Car extended warranty meme meaning

An extended car warranty is an optional service plan that drivers can purchase in order to pay for repairs to a vehicle's major systems, including the transmission and engine. Drivers can purchase an extended warranty from a third-party company, like Carchex or Endurance, or directly from their vehicle's manufacturer.

An extended warranty is actually an insurance policy on your vehicle, a safeguard against expensive, unforeseen repairs. It covers repairs for an agreed-upon period of time and miles. True warranties, though, are included in the price of the product.

For the vast majority of people, the answer is a big fat no. Even Consumer Reports(Opens in a new window) says it's "money down the drain." Here's the big secret: it typically doesn't cost that much to repair most items. The cost of a single repair is usually less than the cost of an extended warranty.