Should I get the BMW extended warranty and/or service plan?

flipmde786 · 04-01-2006, 06:07 PM

Just wondering what you guys think, since delivery time is nearing for me. Personally, I've been thinking of only getting the extended service plan. But being that I'm buying the car and put on a lot of miles, I've been thinking about the extended warranty. It's expensive, though...dealer is asking ~$2700.

My Camry has 118000 miles in about 4 1/2 years of driving, with absolutely no problems. Coming from that, and knowing the general stereotype about German cars and reliability, I keep wondering if it's worth the money for the warranty.

What do you guys think?

JSpira · 04-01-2006, 07:03 PM

I never understand why people worry about this, esp. if one hasn´t even taken delivery of the car.

That gives you, uh, let´s see now...

that´s right: FOUR YEARS
to think about it

ska///235i · 04-01-2006, 07:05 PM

Quote:

Originally Posted by JSpira

that´s right: FOUR YEARS
to think about it

flipmde786 · 04-01-2006, 07:05 PM

Quote:

Originally Posted by JSpira

I never understand why people worry about this, esp. if one hasn´t even taken delivery of the car.

That gives you, uh, let´s see now...

that´s right: FOUR YEARS
to think about it

I just thought I'd pay for it now and forget about it...also, there is the possibility of higher prices later on..

But even so, what would you prefer to get (if anything)?

puck724 · 04-01-2006, 07:10 PM

i got the extended service. itll be worth it in my opinion.

ska///235i · 04-01-2006, 07:14 PM

just drive it for a year first..then really consider it in the 2nd year

Mr. BMW · 04-01-2006, 08:10 PM

Take that $2700 and put it into a high rate bank CD and in four years if you still have the car and need repairs, you'll have that $2700 plus a few hundred more.

irowharderthanyou · 04-01-2006, 08:28 PM

I think the price of the extended service stays the same throughout the 4 years if you decide to take it, but...on the extended warranty, the price goes up each year you own the car. So, for instance, if you decide to buy the extended warranty a couple years later, you will be paying WAY more than $2700. That was the case when I bought my car. Also, $2700 is a lot but there is no deductible and it provides a lot of peace of mind. In my opinion, you should get both the extended service and warranty. Just don't forget...you can always negotiate on the prices of these (especially the warranty, I got it down to $2400) if you haven't yet signed the papers.

Good luck on whatever you choose and enjoy the car.

zamboni · 04-02-2006, 10:23 PM

I would get the ext service plan and opt not to get the warranty, reason is on my E46 the only thing I replaced was the fuel pump and a couple of window regulators. That car had 85K miles and still running strong.
Since most of MFG MB & Audi have drop their service plan and BMW is a few that still offer ext service plan, and if you compare the cost $1400 is relatively inexpensive.

sajewiczmd · 04-02-2006, 10:36 PM

skip em both. i agree with Mr BMW. take the 2700 and invest it, some growth stock funds will pay between 10 and 20 percent per year over the next 4 years. 2700 on top of a well negotiated purchase price just seems like your throwing that great deal aside just for a piece of mind.

Pretender · 04-03-2006, 04:17 AM

Quote:

Originally Posted by sajewiczmd

skip em both. i agree with Mr BMW. take the 2700 and invest it, some growth stock funds will pay between 10 and 20 percent per year over the next 4 years. 2700 on top of a well negotiated purchase price just seems like your throwing that great deal aside just for a piece of mind.

Oh yeah? How was your stock perform from the year 2000-2004?
I feel like that extended warranty is a good thing to get. I paid $1.8k for 6 years/100kmiles. That's $600/year for the last 3 years (my car is >16kmiles/10mo.now).

ben1364 · 04-03-2006, 08:18 AM

[QUOTE=flipmde786]wrote in part, "... I've been thinking of only getting the extended service plan. But being that I'm buying the car and put on a lot of miles, I've been thinking about the extended warranty. It's expensive, though...dealer is asking ~$2700."

