What Type of Extended Auto Warranty Can I Buy

There are two types of extended auto warranties, those backed by the car's manufacturer and those offered by independent companies. The latter are also known as aftermarket warranties.

1. Extended Auto Warranties From The Car's Manufacturer

This type of warranty is also often called an extended service contract. They are often a safe bet but they also often cost twice as much as from an indepedent warranty company.

2. Extended Auto Warranties From An Independent Company

The "aftermarket" warranty market undercuts massively the manufacturer's prices. There are great bargains to be had but there are also a lot of ineffective warranty companies which are financially unstable. We recommend this type of warranty above manufacturer extended warranties due to the cost savings, but you have to do your homework. You can read how we determine the worth of the warranty company here.

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