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Extended Warranty on new car purchase

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Old 09-25-2017, 07:06 PM
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Default Extended Warranty on new car purchase

Purchased my 2017 F-Type R about 2 weeks ago from the Barrett Jaguar dealership in San Antonio.

As you know the car comes with a 5 year 60,000 mile warranty. However, it begins when the car is received by the dealership versus when you make the purchase - at least this is what I was told. I was concerned about this, as I will reasonably enjoy the car until the warranty expires and then sell it, at that time, to buy a new car.

As a result of buying the car a couple of weeks ago, I'll only have about 4 years (and a couple of months) to enjoy the car before the warranty is up. I expressed my concern with the dealership about this at the time of purchase and they suggested I purchase a CPO extended warranty which extends the entire warranty to 6 years or 100,000 miles which ever comes first. This, at a cost of about $1,400, which I thought was a pretty good deal and made the purchase of the extended CPO warranty.

Stopped by the dealership today to pick up my license plates and a socket for the wheel locks. My salesman asked me when I was going to bring the car in for an inspection - required by the extended CPO warranty.

Thought this was odd and asked why this is required if I just bought the car brand new? He said that it is a requirement, regardless that the car is brand new, to activate the extended warranty.

Asked him how long the inspection would take. He said about 2 hours.

Dropping it off tomorrow and they are giving me a loaner.

In the meantime, does anyone think this is odd? Also, should I be concerned that they are wanting to do something screwy to the car?
 
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Old 09-25-2017, 07:52 PM
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It may seem screwy because it's a new car but it makes sense. The whole CPO program is more than just the warranty and part of that is vehicle has passed XXX point checklist. It actually shows that they're not cutting corners here even if it is probably necessary. Most brands have checklists on their brand new deliveries as well.

One other thing to keep in mind. The warranty on the CPO has a lot of exclusions and largely amounts to an extended power train warranty. Many things that were covered under the original bumper to bumper won't be, just FYI. That's not a knock agaist it or your decision, I have a CPO myself.

Also, the CPO on MY2015 and lower was an additional 2 years and up to 100k. When Jaguar raised their factory to 5yr/60k there were 2 options created for CPO. One that adds just an additional year up to 100k to match the total term of the old CPO and one that matched the old additional CPO benefit adding 2 years and up to 100k.
 
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Old 09-25-2017, 07:55 PM
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Originally Posted by Andy2017
However, it begins when the car is received by the dealership versus when you make the purchase - at least this is what I was told.
This is pure BS. If warranty started, this isn't a new car but a fleet car or loaner to be sold as used. Cars like these usually discounted at least 20%, but getting 30% off isn't unheard of. The reason dealers do this, even if these cars are not put into service, is that JLR wants to count such car as sold on the books and gives dealers big $ incentives to do this.

CPO can be only be purchased on a used car. This is second sign that this is used car.

If they sold you a new car, you've been had, as this isn't a new car.
 

Last edited by SinF; 09-25-2017 at 08:02 PM.
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Old 09-25-2017, 07:57 PM
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Yes, warranty starts from "in service" date - which is I believe the purchase date for a "new" car - you may want to double check with your dealer when that is. Or call Jaguar Corporate and give them your VIN number to look up. Some new cars will be on a dealer inventory for months before they are sold, so I'm pretty sure the clock doesn't start ticking the moment the wheels touch their tarmac. Unless of course as someone else said they "punched it" to make it a dealer demo or some such in which case the warranty would start from then. But that would mean you bought it "new" with more than a dozen miles on the clock. Did you ?
 

