BMW CPO Warranty and Warranty Extension questions

drollydrolly Member Posts: 32
edited August 2014 in BMW
With anybody who has read my posts in the last month or so, I'm looking at a Certified 2004 325i with 30k miles on it. With the car, there is a CPO which kicks in after the original 4yr/50k plan which is a bumper to bumper with a $50 deductible. However, BMW also offers an extension of the original 4yr/50k to 6yr/100k for $1395 which would cover everything except for gas and tires.

Now, a couple of questions. First of all, does it even make sense for me to look at Certified cars if I'm planning on buying the warranty extension anyway? Second, is this warranty extension even available for me? When talking to the sales rep with the aforementioned car, they have never said it wasn't available, even quoting me prices WITH the extension. However, if I go to BMW's website, it states that "If you’re the original owner of your BMW, you can extend your service contract...." I'm obviously not the original owner, so does anybody know if this is even available to me??

Thanks!
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Comments

  • kyfdxkyfdx Moderator Posts: 207,782
    Two different items..

    The CPO warranty, which kicks in when the original 4/50 warranty expires is for repairs of warranted items.. It mimics the same extended warranty that an original owner can purchase for his car. The cost of this warranty to an original owner is around $2300.

    The $1395 that you were quoted? (marked up a couple hundred, BTW) This is an extension of the maintenance plan. This pays for oil changes, brakes, inspections, etc.. Any one can buy this, whether original owner or not.

    Clear as mud?

    regards,
    kyfdx

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  • drollydrolly Member Posts: 32
    Well, $1395 quoted originally, down to $895 once negotiations commenced.

    Thanks for the info and yes that does clear it up. Not really how it was explained to me by the dealer. Basically the dealer explained it as "everything included in the 4yr/50k extended to 6yr/100k." But your explanation makes more sense once its pieced together.
  • kyfdxkyfdx Moderator Posts: 207,782
    The dealer is correct... but, just regarding the maintenance extension.. The coverage is identical to the original maintenance plan..

    Of course, the CPO warranty is less comprehensive than the original 4/50 warranty and has the $50 deductible.

    Good luck!

    kyfdx

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  • cotmccotmc Member Posts: 1,081
    Hi kyfdx,

    I know the BMW CPO warranty coverage begins when the original factory warranty expires, either at 4 years or 50K miles, whichever comes first.

    Is the CPO coverage intended to provide a full 6-yrs and 100K of warranty coverage, regardless of when the original warranty expires? In other words, is it possible for the CPO warranty to extend beyond a 2-year period if the car reaches 50k miles long before it is 4 years old?

    Or, is the CPO warranty coverage limited to a time period of two years max?

    TIA!!
  • kyfdxkyfdx Moderator Posts: 207,782
    Yes... 6 years from original in-service date, or 100K total vehicle miles, whichever comes first... and, regardless of when the original warranty expired, and regardless of whether it expired for mileage or time..

    In other words, once you are out of the original warranty period, they check for 6yr/100K from original date.. nothing else matters..

    regards,
    kyfdx

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  • ytsejamytsejam Member Posts: 11
    This is flatly wrong. The CPO warranty only kicks in after the original factory warranty expires. If you think you will be able to drive 25K miles each of the first two years of ownership, and then take it easy for the next 4 years and be covered by the CPO warranty, prepare for a surprise. The extended CPO warranty will remain in effect for 24 months or 50K miles from the expiration of the factory warranty (whichever comes sooner); it does not take over, but rather add to it.

    Look here; nowhere does it mention anything about 6 years from original in-service date.
  • ytsejamytsejam Member Posts: 11
    This is flatly wrong. The CPO warranty only kicks in after the original factory warranty expires. If you think you will be able to drive 25K miles each of the first two years of ownership, and then take it easy for the next 4 years and be covered by the CPO warranty, prepare for a surprise. The extended CPO warranty will remain in effect for 24 months or 50K miles from the expiration of the factory warranty (whichever comes sooner); it does not take over, but rather add to it.

    Look here; nowhere does it mention anything about 6 years from original in-service date.
  • kyfdxkyfdx Moderator Posts: 207,782
    Sorry... but you are mistaken...

    The 6yr/100K warranty expiration is from the original in-service date.. no matter how quickly you get the first 50K miles..

