling elsewhere. They may be as honest as the dealer I dealt with and simply offer to refund you the difference, which saves you the trouble of canceling and repurchasing elsewhere.
(Note that if you do get to talk to someone at the dealership, don't let them try to convince you that the extended warranty is the only place they made their profit on your transaction -- they still made something on the sale of the car, and if you traded and/or financed they made profit there too.)
That sounds bogus to me as well. Lots of folks over the years have been ripped at the selling dealer, cancelled, and purchased elsewhere. As learningcurv1 says that probably means THAT policy, and not any other policy. There should be a toll free HC number in your paperwork, call them and talk to them about it. There COULD be some new rule or policy and they can confirm it or set your mind at ease. I you can't find the number, search this forum I have posted it here before several times.
One thing for sure, if you FINANCED the HC policy along with the car, then you have some hassles. They will refund the HC back to the bank and not to you. Most likely the bank will just apply it as an extra payment so your monthly note will not change the refund will come out of the bank end - at the end of the loan - with fewer payments.
Thanks everyone for your responses. I've gotten this taken care of. I called Honda Care, and the wording does mean that that particular policy cannot be reinstated. A different policy can still be purchased. So I went to the dealer and cancelled the policy. I ended up buying a policy for an extra year (7 instead of 6), and an extra 20,000 miles (120,000 instead of 100,000), and it cost $160 less than the original policy had cost. It was still $45 more than what I could have purchased it for on the internet since I had to pay tax and would not have had to if I purchased out-of-state, but I decided my dealer was now offering me a fair price, and I decided to give the sale to him. He was actually very nice and did not give me a hassle about canceling the original policy, so I guess he really is a good guy. Thanks to everyone for their help.
Glad it all worked out. Moral of the story is to do pricing homework on the car, the extended warranty, and financing rates before stepping foot in the dealership.
I was searching the old messages while you were posting your message, the number for HC that I posted is (800) 999-5901, if anyone needs it.
I find it hilarious that everyone pisses and moans about warranty coverage purchases if they find it cheaper somewhere else. No one bitches about the car sale price or the service bill or even the price of an oil change, AFTER they bought it. You were sold a product for a negotiated price, you seemingly lost the negotiation and came to your senses after the fact. To bad for you. Dont complain to the dealership for making money on you. Do you seriously think the dealer is not in it to make money. (Hello!!! Big Dealership, Costs hundreds of thousands a month to operate!!! Hello!!!!) So the guy charged you an "excessive" amount for 8 years of coverage. I feel that the price was no where near as bad as it could have been. Just like health insurance, you pay that no matter what. You dont "really" have a choice... but you want the coverage to feel secure. I feel as though "Billy" did you a favor. He could have just plain old charged you the $2149 whatever for the warranty and not given you the "security system". He could of not offered the warranty to you at all.... then you would be none the better for not knowing about it. And lets be honest, it was all about the "Payment" with you anyways. Now you feel you've been had because you "Payment" bought the warranty. You should feel lucky he did that for you. Moral of the story is, all these internet prices are from "HUGE" dealers who dont mark up the warranty AT ALL. They get volume incentives from Honda for all the warranty sales. With this profit, they can sell them for cost and make no "up front" money. And honestly, is the dealer in TEXAS going to fix your honda when it breaks. Don't piss and moan with the dealer about how they screwed you and then expect them to "FIX" your car under warranty when it breaks. If I were "Billy's" dealership and I knew of all this B.S. you moaning about, I wouldn't service your vehicle ever. Oh, thats right, there are probably no more honda dealers for miles from where you live.... WAKE UP!!! Don't piss on the the dealer that can help you down the road. The smaller dealers, where "Billy" is from, need to make a profit on the near 100 pathetic car sales a month or "Billy" and the rest of the sales and service force dont eat that month. So why dont you worry about bigger issues than the lousy $100 that you feel so entitled to. The true moral of the story is that you didn't do your homework and got schooled by the Finance Manager, "Billy". Just feel good knowing that the little profit that the dealer made of your purchase went to help feed many families in need in today's economic roller coaster. Next time, do your research, BEFORE, you buy. Lol...