Last edited by stmcknig; 09-25-2017 at 07:59 PM.
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Old 09-25-2017, 08:40 PM
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Originally Posted by stmcknig
Yes, warranty starts from "in service" date - which is I believe the purchase date for a "new" car - you may want to double check with your dealer when that is. Or call Jaguar Corporate and give them your VIN number to look up. Some new cars will be on a dealer inventory for months before they are sold, so I'm pretty sure the clock doesn't start ticking the moment the wheels touch their tarmac. Unless of course as someone else said they "punched it" to make it a dealer demo or some such in which case the warranty would start from then. But that would mean you bought it "new" with more than a dozen miles on the clock. Did you ?
Yes, it was sold to me as a "new" car. It had almost 2k miles on it. I was told the owner of the dealership used it for a while when it initially came into the dealership in early 2017. It's loaded and in pristine condition. I started looking at it mid year. They wouldn't budge enough on the asking price. About every month they'd check in with me and I'd just blow them off. I low balled them and they finally bit. I got a really good deal and am very happy with the price I paid for what I received.

Most of the cars on the lot have well over a "dozen" miles on them. Pretty reasonable expectation when customers are taking them out for a test drive on a regular basis.
 
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Old 09-25-2017, 08:46 PM
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Originally Posted by SinF
This is pure BS. If warranty started, this isn't a new car but a fleet car or loaner to be sold as used. Cars like these usually discounted at least 20%, but getting 30% off isn't unheard of. The reason dealers do this, even if these cars are not put into service, is that JLR wants to count such car as sold on the books and gives dealers big $ incentives to do this.

CPO can be only be purchased on a used car. This is second sign that this is used car.

If they sold you a new car, you've been had, as this isn't a new car.
I definately wasn't "had". Not what for what I paid and with extras it came with. Easily blows away the F-Type S too.
 
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Old 09-25-2017, 08:57 PM
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Originally Posted by Andy2017
I definately wasn't "had". Not what for what I paid and with extras it came with. Easily blows away the F-Type S too.
New 2017 R’s with zero miles on the clock can be had for 20+% off, so I hope you got a great bargain as it’s a used model they sold you.
 
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Old 09-25-2017, 09:33 PM
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If you want Jag extended best time is time of purchase. The price for my 4 year old F Type S was $7500 from Jag! Bought red shield for $3600 and 10 percent off for low mileage on a special.
 
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Old 09-26-2017, 09:40 PM
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Originally Posted by Andy2017
...the car comes with a 5 year 60,000 mile warranty. However, it begins when the car is received by the dealership versus when you make the purchase - at least this is what I was told.
This is a bit misleading as the warranty NEVER starts when a car hits the lot. Rather, warranty ONLY starts once the vehicle is placed "in-service". Generally, in-service starts on the "sale" date which is when you take delivery from the dealership. However, some dealerships may need to "sell" a vehicle by a certain date in order to meet quotas or hit other incentives. Therefore some dealerships with convert a vehicle or two into a "demo" so that they can then hit those targets obtaining bonuses or additional discounts for not just THAT vehicle but for many/all other vehicles sold that month. This is common and not considered deceptive in the least but it DOES mean that the service window started on that particular vehicle and ONLY on that particular vehicle when it was converted into a "demo".

Demos are not "titled" to the dealership so what you have is correct. You have a "new" car that has been under the demo program. It was the action of being placed into that demo program that triggered the warranty start date. Not the receipt of the vehicle into the dealership.

However, having stated all this the dealership really SHOULD HAVE don all the service inspection they required BEFORE allowing you to pick it up. You should NOT have had to of made a special trip back just because they failed to have properly and fully inspected it prior to OFFICIAL sale to a consumer.
 
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Old 09-26-2017, 10:19 PM
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Originally Posted by ndabunka
This is a bit misleading as the warranty NEVER starts when a car hits the lot. Rather, warranty ONLY starts once the vehicle is placed "in-service". Generally, in-service starts on the "sale" date which is when you take delivery from the dealership. However, some dealerships may need to "sell" a vehicle by a certain date in order to meet quotas or hit other incentives. Therefore some dealerships with convert a vehicle or two into a "demo" so that they can then hit those targets obtaining bonuses or additional discounts for not just THAT vehicle but for many/all other vehicles sold that month. This is common and not considered deceptive in the least but it DOES mean that the service window started on that particular vehicle and ONLY on that particular vehicle when it was converted into a "demo".