I suggest that you do the math. It may be worth the price and it may not be. Only you can decide what's best for you in your situation...

tjmsquared · 04-03-2006, 09:30 AM

I was trying to make a similar decision and ended up going with just the extended service plan. My dealer pretty much talked me out of getting the warranty. His take on it was that as long as you maintain the car, you’re unlikely to need any major repairs. The service plan makes sense as long as you’re sure you’ll keep the car to at least 60k miles since the 60k service will pretty much pay for the service plan.

poldim · 04-03-2006, 10:35 AM

There are two ways that I look at this:
1. If you maintain and dont beat on your car, it should run. If it hasnt broken within the first 4 years, then it probably wont break at 4.5 years.
2. Components are now very integrated. Failure of one component could require you to replace multiple components sky-rocketting the price in an instant.

Essentially, its a gamble, you need to decide whether its worth it depending on how long you will keep it. I wont be buying either because I dont plan to keep it for longer than 4.5 years...I think that if I was planning to keep it for 10 years, I would get it because I would rather spend the money on the warrant (not service) and not have to deal with the obsene dealer fees.

jbnimble · 04-03-2006, 01:32 PM

Quote:

Originally Posted by flipmde786

I've been thinking about the extended warranty. It's expensive, though...dealer is asking ~$2700.

What do you guys think?

That is pricey!
I got the Extended warranty and service plan to 6 years/75k miles for an extra $1,200.
But I agree that you should consider it before you take delivery of the car and then roll it into your monthly payments.

e90rocks · 04-03-2006, 01:45 PM

I'd skip both. The point made by sajewiczmd I think, is not so much that you have to beat 10% on investments to make out (BTW, if stocks were as good as 20% tell me who your broker is!) but rather that even zero gain is better than rolling the money into car payments up front. Essentially, you're giving BMW a low interest loan, and hoping for the car to require work in order to break even. If you have other places to put money, e.g. early payoff of mortgage, or even early payoff of your car or other debts, that saves you interest money in the long run. Conservative investment works too.

I had a Honda Accord and got through 184K for 11 years without major work. Even if I had extended warranty, it probably would have run out before I started to need stuff done.

ed328ci · 04-03-2006, 02:05 PM

Having been a victim of the infamous E36/E46 Subframe issue during the 6th year of ownership, I would definitely get the extended warranty.

Ed

F32Fleet · 04-03-2006, 02:48 PM

Quote:

Originally Posted by flipmde786

Just wondering what you guys think, since delivery time is nearing for me. Personally, I've been thinking of only getting the extended service plan. But being that I'm buying the car and put on a lot of miles, I've been thinking about the extended warranty. It's expensive, though...dealer is asking ~$2700.

My Camry has 118000 miles in about 4 1/2 years of driving, with absolutely no problems. Coming from that, and knowing the general stereotype about German cars and reliability, I keep wondering if it's worth the money for the warranty.

What do you guys think?

I'd get the extended warranty, and not worry about the service (it's cheap to do yourself). You're putting 26,222 miles/yr on a car, and IMO that's a LOT of miles. You'll be out of your warranty in 2 yrs!!!
My only concern would be whether or not BMWNA would deny a warranty claim due to the lack of service. I'm not saying BMW isn't trustworthy, but what I am saying is that there are a lot of sleazy BMW owners who have plenty of bucks to take BMW to court over such a thing, so BMW will look closely at how well the car has been maintained.

History says German cars have finicky electronics, so I'd keep the gadgets to a minimum.

View Poll Results: What should I do?
Get BOTH BMW extended warranty and service plans	15	28.30%
Get the BMW extended service plan ONLY	6	11.32%
Get the BMW extended warranty ONLY	6	11.32%
Get BMW extended maintenance and extended warranty from somewhere else	3	5.66%
Get NEITHER of them	23	43.40%
Voters: 53. You may not vote on this poll

