What is the difference between a service contract and a maintenance contract?
What is the difference between a service contract and a maintenance contract?
Essentially, maintenance is what you get regularly done on your vehicle to make sure it stays in fighting form. Maintenance is something that’s scheduled – like an oil change – whereas service is when you need something specific fixed or tuned up that’s outside of your regular maintenance schedule.
Is a vehicle service contract necessary?
If you are buying a new car and the length of the service contract is similar to that of the manufacturer’s warranty, it’s probably not worth your money. Most new cars don’t require many repairs during the first few years. And if your car does need repairs, they’re likely to be covered by the manufacturer’s warranty.
Is a service contract the same as a warranty?
Warranties are included in the price of the product. A service contract is sometimes called an “extended warranty,” but service contracts are not warranties. A service contract can help you fix or maintain your product for a specific time — like a warranty. But, unlike a warranty, service contracts cost extra.
Can I cancel a vehicle service contract?
Your right to cancel You have 60 days to cancel a service contract for a new vehicle without penalty. On a used vehicle, you can cancel a service contract within 30 days without penalty. After 30 days, you can cancel and receive a partial refund. To cancel, write a letter to the dealer and the warranty company.
Can I cancel a service contract after signing?
California’s Home Solicitation Sales Act – allows the buyer in almost any consumer transaction involving $25 or more, which takes place in the buyer’s home or away from the seller’s place of business, to cancel the transaction within three business days after signing the contract.
How much does an auto service contract cost?
Usually, the price of the service contract is based on the car make, model, condition (new or used), coverage, and length of contract. The upfront cost can range from several hundred dollars to more than $1,000.
What is covered in a vehicle service contract?
A vehicle service contract is a paid plan that helps cover costly car repairs and takes effect once the manufacturer’s warranty has expired. Often called an extended car warranty, a vehicle service contracts can cover both new or used cars, but as the car ages, the likelihood of it needing repairs rises.
What does my vehicle service contract cover?
Vehicle service contracts cover and pay for repairs stemming from mechanical failures, but don’t cover cosmetic issues, problems arising from improper maintenance, or most cases of wear and tear. A typical vehicle service contract is comprehensive and covers everything from your car’s transmission to its navigation and air conditioning.
How does a vehicle service contract work?
With a vehicle service contract, that is exactly how it works. Vehicle service contracts are designed to protect consumers against unexpected, costly repairs. An individual’s coverage for any given repair is based on the terms and conditions of his/her vehicle service agreement.