[texasnewbie]

I ordered an X3 s30i on August 5th. Delighted to report it is through production and should be headed to Texas soon! Spoke with a client this morning who recently bought a BMW and she must have mentioned four different types of warranties that the dealer tried to sell her. It's been a long time since I've bought a new car - and this forum is so incredibly helpful - that I hoped to get some advice before they trap me and try to upsell me on the GAP policy (that she bought and is going to pay off the loan three weeks later - yikes). I tried to search for this - feel free to direct me to another thread if it is covered there. Thank you!

[TurtleBoy]

Skip them all is the most popular recommendation. Some people report that the only one that may in some instances be worth it is the Tire and Wheel package if you have low profile tires and very bad roads.

While an Extended Service contract (BMW's name for an extended warranty) generally is not worth it from a financial point of view some folks don't mind spending the money for it from a security point of view knowing they are covered. If you fall in that camp then you can buy the ESC at any time from any dealer prior to your new vehicles warranty expiring.

[texasnewbie]

Originally Posted by TurtleBoy

Skip them all is the most popular recommendation. Some people report that the only one that may in some instances be worth it is the Tire and Wheel package if you have low profile tires and very bad roads.

While an Extended Service contract (BMW's name for an extended warranty) generally is not worth it from a financial point of view some folks don't mind spending the money for it from a security point of view knowing they are covered. If you fall in that camp then you can buy the ESC at any time from any dealer prior to your new vehicles warranty expiring.

Thank you, TurtleBoy. Skipping them all was my instinct. It helps to confirm that!

[LDT]

Just say NO!

[MassWholeBimmer]

I've had two extended warranties on my F150's. On my 2013 I broke even.
On my 2019, to soon to tell as it is active until 2026.

Still on the fence what I will do with the BMW when the time comes.

[jbirdav8r]

Absolutely not. Skip them all.

I personally don't buy cars I can't afford to fix on the spot without help of a warranty. And I don't believe this vehicle is one that people should buy if they're price sensitive to repair costs.

Gap insurance is a big "yikes" to me. If someone is in the position where that's something they need to think about, they should probably re-evaluate the entire deal. There are a lot of great cars, including great BMWs, that don't cost as much money and would allow for a larger percentage down. I realize everyone's financial situations and motivations are different, but I couldn't personally stomach being even close to upside-down on a car note. I don't think it's good juju.

First dealer I walked into for this car, the one closest to me, had the classic "addendum" sticker on the windshield of everything on the lot. $700 window tint, $200 nitrogen in tires, $300 door edge guards. That's probably at least $1100 of pure profit, even after labor. Insane. I'd never let a dealer install one single accessory on my car. Edge guards are a DIY for like $20, "nitrogen" is a total ripoff, and if you want tinted windows, you can take it to a place that actually knows what they're doing and uses quality products.

As for service and extended maintenance contracts, well, there's a reason they sell them. That reason is not to save you money. If I were concerned about it, I would take the money I was going to spend on one of those contracts and invest it.

And then, remember, if you roll the costs of these addons into the price of the vehicle, you're at least partially financing them. You're throwing even more money away into the void.

I'd also throw in a reminder that even when you're in the F&I office, remember that you're in the driver's seat. They're going to try to sell you everything they possibly can, but they are not going to tank the car deal. Just express your thanks and tell them you're not interested. And just know that declining anything (hopefully everything) they have to offer doesn't mean you're taking a careless risk or cheaping out on your new car. You're just not lining their pockets unnecessarily with your own hard-earned money.

These are just my opinions. I've learned a lesson or two the hard way. Best of luck!

[MrGlass]

I don’t believe gap insurance from the dealer is a good investment. However, if you are a person who can’t stomach this risk, I suggest you contact your auto insurance carrier. My daughter was quoted $985 by the dealer. Her insurance carrier charged $18 for 6 months. As time goes by, you can cancel that as there will no longer be a gap.

[Gfit]

Insure only what you can’t afford to lose - house, autos, liability and health. Everything else self insure. Even better, save part of those premiums and you will have tens of thousands at retirement.

[F10_User]

She can get the GAP mobey back as the account is paid in full.