04-01-2006, 06:07 PM	#1
flipmde786 Lieutenant 26 Rep 513 Posts Drives: 330xi Join Date: Nov 2005 Location: Long Island, NY iTrader: (0)	Should I get the BMW extended warranty and/or service plan? Just wondering what you guys think, since delivery time is nearing for me. Personally, I've been thinking of only getting the extended service plan. But being that I'm buying the car and put on a lot of miles, I've been thinking about the extended warranty. It's expensive, though...dealer is asking ~$2700. My Camry has 118000 miles in about 4 1/2 years of driving, with absolutely no problems. Coming from that, and knowing the general stereotype about German cars and reliability, I keep wondering if it's worth the money for the warranty. What do you guys think? __________________ 2006 330xi [TiAg] [Black Leather] [Aluminum] [STEP] [ZPP] [ZSP] [ZCW] [CA] [35% tint] [Blacklines] [OEM Strut Bar] [OEM Spoiler]
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04-01-2006, 07:03 PM	#2
JSpira Freude am Fahren 352 Rep 5,254 Posts Drives: Fünfer, Dreier, + Join Date: Aug 2005 Location: New York, München, Wien iTrader: (1)	I never understand why people worry about this, esp. if one hasn´t even taken delivery of the car. That gives you, uh, let´s see now... that´s right: FOUR YEARS to think about it __________________ Freude am Fahren. Jonathan E90 2006 330xi E90 2006 325i E39 2003 530i Sport* E46 2000 328Ci* E36 1996 328iS* E36 1992 325i* E30 1991 318is E21 1982 320iS* E21 1979 320 (6-Zyl)* *retired Nominated: Most Contributing Member
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04-01-2006, 07:10 PM	#5
puck724 COLTS 4 LIFE!!! 101 Rep 1,746 Posts Drives: 2006 330i Join Date: Aug 2005 Location: california iTrader: (1) Garage List 2006 330i [0.00]	i got the extended service. itll be worth it in my opinion. __________________ 2006 330i --sapphire black--black leather --alumminum trim --premium package --cold weather package --park distace control --automatic transmission --navigation with iDrive
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04-01-2006, 07:14 PM	#6
ska///235i ***** noob 1414 Rep 10,477 Posts Drives: 325xi>M235i>428GCx Mspor Join Date: Sep 2005 Location: Boston iTrader: (34) Garage List 2006 325xi [0.00]	just drive it for a year first..then really consider it in the 2nd year __________________ 2006 325xi (Sold) 2014 M235I (Current) 2015 428xi Gran Coupe (STB)
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04-01-2006, 08:10 PM	#7
Mr. BMW Major 266 Rep 1,391 Posts Drives: 2012 E92 M3 Join Date: Feb 2006 Location: MA iTrader: (0) Garage List 2012 M3 [0.00] 2006 330i [0.00] 2018 Jeep Grand Che ... [0.00]	Take that $2700 and put it into a high rate bank CD and in four years if you still have the car and need repairs, you'll have that $2700 plus a few hundred more.
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04-01-2006, 08:28 PM	#8
irowharderthanyou Private First Class 37 Rep 143 Posts Drives: 330i TiAg Join Date: Feb 2006 Location: FL iTrader: (0)	I think the price of the extended service stays the same throughout the 4 years if you decide to take it, but...on the extended warranty, the price goes up each year you own the car. So, for instance, if you decide to buy the extended warranty a couple years later, you will be paying WAY more than $2700. That was the case when I bought my car. Also, $2700 is a lot but there is no deductible and it provides a lot of peace of mind. In my opinion, you should get both the extended service and warranty. Just don't forget...you can always negotiate on the prices of these (especially the warranty, I got it down to $2400) if you haven't yet signed the papers. Good luck on whatever you choose and enjoy the car. __________________ 2006 330i TiAg - Beige, Step, ZPP, ZCP, Sat. Prep.
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04-02-2006, 10:23 PM	#9
zamboni I want to drive a Zamboni 1187 Rep 5,606 Posts Drives: 13 E93 M3 18 F80 M3 16 K71 Join Date: Mar 2006 Location: Monte Sereno, CA iTrader: (7) Garage List 16 K71 F800GT [10.00] 2018 F80 M3 [10.00] 2013 BMW E93 M3 [10.00]	I would get the ext service plan and opt not to get the warranty, reason is on my E46 the only thing I replaced was the fuel pump and a couple of window regulators. That car had 85K miles and still running strong. Since most of MFG MB & Audi have drop their service plan and BMW is a few that still offer ext service plan, and if you compare the cost $1400 is relatively inexpensive.