    I realize it doesn't read exactly that way, but if you pull up the vehicle history report on any CPO BMW, you will see that I'm correct. The expiration is always 6 years from the original in-service date.

    regards,
    kyfdx

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  • ytsejamytsejam Member Posts: 11
    Do you own a CPO BMW? If not, what makes you so sure? I bought a CPO car from a dealer last night, so believe me - I found that out.

    Vehicle history reports (I assume you mean CarFax) are absolutely meaningless when it comes to determining when the CPO warranty expires.
  • ytsejamytsejam Member Posts: 11
    Let me clarify my point. The last question was referring to the duration of CPO warranty after your factory warranty runs out. If you drive out of the factory coverage before the first four years expire, the CPO coverage will NOT make up for that, i.e. it will not go past two years after the factory warranty runs out, even if you don't reach the total of 100K miles on the car. Thus, it is possible for the car to be less than 6 years old and have less 100K miles on it, yet no longer be covered by the CPO warranty.
  • kyfdxkyfdx Moderator Posts: 207,782
    Actually... the warranty lasts the full six years from the original in-service date, no matter when the miles are put on... as long as you stay under 100K total..

    In your example... how would the dealer know what date you exceeded 50K miles? Unless you had a warranty issue, you could get your car serviced elsewhere and they wouldn't have a clue.

    Vehicle history report? You get it from your BMW service advisor. Ask for yours.. you'll see right on the history report when it says your CPO warranty expires.

    I know how the verbiage reads... but, in practice, that is not how it works.. 6yr/100K from the original in-service date.. Check with your service advisor.

    regards,
    kyfdx

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  • ytsejamytsejam Member Posts: 11
    Well, that is *if* you don't get your maintenance done at the dealership. Some people always bring their cars to the dealer for service - for different reasons. If you need an oil change on a 3 year old CPO car that has 50K on it already and you bring it to the dealer, I'm pretty sure they'll point that fact out later on when you take it there for warranty service thinking it's still under the CPO warranty b/c it doesn't have 100K miles on it, or not yet 6 years old.

    As for vehicle history reports - are you referring to the CARFAX data? If so, here's one for a CPO car - can you tell from looking at it when the CPO warranty runs out???

    Just out of curiousity - are you a BMW owner or somehow affiliated with them to make such confident statements without qualifying them?
  • patpat Member Posts: 10,421
    Actually, kyfdx (the host of our Prices Paid Forum) is a BMW owner and is one of the most knowledgeable Bimmer owners we have in our community. He knows his stuff, I assure you.
  • ytsejamytsejam Member Posts: 11
    You are off the subject. No offense, but do you have anything relevant to add to this discussion, specifically regarding my last comment?
  • kyfdxkyfdx Moderator Posts: 207,782
    Not Carfax..

    They come from BMW.. Your service advisor can pull the one for your car.. It lists the warranty expiration date for your car.. Ask your service advisor for it.. You'll see your warranty expiration date. It will be exactly six years from the in-service date..

    I used the service at a place other than the dealer as an example.. to show that they don't know what date you hit 50K miles.. (they don't care, either.. which is really my point).

    Yes.. I'm a BMW owner.. 3 times over..

    I'm sorry I can't show you my credentials... If you do enough searching on this issue, you'll find the correct answer... if that is indeed what you desire.. Ask you service advisor for your BMW vehicle history report. It shows the complete sales and service history of your BMW. It is a must see for a purchaser of a used BMW.

    Good luck,
    kyfdx

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  • patpat Member Posts: 10,421
    Hey there, friend. Folks are just trying to help you out here. Might want to lighten up a bit. We're all in this together! :)
  • txbmwfantxbmwfan Member Posts: 27
    Unequivocably, the CPO warranty of 6 years/100K mi begins with the original in-service date. The in-service date is same as the production date (which can be earlier than original owner purchase date). This is uncontroverted FACT.

    As noted previously, the in-service date is available at a BMW dealer based on VIN#. It is not possible to have a CPO car out of warranty earlier than 6 years or 100K mi of in-service date. The original mfg. warranty is 4 years/50K (from in-service date). The CPO simply extends the original warranty by 2 years/50K mi (from in-service date) to a total of 6 years/100K mi (from in-service date).

