LOUISVILLE, Ky. (WDRB) -- With auto repair so expensive these days, extended warranty companies promise peace of mind. But, many buyers end up frustrated when they discover a catch that can leave you uncovered.
One woman learned the hard way when her transmission went out in her minivan. She thought the extended warranty that she paid $124 a month for would cover it, but she was wrong.
The repair shop told her she would first have to pay for a full transmission inspection - which was $1,500. Even after that, she learned they might not cover the $4,000 transmission repair.
The Better Business Bureau says before buying an extended warranty, ask questions like these:
- What is excluded?
- Do you have to pay diagnostic fees?
- Can you use it at any repair shop?
Not all extended warranties are bad, but before you purchase one, read online reviews and check their BBB record.
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