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04-02-2006, 10:36 PM	#10
sajewiczmd Private 4 Rep 65 Posts Drives: 330xi, 911 C4 Cabriolet Join Date: Mar 2006 Location: NY iTrader: (0) Garage List 2006 330xi [0.00]	skip em both. i agree with Mr BMW. take the 2700 and invest it, some growth stock funds will pay between 10 and 20 percent per year over the next 4 years. 2700 on top of a well negotiated purchase price just seems like your throwing that great deal aside just for a piece of mind.
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04-03-2006, 08:18 AM	#12
ben1364 Captain 14 Rep 940 Posts Drives: E90 330iA Join Date: Aug 2005 Location: Georgetown, TX iTrader: (0)	[QUOTE=flipmde786]wrote in part, "... I've been thinking of only getting the extended service plan. But being that I'm buying the car and put on a lot of miles, I've been thinking about the extended warranty. It's expensive, though...dealer is asking ~$2700." I suggest that you do the math. It may be worth the price and it may not be. Only you can decide what's best for you in your situation...
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04-03-2006, 09:30 AM	#13
tjmsquared New Member 0 Rep 7 Posts Drives: Black 330i Join Date: Mar 2006 Location: VA iTrader: (0)	I was trying to make a similar decision and ended up going with just the extended service plan. My dealer pretty much talked me out of getting the warranty. His take on it was that as long as you maintain the car, you’re unlikely to need any major repairs. The service plan makes sense as long as you’re sure you’ll keep the car to at least 60k miles since the 60k service will pretty much pay for the service plan.
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04-03-2006, 10:35 AM	#14
poldim Vroom Vrrooooom 309 Rep 3,146 Posts Drives: 330i Join Date: Oct 2005 Location: Bay Area, CA iTrader: (2) Garage List 2006 330i Sedan [0.00] 2003 GSX-R 600 [0.00]	There are two ways that I look at this: 1. If you maintain and dont beat on your car, it should run. If it hasnt broken within the first 4 years, then it probably wont break at 4.5 years. 2. Components are now very integrated. Failure of one component could require you to replace multiple components sky-rocketting the price in an instant. Essentially, its a gamble, you need to decide whether its worth it depending on how long you will keep it. I wont be buying either because I dont plan to keep it for longer than 4.5 years...I think that if I was planning to keep it for 10 years, I would get it because I would rather spend the money on the warrant (not service) and not have to deal with the obsene dealer fees. __________________ -Dmitriy 06' BMW 330i & 03' Suzuki GSX-R600 SG \| Beige Dakota \| Poplar \|\| iDrive w/MP3 \| PP \| SP \| CWP \| PDC \| Comfort \| Shades \|\| 40% Tint \| Black Line Tail Lights \| Hardwired V1
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04-03-2006, 01:45 PM	#16
e90rocks Myrmidon 19 Rep 236 Posts Drives: Entwicklung 90 - 325 Xi Join Date: Jan 2006 Location: Pittsburgh, PA iTrader: (0) Garage List 2006 325 xi [0.00]	Warranty I'd skip both. The point made by sajewiczmd I think, is not so much that you have to beat 10% on investments to make out (BTW, if stocks were as good as 20% tell me who your broker is!) but rather that even zero gain is better than rolling the money into car payments up front. Essentially, you're giving BMW a low interest loan, and hoping for the car to require work in order to break even. If you have other places to put money, e.g. early payoff of mortgage, or even early payoff of your car or other debts, that saves you interest money in the long run. Conservative investment works too. I had a Honda Accord and got through 184K for 11 years without major work. Even if I had extended warranty, it probably would have run out before I started to need stuff done.
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04-03-2006, 02:05 PM	#17
ed328ci Grumpy 12 Rep 168 Posts Drives: E90 325i Join Date: Nov 2005 Location: Ontario iTrader: (0)	Having been a victim of the infamous E36/E46 Subframe issue during the 6th year of ownership, I would definitely get the extended warranty. Ed __________________ Agh. Construction everywhere. Good for the economy, I guess.
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