    By way of example, I have a 2004 325i bought new with an in-service date of March 2004 (purchased new in April 2004). The original 4 yr/50K warranty runs through the earlier of March 2008 or 50K mi. I can purchase the same coverage as CPO plan with the Original Owner's Protection Plan, which would extend my warranty to a total of 6 years/100K mi (from in-service date). For me, the plan would extend my coverage to the earlier of March 2010 or 100K mi.

    It is a simple as that.
  • samjaeysamjaey Member Posts: 2
    I have looked everywhere but have not been able to find out what the answer to this is.

    I would like to know what the dealer's cost is for an extended maintenance on a 06-07 3-series. Specifically I have a 06 325i which I would like to extended maintenance on and I have been offered between 1295-1395. It seems like everyone thinks they are doing me a favor by offering it for that price, however seems like this is with a sizeable profit. What is the true cost and what is a reasonable offer? Thanks!
  • cotmccotmc Member Posts: 1,081
    I don't know the dealer cost, but I can suggest a dealership.

    Several weeks ago I did a search for the lowest price for the extended maintenance contract on an '05 325i.

    Try a Google search of Nalley BMW, and call/email their internet department. At the time, they were offering a contract for my car at $945. (Note: I ended up purchasing from my local dealer for $995.)
  • zzb1zzb1 Member Posts: 3
    ...has 46000 miles, 1 owner. Asking price 28995. Is this too many miles for a CPO to get get a good value? Thanks
  • us015478us015478 Member Posts: 4
    Concerning the BMW vehicle history report ... I asked for it when I recently purchased a CPO. The dealership said, "No Way", like I'd just asked for the formula for Coke. I continued to asked; they finally flashed it in from of me just long enough for me to see that the car had not been totaled and then rebuilt. Why is this history such a secret? Is it just this dealership? How could I get it now so I can plan upcoming maintenance, not just wait for caution lights to come up on the dash?

    Thanks,
  • dujoxdujox Member Posts: 10
    I have exactly the same issue. I bough a 325ix and before making the move we checked the Carfax report. Well, we though were all cover. Surprisingly, the Carfax did not say anything value to us. I mean it was useless. Then I took the car to my local dealership just to be told they cannot show me MY CAR history!

    Should you buy a house does not you know its history?
    -How is BMW excluded for doing so? :mad:
    -How could one properly keep this Drama Queen Car without the car history report?

    How some of you had worked around this issue?

    Before I ironically end up driving my "ultimate driving machine" :lemon:
  • frankieyfrankiey Member Posts: 1
    Couple of questions. My lease on an '06 325 is maturing and I would like to purchase the vehicle. I was offered by the dealership to either buy the vehicle through BMW financial services if I was not interested in CPO or I could have the car CPO'd for $2850, which would also extend my warranty (6/100). I also have low mileage on the vehicle and the dealership advised that I not extend maintenance (6/100) , which would cost $2395. Are these fair prices and how valuable is it to have the car CPO if I intend of keeping it for a while?
  • etjetj Member Posts: 12
    I am in the same position ('06 325, lease maturing, want to purchase) with just under 30K miles. I got the dealer down to 1895 on the CPO and 1995 on the service. I'm not sure how much lower I should expect to get this down.

    Anyone have any thoughts?
  • kyfdxkyfdx Moderator Posts: 207,782
    I haven't checked for awhile, but last time I did, dealers were selling the extended maintenance plan for $1495 on-line..

    $1895 looks okay for the CPO warranty, but maybe $500 high on the extended service?

    How long was your lease? 3 years? At the rate you drive, $3900 is a lot of money for 2 years and 20K miles of warranty/maintenance... For that much money, I'd self-insure.. How much is your buyout?

    regards,
    kyfdx

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  • etjetj Member Posts: 12
    Lease was 3 years. The residual is 24302. I've looked around other boards and seems like the maintenance plan went up quite a bit in the last year or so. People seemed to have started at 1495 and bargained it down to 995. Whereas now they started at 2595 and I got it down to 1895. Not sure if this increase in price was standard.

    Just to summarize my situation:
    Residual is 24302.
    They started the CPO/warranty price at 2895 and brought it down to 1895. This would be for 6 years/100K.
    They started the service contract at 2395 and brought it down to 1995. This would be for 6 years/100K.

