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Hidden Car Warranties


By Judy McKenna, Family Resource Management Specialist
Colorado State University Extension
 

Question: A friend of mine told me that the problem I'm having with my engine might be covered by the dealer even if the car is out of warranty. Is that true?

Answer: Consumer Reports (October 1999) tells you about hidden warranties that may cover some or all out-of-pocket costs of automobile repair, even if the vehicle is out of warranty. These are not car recalls, which are based on potentially serious safety problems. For all serious safety problems, manufacturers must notify owners and repair the vehicle without charge to the owner.

"Hidden warranty" problems may not be hazardous, but they could be caused by manufacturing defects at the factory and be costly to repair. A few examples include engine malfunctions that cause emissions to exceed the federal norm, paint that peels off, and faulty headgaskets. Although car dealers notify the government of these defects, they are not required to notify you.

When manufacturers find problems that are beyond normal wear and tear, they send technical service bulletins to their dealers and file them with the National Highway Traffic Safety Administration (NHTSA). You can find technical service bulletins, Consumer complaints and defect investigations at NHTSA's Web site (www.nhtsa.dot.gov/cars/problems). You can also use this site to help you make a decision on a used car. Or check on your present model to find out if your problems are one of a kind or if there is a pattern. Problems due to manufacturing faults at the factory may be covered by "secret warranties." In other words, the dealer may pay for all or a substantial part of getting the defect repaired.

The Lemon-Aid Web site (www.lemonaidcars.com) lists various defects for selected models. It gives advice on complaining and sample letters. Check their "Secret Warranties Watch" for specific makes and models. These go back to 1988 models that have not exceeded 100,000 miles. Lemon-Aid also links you to other sites dealing with problems such as brake, transmission and paint repairs.

You can join a Web based discussion group to get information from other owners. Check www.liszt.com and search for your auto.

Check out these sites to see if your problem shows up. You might have thought you were the only person dealing with it. And you may just find that the dealer will fix the problem and cover the costs!

For more information, contact your local Colorado State University Extension office.


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Updated Tuesday, November 27, 2007.

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