This response doesn't really speak to the issue. What was at stake was not $100 but $800+. But even so, I would not have complained if "Billy" had been honest with me. I agree that dealers have a right to make a profit. But they don't have a right to deceive customers with deliberately false information. I asked Billy if I could buy later, or elsewhere, and he did not give me honest answers. There is a difference between a fair profit and a hard sell based on deception and pressure. Thankfully, this dealership recognizes that difference and owned up to it, refunding me the difference. I haven't been unfair to the dealer, and they still made a profit from the transaction (in fact, they made a profit at three points: from the sale of the vehicle, from the trade-in, and from the financing).
Also, you don't seem to understand how HondaCare coverage works. I can take my vehicle to any Honda dealership (including Billy's) for service, and when they do the work they will get paid by Honda. So a dealership doesn't lose further business by allowing someone to purchase HondaCare coverage elsewhere. In fact, in this case, the dealership earned more future business from me by admitting its mistake and making me whole. Honesty is always good business.
The warranty is between the buyer and HondaCare. The dealer that works on the car gets paid by HC to repair a covered car. It does not matter if the person purchased the car or the HC and that dealership or any other, they get paid the same and should be glad to make the money on the service. If they don't honor Honda warranties and Honda backed extended warranties,then time to lose the Honda franchise and sell some other brand of become a used car lot.
Being a "loyal" customer means pretty much nothing these days. You are not likely to get preferential treatment or even acknowledgement from your selling dealer compared to folks who purchased elsewhere. With The high turn over rate at most dealership the sales-folks that sold you the car will not be there if you ever needed help, and odds are pretty good the finance person, sales manager, and GM may not be around then either. If they are, you are yesterday's news to them in most cases.
I get the cars where I get the best deal - be that in town or 3-4 hours out of town. I get the service done at any dealer convenient to me that has a competent service department. If I wanted HC, I would get it where the cost for me is the least.
Based on your few posts and all on the same subject, you sound like a frustrated F&I person at a Honda dealership. You can't compete on price so you choose to come online and whine about it and berate folks who get taken or try not to. Perhaps you should disclose where you work so everyone can stay away from your dealership, since you clearly have the best interests of the customer at heart? "I wouldn't service your vehicle ever" - classy, very classy.
Thanks for this post. Years ago on my 2001 Ody I shopped online for an extended warranty, and used the information from that with my local dealer, who met or beat the price (can't recall). Now, with my 07 Ody, I needed another one. This list helped. I contacted all of them plus bernardiservicecontracts.com. Bernardi and Saccucci were the most competitive (for my situation) and very professional and prompt. Very easy process. I ended up going with Bernardi.
During the financing process, the manager tried to sell me the Honda Care plan with 8yr/100K. I turned him down because I knew I could find better deals outside of the dealership. He was persistent with his sales pitch but I wasn't buying.
But here comes his final sales pitch and I got suckered into it. He said, "Honda care is only offered at the time of purchase and you can't buy it after you sign the form. Of course, I bought the plan for $1700 and found out I could've bought the same deal online with a half the price. I know I didn't do my homework on extended warranty and I'm the one to blame. At least I can cancel it and get full refund within 60 days.
Here is my question:
Are they allowed to do such thing? Should I cancel it and get a refund or try to get the dealer to bring down the price?
I still can't get over the fact that the finance manager lied to my face and I bought into his crap.
A lesson learned: Do your homework on car pricing as well as on extended warranties.
Sweeping generalization: How do you tell when a car dealer is lying to you? His lips are moving (insert rim shot here).
Just kidding, there are plenty of honest folks in the car biz - but some that are not.
Used to be, maybe still is, if you wanted the factory backed GM extended warranty the cheapest time to buy was THE DAY you got the car. The next day or week or year the price was always higher. What some clever online GM warranty dealers did was let you fill out and date the application and give them everything they needed to purchase the warranty for you, then waited until you gave them the go ahead that you had picked up your new car. So rather than being trapped into overpaying with the selling dealer, you picked up the car then e-mailed or called the cheap warranty dealer who processed and dated your stuff the same day. You got the discount, they made a little money, and everyone (except the price gouging selling dealer) was real happy.
