The beauty of extended warranties..

[Bill Bumface]

Originally posted by transplant99@Oct 7 2005, 09:11 AM
But honestly, with a computer in particular, isnt it a pretty safe bet that something will go wrong within 3 years?

Im just asking.

Usually failure on electronics happen very very quickly if they are going to happen at all, with a few exceptions.

Usually if you make it past 30 or 60 days its going to last you quite a while.

I do think its like playing the lottery to buy an extended warranty. You know the expected return is less than your investment, but you do it incase you get "lucky". In this case you got "lucky", so awesome for you. You ended up ahead of the game. One thing I've learned gambling, is walk away once you are ahead

I'm not trying to call you dumb for buying the warranty, because it worked out. I personally just choose to go more with the odds. I've also never bought a 6/49 ticket.

[Bring_Back_Shantz]

Originally posted by ken0042@Oct 7 2005, 09:13 AM
I don't disagree with your sentiment, just your logic.

Should a restaurant not be allowed to make money? Well, if all restaurants closed up I would probably have to cook for myself. But I couldn't buy food at Safeway, because they make money too.

I do agree that they are a cash grab, though.

Where did I say I don't think they should be allowed to do it? What I was saying is that the value simply isn't there for the comsumer.

As I said, if the companies are making money off of this (which is a reasonable assumption based on the fact that companies aren't very apt to sell a product that they lose money on) then consumers as a whole are spending more for replacement or service than they otherwise as a group would have to, the value for consumers as a group simply isn't there.

[LockedOut]

Here's a tip. Your credit card may come with extended warranties on purchases.

[Sylvanfan]

Last year I bought a fridge from Sears and they always phone me asking me about extended warrenty. I first asked the woman if they sold me a crappy fridge. I mean fridges have been around forever and they should know how to build one that works. Of course she back tracked saying that well yes it's a good fridge and it shouldn't break down etc... Than she told me how the warrenty is less per year than the two service visits I would get for free if I did purchase it. So I told her, you only offer that because you know I'm going to forget to call you and schedule this. She tried to deny that but never said that I would get reminder calls to schedule these appointments, and said so long as I called the guy would come. Of course I'm sure they have enough customer data to know that only 20% or less people actually ever have the technician come out to service their fridge. Than I said well why the hell are you selling something that you're going to lose money on? I mean Sears is a S & P 500 company with a lot of shareholders. Somewhere in one of my mutual funds I'm sure I own stock in Sears. Don't be telling me that you're selling something I'm going to lose money on as a shareholder!!!! At this point in time she finally gave up. I was disappointed that I didn't get to argue my next point. But I'll save it for next time because they will call again.