    I really like my car and have kept it in pretty good condition. But this is my first BMW lease so I am trying to get all the info I can. I didn't finance it initially because I thought I would just lease again but I like my car enough to buy it. I get the feeling that I can get the service down a couple hundred.

    What do you think?
  • kyfdxkyfdx Moderator Posts: 207,782
    I think even $3500 is too much to warranty a $24K car for two years.. Especially, when you have to pay now, and the coverage doesn't even start for another year..

    If you really like the car, and it's been fairly reliable, then I'd just buy it with no extensions.. You are covered for the next year...

    Here is something else to think about.. When your dealer is CPOing your car, you aren't buying it from BMWFS and then adding those coverages... The dealer is buying it from BMWFS, adding the coverages, then re-selling the car to you. It's possible (even likely) that the dealer is getting the car for even less than the $24,302 that you would pay.. BMWFS typically sells the car to the dealer for the current auction price.

    So, I'd compare the price of your car to what you can buy a similar CPO unit + $1500 for the maintenance... Don't focus so much on the individual components... Add it all up. Does it make sense to buy an '06 325i with 30K miles for $28K?

    Bargain hard... be aware that the dealer is probably paying less than you are for the car... maybe a lot less.. so, don't be swayed by adding up the individual components of the deal, thinking they can't go any lower...

    regards,
    kyfdx

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  • etjetj Member Posts: 12
    Thank you for your thoughts! I really do like my car but I would also like the peace of mind of getting the extensions if I can negotiate them down.

    A couple more questions regarding negotiations:
    1. Does it matter to the dealer if I buy the car out directly from BMWFS? I ask so I can use this as leverage to reduce the CPO fee from the dealer.
    2. Is there a way to find out the auction prices? Did some research but can't seem to find this without being a registered dealer.

    Thanks!
  • kyfdxkyfdx Moderator Posts: 207,782
    Auction prices? Post a description of your car HERE.

    The answer you get, will determine the answer to your first question. If auction values are quite a bit lower than your buyout, then your dealer can purchase your car for less than you can... This should translate into a discount for you...

    Another member did this a few years ago, and ended up getting his car, with CPO warranty attached for the same price as the buyout on his lease. His post is HERE.

    Good luck!
    kyfdx

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  • kyfdxkyfdx Moderator Posts: 207,782
    Read down farther in that last linked discussion... You'll see some more posts and info about that deal...

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  • tmchowtmchow Member Posts: 35
    I have a '04 Z4 3.0i that is CPO. Factory warranty ended this past May but I have CPO until 2010.

    There is a leak somewhere in the trunk where water is getting in. I brought it to the dealer last April while it was still in the factory warranty and they replaced a brake light seal claiming it was the reason for the leak. I haven't really parked my car in the rain since then until a few weeks ago.

    My trunk is still leaking, so I brought my car back to the dealership in Bellevue, WA (Seattle area) and they had the car for 2 days but couldn't find the problem after spraying the car with a hose and a pressure washer.

    They told me they speculate it would be the drain holes under the roof, but they can't be sure until they look at it. It's not covered under warranty, and will cost $755! WTF.

    To make matters worse, they said that my service record from April doesn't state why I brought the car in, so it's another reason why the leak won't be covered retroactively.

    Can someone tell me some good news here on how I can get this fixed? This whole situation seems BS.
  • valorievalorie Member Posts: 2
    Hi-
    Hoping I can get some quick help, as just learned about the run flat tire concerns and just found this website early this morning.

    Bought a 2007 BMW 328i with 14,5 miles on it. Should I buy the Extended Maint (1895) and/or the Millenium T&W (tire/windshielf door ding) plan (995)? WAs not planning to, but after reading about expensive repairs and need to change tires more frequently than I thought, am now wondering...(I know I should have researched this better before buying, but I do not have much personal car buying experience)

    Any quick advice would be much appreciated, as need to go back in just a few hours :confuse: and resign some papers (was there late last nite).

    Thanks!
  • dujoxdujox Member Posts: 10
    Relax. enjoy the car. Get a good Tech. The extended Warranty will ONLY kick in AFTER the Standard Warranty expired. Since you car is a 2007 with 14,5 ?- it's still cover under the Standard [4 years or 50K with-ever comes first.] Depend on your home town law but you should have 30 to 90 days after buying the car to get an Extended Warranty from your dealership.

