Anyone who has ever bought a car thought about also getting an extended warranty, especially because the seller was so adamant about the benefits. However, it's not really a solid investment. The Youtube video "Why Not to Buy an Extended Car Warranty (Scam)" explains what you need to know about extended warranties, so you won't get swindled. Let's find out more!
At a dealership, you might have a salesman pushing and pushing for you to buy an extended warranty, and there's a reason why they do that. It's not for your benefit. It's for theirs. Luckily, most buyers are smart enough to just get the regular warranty the car comes with, especially if it's a brand-new model.
The truth is that when a seller gets you to buy the extended warranty, they receive an almost 50% commission on the entire insurance policy you just purchased. Therefore, it's all about making more money during the sale. Half of the money you spent is going towards their commission, so your policy is worth less than what they're advertising. Additionally, you have to read the fine print because the warranty won't cover a lot of issues.
You can watch the rest of the video for more details about extended warranties..