Never heard of that with Hondacare, however. I would call them on it and just cancel and re-buy online and pocket the change. If you financed the HC in with your car then you are hosed, since they will refund the BANK for the cancelled HC and not you. That amount will come off the bank end of your loan so you have fewer payments to make, but the payments themselves will not go down.
We see / head similar tales of woe all the time. Folks negotiate hard on the price of the car, but give it all back by overpaying for their loan or lease, accessories, extended warranties, and worthless "mop and glow" in the F&I office. Everyone should go in with pre approved financing from another source, knowing the real price of warranties and accessories (and the car) and be able to calculate their own taxes and payments. Even if you don't buy a warranty or other ad ons, some dealers are bad about slipping the stuff in anyway. The payment goes up a little and the customer thinks they got a great deal but did not pay what they THOUGHT they were paying.
See my previous posts before, including the letter I wrote when this happened to me. Tell the dealer you intend to cancel, and tell them you expect them also to cover the $100 penalty for re-enrolling. Why should they cover it? Because they sold you a contract under false pretenses -- they lied to you. (They know they could get in serious legal trouble if you brought this to the attention of authorities -- you don't have to mention this to them, because they'll know it.) In response, probably the dealer will do what mine did -- save you the trouble and offer to refund the difference.
I was quoted the following price for the Honda care package my local (IL) Honda dealer. 8year/120,000 mile zero deductible $1495.00 with 0% financing for 12 months. The entire amount ($1495.00) would be refunded if I make no claims.
The entire amount ($1495.00) would be refunded if I make no claims.
Read the fine print carefully. Sometimes, you have to wait out the full 8 years before they let you get the full refund. 8 years is a long time to be locked into a car.
Also, if you have an issue that costs $300, chances are you may not file a claim. And then the following year, you have another $300 issue, do you file a claim then or pay out of pocket again?
You can get a 8 year/120K for less than that from http://www.saccuccihondacare.com/ and you can use for anything that comes up big or small. Then if you sell the car before the coverage is over, Honda will give you a prorated refund. In my opinion, that's the better option.
I am ready to buy a new 2010 CR-V from my local Honda dealer. After getting him to agree to bring down the price he offered an extended warranty for 8 Yrs/120k, $0 deductible for $1795. After reading some blogs here I am under the impression that this is way too much. I told him I would think about it and walked out without signing any contract and without the car. Where can I find a much lower price for a comparable warranty here in CA?
Thanks for the advise. I have been offered similar extended warranty deals from my credit union. I will contact other Honda dealers as well as negotiate with my current dealer. The EX-L w/RES is a wonderful minivan but chuck full of electronics and I am concerned that one or more will quit after 3 years. I am pretty confident that the cost to repair any one of these sensors will exceed $500.00.
Its not part of the HondaCare contract but its the dealer trying to be competitive with my credit union. Essentially the dealer is making a side bet that there will be no claims. The refund is 8yrs or 125K miles which ever comes first. If you are not a member of a credit union join one. They offer the best rates and best overall deals.
Are you really certain that your dealer is offering HondaCare with a refund if not used. My dealer made a similar offer last year and I had to really press with specific questions before he would admit it was not HondaCare but a third party plan that was "better". The promise of a refund in 8 years is of no value if the company is out of business in 5 years or less. Make sure you are really being offered genuine HondaCare, I would be surprised if you are.
Are you really certain that your dealer is offering HondaCare with a refund if not used.
I've seen where some dealers do this. You pay more for the Honda Care up front (the dealer pockets the difference.) And Honda Care does not pay the full refund, the dealer does---so essentially it's a separate side contract with the dealer.
This has come up before. There used to be a Honda dealer that sold HC online with the full refund "gimmick" and the price was pretty steep compared to other discount HC dealers.