    If I were you i will pick the Extended Warranty after try to lower its price [ You'll be in fact lending the money to the dealer for about 3 years at CERO%!].

    I would not buy the Millennium a&W. Instead I will put that money in a bank since most folks will tell you that the parts likely to break apart are the one not cover by the warranty. :)
  • valorievalorie Member Posts: 2
    First, thank you very much for your reply... although I need to let you know that I had to make a decision before I got this response, so here's what I did: I declined Lo Jack and Extended Warranty plans but did get the Millennium t&w plan. My reasoning:
    (1) I have 2 new tires on car - the rear ones - and the fronts have about 50% life according to the dealership,
    (2) I was told that the dealership never repairs, and only replaces the tires,
    (3) the high cost of the required tires (224 on one website someone referred me to, and even more if bought at the dealership)
    (4) reading so much online about how the tires often have to be replaced after just 12-15,000 miles, and last
    (5) they re doing lots of road repairs in my commuting/driving areas

    I did ask if they could do anything about the price, and at least got it down $100 (better than nothing...although I had no idea that sales tax would be charged on price!)

    What is your experience with run flat tires?

    And, why do you recommend trying to get the Extended Maint warranty? Becuase BMW labor and parts costs are so high? I was hoping that with an 'almost new' car like this, I wouldn;t have to worry about much in terms of maint or repair costs within the next 5 years...

    Interested in hearing more... as I apparently have a lot more to learn (and the dealer did not have an owner's manual to give me yet!)

    Thanks :)
  • bmwadvisebmwadvise Member Posts: 1
    The extended maintenance warranty will pay for itself within the first year assuming you drive the car 12-15k miles per year. Brakes cost around $850 per axle, oil changes are about $200, microfilters $250. at 100k spark plugs due $600. note; a maintenance warranty is strictly maintenance, it will not cover mechanical repairs.
  • fedlawmanfedlawman Member Posts: 3,118
    Someone needs to change their screen name to "bmwbadadvise."
  • cdnpinheadcdnpinhead Forest Lakes, AZMember Posts: 5,307
    on whether you're buying or selling. Buying extended maintenance is a dumb idea, but selling it makes money. These things aren't a charity.

    Are you feeling unlucky? Really, really unlucky? Then buy the thing.
    '08 Acura TSX, '17 Subaru Forester
  • dujoxdujox Member Posts: 10
    LOL. Completely agree with you. :)
  • stepducks01stepducks01 Member Posts: 2
    I would suggest that you simply run the report yourself. All you need is the vin.
  • stepducks01stepducks01 Member Posts: 2
    I find that I only want the best deal I can negotiate. I don't care what the dealer pays for anything they sell. Quite frankly, I believe that he/she has a right to make a fair profit. I just don't want to overpay. If I but a gallon of milk or a loaf of bread I do not try to find out what the grocer paid for it first. They have the right to protect their profits!

    There are plenty of opportunities online for me to do price comparisons so that I may make a good deal for myself when purchasing a vehicle and all other services to maintain it. That's the value of forums, etc. Don't forget that you get what you pay for in most cases.

    That doesn't mean you should not negotiate..it simply means that you will not gain from ticking off sellers.
  • dujoxdujox Member Posts: 10
    I do agree with you that dealers has a right to make profit. But then one again buying a car isn't quite like buying a bread or a gallon of milk. If you got to a supermarket this week and see a gallon of milk for $10.45 would you but it?

    There are different strategies. Knowing how much did a dealer pay in fact could help you to know how much could you push to as you say 'negotiate the best deal" :D
  • bimmer_2007bimmer_2007 Member Posts: 5
    Hi kyfdx,
    I recently joined this grp. wass pretty impressed by sort of discussions going on around. I also had one query if you guys can help me out. I got CPO 2007 model last year & currently having 46K miles.. So basically i have 6y/100K on top of my 4y/50k. But i'm about to run out of 50k maintenance warranty. also my breakpads front/rear are due in another 10-14k miles..so as per the dealer at that time i would be in my 6k/100k extended plan & that wont cover all that stuff. So what is your opinion.?? should i buy any any other extended warranty that can cover my oil changes,brakes,tire?? becasue as far as i understood dealer offered me all that(except tires) for around $2300..that will cover up to another 50k miles..(just oil changes & brakes pads/rotors)...while that 6y/100k CPO warrantly will run in parallel.