Demos are not "titled" to the dealership so what you have is correct. You have a "new" car that has been under the demo program. It was the action of being placed into that demo program that triggered the warranty start date. Not the receipt of the vehicle into the dealership.

However, having stated all this the dealership really SHOULD HAVE don all the service inspection they required BEFORE allowing you to pick it up. You should NOT have had to of made a special trip back just because they failed to have properly and fully inspected it prior to OFFICIAL sale to a consumer.
That make sense. Thank you.
 
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Old 09-27-2017, 01:45 PM
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picked up a 2014 V8S with 707 miles this last july from a JLR dealer in southern california.
invoice dated 11.11.2013 in-service date 11.28.2014 and never titled.
this "ghost" being a demo or executive car was irrelevant to me as it was inspected and approved as a CPO vehicle with extended warranty assigned and included in the sale price before the car was delivered.
 

Last edited by jimishooch; 09-27-2017 at 01:50 PM. Reason: typo
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Old 09-27-2017, 04:50 PM
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Originally Posted by ndabunka
This is a bit misleading as the warranty NEVER starts when a car hits the lot. Rather, warranty ONLY starts once the vehicle is placed "in-service". Generally, in-service starts on the "sale" date which is when you take delivery from the dealership. However, some dealerships may need to "sell" a vehicle by a certain date in order to meet quotas or hit other incentives. Therefore some dealerships with convert a vehicle or two into a "demo" so that they can then hit those targets obtaining bonuses or additional discounts for not just THAT vehicle but for many/all other vehicles sold that month. This is common and not considered deceptive in the least but it DOES mean that the service window started on that particular vehicle and ONLY on that particular vehicle when it was converted into a "demo".

Demos are not "titled" to the dealership so what you have is correct. You have a "new" car that has been under the demo program. It was the action of being placed into that demo program that triggered the warranty start date. Not the receipt of the vehicle into the dealership.

However, having stated all this the dealership really SHOULD HAVE don all the service inspection they required BEFORE allowing you to pick it up. You should NOT have had to of made a special trip back just because they failed to have properly and fully inspected it prior to OFFICIAL sale to a consumer.
Pretty much this. In a couple of the dealerships around here, the "demos" actually double as their service loaner cars, and the 6yr CPO warranty is already built into the steeply discounted price. A lot of the loaners are only a few months old, with some even being the current year model.
 
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Old 09-27-2017, 05:26 PM
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Originally Posted by xoai
Pretty much this. In a couple of the dealerships around here, the "demos" actually double as their service loaner cars, and the 6yr CPO warranty is already built into the steeply discounted price. A lot of the loaners are only a few months old, with some even being the current year model.
I really would NOT want to pick up a service loaner as a used vehicle... I can’t speak for anyone else, but know how I treat loaners...
 
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Old 09-27-2017, 09:12 PM
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Hopefully you got at least 25% or more off the sticker. That’s the numbers I saw on “VIP/demo” models when I was buying. I bought a straight up new R because I didn’t trust how the car was taken care of and they list it as new. Like others said, the warranty starts ticking when it goes into service and them using the car requires them to place it in service to drive.
 
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Old 09-28-2017, 02:32 PM
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If you think about it.. Any problems arising from mishandled loaners/demos should definitely come up within a 6 year warranty, right? Or even 5.5 years or whatever's left of it for that matter. If something comes up after the warranty, it's more than likely on you (other than financially-speaking).
 
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Old 09-28-2017, 06:40 PM
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My car was a demo/loaner for the first 5 months of it's life, 1.7 years old when I got it, it was in 99.9% perfect condition when I picked it up and it has not given me a single problem in 12 months of ownership, other than the fairly normal "rattly engine when cold" issue. Even though tOPIX gives no details I suspect any and all TSBs, updates, niggles and problems were fixed by the dealer before they sold it.
 

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