The pro-rated refund is between you and HC - they use your current months and miles against the age and miles at the time your purchased HC, along with what you paid, to determine your pro-rated refund amount. They take out a free and refund the rest to you (assuming you paid for it yourself and did not finance it with the car).
In the refund deals I have seen you had to keep the car until the warranty ran out and never have used it for anything. They would charge several hundred extra for this "premium" coverage. They figure most folks will sell or trade before the policy is up. Then there will be those with wrecked cars and folks who had to use the coverage. The rest, they hope most forget all about the coverage and forget to cash out. HC folks once told me LOTS of people forget or do not realize that their HC is pro-rated refundable and never ask for any money back.
To me, paying more to not use the coverage does not make any sense. Either get it or not. Keep in mind that even full money back HC should also be pro-rated refundable should you cancel before the full term is up (for any reason). They still keep more of your money but it should not be all back or nothing.
We just bought a new Odyssey and are thinking about getting Honda Care. It includes roadside assistance; is the roadside assistance only for the covered Honda vehicle, or is it tied to the purchaser of the warranty? (I.e., does it function like AAA roadside assistance, or is it only good for the Honda it's tied to.)
Hello, I just brought a brand new 2007 Honda Accord EX-L V6. My dealer is offering me extended warranty through Costguard for 3yrs/36,000 miles for $1217. Was wondering if this is an expensive deal. If yes, any suggestion for alternative please.
Thanks for the reply. Well, I brought the car from Honda Authorized dealer and the car was leased for three years. Also, I m not eligible for Honda Care since the car has passed three years and has 44012 miles on it. Any suggestion.
After cancelling my 'well-over-priced' Honda Care, AHFC just sent me a letter saying I will get a refund check within 15 days. I understand that if you financed your honda, they will refund the money to the back end of the principle and not give you a check to you right away. Is it normal for them to issue a refund check even the car is financed?
I understand that if you financed your honda, they will refund the money to the back end of the principle and not give you a check to you right away. Is it normal for them to issue a refund check even the car is financed?
If you financed the Honda Care as well as the vehicle, then no, that's not normal.
I recently bought Accord LX-P. Dealer tried to offer me extra warranty for $1100+. I was not sure about the price. I declined it. Any info regarding this warranty. How much it is useful.
Hello, I purchased an used 06 Civic with 55K on it. Seems Hondacare is not applicable. Warranty Direct is offering 3yr/36K ExtraCare Plus warranty for $1500. Is it worth the price? I got a similar quote from AAautoprotection. Are there any alternatives? Does any dealers provide similar warranties? Please Advice.
I have never purchased an extended warranty on a new car before. I just bought a 2010 Accord EX-L and am wondering if Extended service contract to 5 yr 60K miles for $520 and roadhazard $295 and dent wizard $250 for total of $1000. Is this a good deal or was I taken over the coals???
Comments
You can get it online for a lower price than you can probably get it in your area. Get a quote from a site like:
http://www.saccuccihondacare.com
When you buy from them, the Honda Care contract still comes from the Honda Corporate office exactly as it would if you purchased it from your local dealer. The Honda Care is entered into their nationwide database so that whichever Honda dealer you take it to for service, they'll immediately see that you have coverage when they pull up your VIN number.
I use the Honda Care I got online at my local dealership and I don't even have to show them any paperwork. They see I have coverage and they make the repair. It's a great system.
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Review your vehicle
Regardless, the restrictive laws of Florida remain preventing all Florida residents from purchasing extended warranties out of state or even negotiating extended warranty prices with in-state dealers.
The law should be changed.
collegehillshonda.com
curryhondacare.com
hyannishondacare.com
jayhondacare.com
Some sites offer instant quotes; some you need to wait about a day for a response.
BEGIN QUOTED LETTER:
Dear Frank,
Thanks for fielding my question this evening. Here are the details, as promised.
Yesterday Billy sold me the Honda Care extended care warranty, 8 years / 120k miles, $0 deductible. He charged me $2119 (or about that much -- calculating it exactly is difficult, as I'll explain below).