    My point is although i have 6k/100k i still need to but that xtra another 50k miles warranty on top of my actual 4k/50k maintanence warrantly to cover just oil & brakes?? makess sense?? or should i just pay out of pocket for brakes/oil change whenever due instead of $2300??

    please advice.

    Thanks everyone for your time & help

    Regards,
    bimmer_2007
  • kyfdxkyfdx Moderator Posts: 207,782
    When does your CPO warranty expire? And, how many miles do you expect to have on the car by then.. That has a lot to do with the value of the extended maintenance.. If the 6yr/100K is up in September, 2012... then, it's worth less than if it's up in July, 2013... If you drive 10K/year, then it's worth less than if you drive 18K/year..

    You don't say what model you have... That affects the price of the extended plan... But, for most models the spread between MSRP and dealer cost on the plan is $500... It isn't too hard to find a dealer willing to discount the plan by $200.. or even $300-$350.. And, you can buy the plan from any BMW dealer...

    So, before I could give an opinion, need to know the warranty expiration date (or in-service date), and your annual expected mileage.... Also, what model did you buy?

    regards,
    kyfdx

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  • bimmer_2007bimmer_2007 Member Posts: 5
    I have 2007 525i..in service date was Dec 2007..Right now its almost 47K miles..and yearly it would be around 15K going forward as i see.

    Thanks
    Bimmer_2007
  • kyfdxkyfdx Moderator Posts: 207,782
    Well.. at that rate, you'll get full value for the extended maintenance and warranty (in-service of Dec, 2007, not Dec, 2006?)... so, that tilts things in your favor...

    But, I think the cost of the plans might still be prohibitive... I wouldn't want one plan without the other... If you get the extended warranty, it's going to be hard to save money, by servicing your vehicle at an independent... and, then taking it to the dealer only for warranty claims... If you buy just the maintenance plan, you'll have the opposite problem... They come up with a mechanical repair diagnosis while doing your maintenance, and you'll be stuck with dealership rates for that...

    It's a dilemma... Hard to part with an extra $5K upfront, even if you can justify it on paper....

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  • bimmer_2007bimmer_2007 Member Posts: 5
    Hey,
    Sorry for the confusion. In-service date was Dec 2006 as you just thought..so my 6y/100k will expire in max dec 2012. So does that mean that no matter my miles are less than 100K I'll be out of all the warranty in 2012??

    So should i go for extended maintenance plan of around $2300 that dealer is offering me?? is that worth or overpriced specially for my case??

    Thanks
  • kyfdxkyfdx Moderator Posts: 207,782
    That's exactly it... You'll be out of warranty and/or maintenance in Dec, 2012, no matter what mileage you have...

    So, you'll probably get the 60K mile Inspection II ($800-$1000?), and the 75K oil service ($150-$200?) and that's it, unless you need suspension bushings or brakes, etc... that's from the maintenance plan..

    The extended warranty? Same thing... you'll get until DEC, 2012.. which will be approx 80K miles..

    If that's as long as you'll keep the car, I'd put that $5K in the bank, and take my chances... You might come out ahead, even, or behind... who knows... but, on average, I'd think you would come out ahead...

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  • bimmer_2007bimmer_2007 Member Posts: 5
    Thanks..
    but my rear brake pads are due in another 8k miles and front in 14k miles.And that wont be covered as i'll be Out of 50k maintenance..
  • kyfdxkyfdx Moderator Posts: 207,782
    Well... there you go, then... the maintenance might be worth it, if you are sure you'll need brakes... I'm guessing the front and rears on a new 5-series would be at least $1000 total..

    For some people, they are going to the dealer for service, no matter what... In that case, the plan will likely pay off.. If you are the kind of person that will use an independent repair shop, then you can save a lot of money... but, they usually don't offer loaners, etc...

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  • bimmer_2007bimmer_2007 Member Posts: 5
    Yes..actually front/rear would cost me $1500 atleast as per dealer..so better i buy that extended maintenance..will try and negotiate with him as i heard something new... like coverage till 200k..not sure what that was.will update you if i find something interrsting.
    Thanks man.
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