Black Beauty

I noticed you said, "Speculation". I`ve never heard such dribble in my life, 'if it`s a legal contract it must start immediately...'
You could have a pre-paid burial contract with an undertaker, legal, it certainly doesn`t have to be carried out immediately, that`s ridiculous, and pure speculation...
I think the 'Extended Service Contract' should start at the stroke of midnight, on the day that the original warranty expires, and/or start being effective the second the odometer hits the mileage mark, anything short of that is out right THEFT on the part of the warranty (extended) provider... Period.

chingchonger

Speculation is exactly what it is. Did I say otherwise? I'm no lawyer; nor do I pretend to be one. It is what it is. It's starts when you buy it. Why, I don't know. Speculation.

How can you compare a prepaid burial contract withe a service contract. Do you really believe all types of contracts follow the same set of rules and restrictions? Also, the prepaid burial contract is effective immediately. If you bought a plot of land to sleep for eternity, he can't sell it to anyone else because your contract guarantees that plot. So a burial contract is more than just saying "I get to throw you in this hole when you kick the bucket".

If you believe so much that it is "out right THEFT" how do you think they continue to operate??? What is your "speculation"? There are obviously some laws in effect that dictates that the service contract must be effective immediately.

Perhaps it is to protect the consumer? How?
-Let's say the contract starts after the factory warranty.
-Factory warranty 36 months or 36,000 miles bumper-to-bumper.
-Customer plans to keep car for 5 years or 60,000 miles. Customer buys service contract for two more years and 24,000 more miles. Contracted Effective date starts at 36 months or 36,000 miles.
-One year later, manufacture change factory bumper-to-bumper warranty to 48 months or 48,000 miles.
-Contract states the service contract effective after 36 months or 36,000 miles.
-Customer gets the shaft.

As you can see, maybe it is to prevent stuff like this from happening.

This has happened!!!!
-Chevrolet powertrain warranty changes from 36 months or 36,000 miles to 5 years or 100,000 miles for all 2007 models.
-Customers that bought the warranty before change got a refund for the powertrain portion of the service contract.
-Service contract still ended the same time on their service contract, no need to re-contract.
-Everyone Happy!

Let's try it this way. You tell me you want to keep the car for 5 year or 60,000 miles. You want a service contract to cover anything after the factory bumper-to-bumper. I say OK, $1000 bucks. Effective now.

Next scenario. Same as first; $1000, but it starts after 3 years or 36,000 miles.

Sounds a lot alike doesn't it? But you would feel better if I said it would start after the 3 year or 36,000 miles.

Either way, you use it when it's time to use it. Prepaid burial agreements are the same. You don't get the goods until it's time.

BB, perhaps you should call up GMPP and ask them. Then maybe you can enlighten us with the truth, rather than having my dribble and speculation.

sbljr

I didn't. Extended warranties are just a form of insurance policy.

Since insurance policies are always stacked in favor of the insuror (else they'd go broke) IMO they should only be bought to protect against large losses which are simply unaffordable or at least would pose major financial hardship. Occasionally I'll make an exception if there's a convenience factor and the extended warranty is cheap (I'd rather bring a toasted computer printer back to Sam's Club for exchange than ship it to California).

But I generally stay away from such warranties. Odds say you'll die with more money if you do that over a lifetime. Of course, if you'd about as soon GM get it as your relatives then perhaps buying one isn't such a bad idea