Today a Google search easily turned up dealers who will sell that product for much less. I have two personalized price quotes, and am expecting a third. (The dealers I found are in Rhode Island, Massachusetts, and Ohio.) So far, the best offer is $1295. This is for exactly the same product Billy sold me: Honda Care extended care for my new Odyssey, 8yrs/120k miles, $0 deductible. Here is the quote I received by e-mail from a Honda dealer today:
Pricing for vehicles under 6,000 miles
$0 deductible plan
D82
8/120k
$1295
Google also turns up many discussions (on Edmunds.com and other sites) about how dealers have a lot of flexibility in setting the price of Honda Care and how most dealers inflate the price. I fault myself for not doing my homework, but I have to say that Billy was also dishonest with me. I explicitly asked if I could wait to decide and buy the warranty later, and Billy said, "It will always be cheapest if you buy it when the car has the the lowest mileage." This isn't true. I also asked if I could shop around and get the best deal on the warranty, and Billy said, "You will always get the best deal from the dealer who sold you the car." Also not true.
I see that Billy was giving me the hard sell, but I can save about $825 by buying the warranty elsewhere, so this is a no-brainer. I know I can cancel the extended warranty Billy sold me, so I intend to do so and buy it for less elsewhere.
But it won't be enough simply to cancel the policy I bought. That's because the price for that warranty that shows up on the paperwork is only $1948. However, when Billy sold me the warranty, he played with the accounting. He quoted me a price of $2119 (or thereabouts) for the warranty, which is what we agreed to. I declined every other product he offered. Then he said, "Since I'm supposed to try to sell at least two products to every customer, I'll give you the security system for no charge"; he then did some recalculations, reducing the price of the warranty by $161, and charging me $161 for the "security system". (This itself is kind of fishy; if I were Billy's employer, I wouldn't want to create incentives for him to engage in such peculiar accounting.) Since I only "bought" the security system because Billy convinced me it was really "free", I will also expect the dealership to refund me the money that was accounted toward the added "security system" ($161, plus $9.66 tax).
(The reason I don't know the exact price we agreed on for the warranty is that I don't know if Billy was including the tax when he recalculated the price of the warranty.)
There is one more thing, Frank. The price quote I have for the Honda Care warranty indicates that there is a $100 fee for re-purchasing Honda Care after a cancellation. Here is the language attached to the price quote I pasted above: "*Re-purchase Surcharge: The above prices are for vehicles that have never had a Honda Care plan purchased for them. If you have previously had a Honda Care contract on the vehicle and cancelled it please add $100 to the price. Please mention the previous cancellation when ordering your new plan or the contract will not be valid."
When I purchase the warranty from another dealer, I would not have to pay this $100 surcharge if Billy had not sold me the Honda Care policy yesterday. Since Billy sold that policy to me under false pretenses -- indeed, with outright misinformation -- I think it is only fair to ask him, or more likely his manager or whoever structured his perverse sales incentives -- to compensate me for it. Therefore, on top of canceling the existing policy, and receiving a refund of $170.66 for the "security system", I will expect the dealership to cover this $100 surcharge for me.
Frank, I would like to get this taken care of soon. There is a difference of $833.66 between what I paid yesterday and what I could have paid for the same product somewhere else; that is not an amount I can ignore, as I'm sure you understand. You have been fair and honest with me, and so I'm coming directly to you to ask how I can work this out quickly. Thanks in advance for any advice or help you can offer.
Thanks,
Joe Carbuyer
END QUOTED LETTER
In the end, the dealership did the right thing and offered me a fully refund for the difference. So all turned out okay -- indeed, the dealership's integrity in responding to my letter regained my trust. But the moral of the story for carbuyers: remember to do research on all added products (financing, warranties, etc.), and not just on the car, before you go for closing. And if you do research after the fact, and think you've been given bad information, it can be worth it to bring it to the attention of the dealer.
When my daughter got her Civic she did want to buy Hondacare, but we printed off the cheapest online quotes and took them with us. When the hard sell started she shut them down quick by simply handing them the quotes. Beat this price or I guy elsewhere. They opted to quit the hard sell and move on. Ditto the financing, get pre-approved for the loan from you bank or credit union on online source at a nice rate. When they push you to finance with them, tell them if they can beat your rate for a simple interest, no set up fee loan then you will take it - otherwise you use your pre-approved loan. Makes the whole F&I process short and sweet in most cases and you don't overpay.
Anyway, you might start by writing to the dealership that sold you the warranty, explaining that you think you were overcharged. Indicate your intention to cancel, and (if you think that they misrepresented your options when they sold you the policy) ask them to cover the $100 surcharge for re-enrolling elsewhere. They may be as honest as the dealer I dealt with and simply offer to refund you the difference, which saves you the trouble of canceling and repurchasing elsewhere.
(Note that if you do get to talk to someone at the dealership, don't let them try to convince you that the extended warranty is the only place they made their profit on your transaction -- they still made something on the sale of the car, and if you traded and/or financed they made profit there too.)
One thing for sure, if you FINANCED the HC policy along with the car, then you have some hassles. They will refund the HC back to the bank and not to you. Most likely the bank will just apply it as an extra payment so your monthly note will not change the refund will come out of the bank end - at the end of the loan - with fewer payments.
I was searching the old messages while you were posting your message, the number for HC that I posted is (800) 999-5901, if anyone needs it.
Also, you don't seem to understand how HondaCare coverage works. I can take my vehicle to any Honda dealership (including Billy's) for service, and when they do the work they will get paid by Honda. So a dealership doesn't lose further business by allowing someone to purchase HondaCare coverage elsewhere. In fact, in this case, the dealership earned more future business from me by admitting its mistake and making me whole. Honesty is always good business.
Being a "loyal" customer means pretty much nothing these days. You are not likely to get preferential treatment or even acknowledgement from your selling dealer compared to folks who purchased elsewhere. With The high turn over rate at most dealership the sales-folks that sold you the car will not be there if you ever needed help, and odds are pretty good the finance person, sales manager, and GM may not be around then either. If they are, you are yesterday's news to them in most cases.
I get the cars where I get the best deal - be that in town or 3-4 hours out of town. I get the service done at any dealer convenient to me that has a competent service department. If I wanted HC, I would get it where the cost for me is the least.
Based on your few posts and all on the same subject, you sound like a frustrated F&I person at a Honda dealership. You can't compete on price so you choose to come online and whine about it and berate folks who get taken or try not to. Perhaps you should disclose where you work so everyone can stay away from your dealership, since you clearly have the best interests of the customer at heart? "I wouldn't service your vehicle ever" - classy, very classy.
During the financing process, the manager tried to sell me the Honda Care plan with 8yr/100K. I turned him down because I knew I could find better deals outside of the dealership. He was persistent with his sales pitch but I wasn't buying.
But here comes his final sales pitch and I got suckered into it. He said, "Honda care is only offered at the time of purchase and you can't buy it after you sign the form. Of course, I bought the plan for $1700 and found out I could've bought the same deal online with a half the price. I know I didn't do my homework on extended warranty and I'm the one to blame. At least I can cancel it and get full refund within 60 days.
Here is my question:
Are they allowed to do such thing?
Should I cancel it and get a refund or try to get the dealer to bring down the price?
I still can't get over the fact that the finance manager lied to my face and I bought into his crap.
A lesson learned: Do your homework on car pricing as well as on extended warranties.
Just kidding, there are plenty of honest folks in the car biz - but some that are not.
Used to be, maybe still is, if you wanted the factory backed GM extended warranty the cheapest time to buy was THE DAY you got the car. The next day or week or year the price was always higher. What some clever online GM warranty dealers did was let you fill out and date the application and give them everything they needed to purchase the warranty for you, then waited until you gave them the go ahead that you had picked up your new car. So rather than being trapped into overpaying with the selling dealer, you picked up the car then e-mailed or called the cheap warranty dealer who processed and dated your stuff the same day. You got the discount, they made a little money, and everyone (except the price gouging selling dealer) was real happy.
Never heard of that with Hondacare, however. I would call them on it and just cancel and re-buy online and pocket the change. If you financed the HC in with your car then you are hosed, since they will refund the BANK for the cancelled HC and not you. That amount will come off the bank end of your loan so you have fewer payments to make, but the payments themselves will not go down.
We see / head similar tales of woe all the time. Folks negotiate hard on the price of the car, but give it all back by overpaying for their loan or lease, accessories, extended warranties, and worthless "mop and glow" in the F&I office. Everyone should go in with pre approved financing from another source, knowing the real price of warranties and accessories (and the car) and be able to calculate their own taxes and payments. Even if you don't buy a warranty or other ad ons, some dealers are bad about slipping the stuff in anyway. The payment goes up a little and the customer thinks they got a great deal but did not pay what they THOUGHT they were paying.
Kip
tidester, host
SUVs and Smart Shopper
Read the fine print carefully. Sometimes, you have to wait out the full 8 years before they let you get the full refund. 8 years is a long time to be locked into a car.
Also, if you have an issue that costs $300, chances are you may not file a claim. And then the following year, you have another $300 issue, do you file a claim then or pay out of pocket again?
You can get a 8 year/120K for less than that from http://www.saccuccihondacare.com/ and you can use for anything that comes up big or small. Then if you sell the car before the coverage is over, Honda will give you a prorated refund. In my opinion, that's the better option.
Now I am already make up my mind that any future service or maintenance, I will do it somewhere else beside Honda Dealer.
California has a questionable law that keeps some of the lowest priced dealers from selling Honda Care there.
However, Curry Honda still has CA listed on their site and they should be able to beat the price you were quoted:
http://www.curryhondacare.com/
Does that mean after 8 years, when the contract terminates, if no claims have been filled, I can request a refund of the purchase amount?
The promise of a refund in 8 years is of no value if the company is out of business in 5 years or less.
Make sure you are really being offered genuine HondaCare, I would be surprised if you are.
I've seen where some dealers do this. You pay more for the Honda Care up front (the dealer pockets the difference.) And Honda Care does not pay the full refund, the dealer does---so essentially it's a separate side contract with the dealer.
The pro-rated refund is between you and HC - they use your current months and miles against the age and miles at the time your purchased HC, along with what you paid, to determine your pro-rated refund amount. They take out a free and refund the rest to you (assuming you paid for it yourself and did not finance it with the car).
In the refund deals I have seen you had to keep the car until the warranty ran out and never have used it for anything. They would charge several hundred extra for this "premium" coverage. They figure most folks will sell or trade before the policy is up. Then there will be those with wrecked cars and folks who had to use the coverage. The rest, they hope most forget all about the coverage and forget to cash out. HC folks once told me LOTS of people forget or do not realize that their HC is pro-rated refundable and never ask for any money back.
To me, paying more to not use the coverage does not make any sense. Either get it or not. Keep in mind that even full money back HC should also be pro-rated refundable should you cancel before the full term is up (for any reason). They still keep more of your money but it should not be all back or nothing.
We just bought a new Odyssey and are thinking about getting Honda Care. It includes roadside assistance; is the roadside assistance only for the covered Honda vehicle, or is it tied to the purchaser of the warranty? (I.e., does it function like AAA roadside assistance, or is it only good for the Honda it's tied to.)
Just the covered vehicle.
thanks in Advance
"Honda Care" is your best bet.
Are you really saying the car is actually brand new? Never been titled?
Kip
If you financed the Honda Care as well as the vehicle, then no, that's not normal.
I purchased an used 06 Civic with 55K on it. Seems Hondacare is not applicable. Warranty Direct is offering 3yr/36K ExtraCare Plus warranty for $1500. Is it worth the price? I got a similar quote from AAautoprotection. Are there any alternatives? Does any dealers provide similar warranties? Please Advice.
Start by getting a price for your specific vehicle. Go to one of the online dealers to get a quote like:
http://www.saccuccihondacare.com/
Once you have the price, you can decide if you think its worth it.