Honoring Online Factory Warranties

[Jabstep]

Has anyone had any problems with a local dealership honoring a factory warranty purchased from an online broker such as fd-warranty? I'm in the gulf states region and I didn't want to purchase a warranty online and then it somehow not be recognized as valid from any of the local dealers. Any insight would be helpful. @Trainer Steve Clifford are all Toyota dealerships required to accept a factory Toyota Warranty even if it was purchased online?

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[Trainer Steve Clifford]

I've heard that claim and it is pure and unadulterated BS. First however, I need to use very specific language. What you are purchasing is NOT a warranty. No warranty may be purchased. It is illegal to sell a warranty. What you are purchasing is an extended service contract or "vehicle service contract" which will be referred to as a VSC from here on out.

A genuine Toyota VSC is a contract between you and Toyota. The local dealer has zero discretion on honoring it. It is valid nationwide at any dealership that has a Toyota franchise. to do otherwise would jeopardize the dealer's contract with Toyota.

Some dealers want to sell their own VSC and in the South East Toyota region (SET), they are heavily incentivized to sell products from JM&A. They brand it similar to a Toyota product but it isn't. JM&A products can be used outside the SET region, but is is complicated. A genuine Toyota VSC however, is valid anywhere without question or difficulty.

Furthermore, if a dealership gives you any problems with the Toyota VSC, you have recourse through Toyota itself. Any consumer can call 800-331-4331 and file a complaint if they are unsatisfied with the coverage acceptance.

The finance and sales department at your store may say things to get you to buy from them because they can't or wont sell the VSC at a competitive price. Using scare tactics and lies are not the right way to do it in my opinion.

 

[Jabstep]

As always Steve - you're the man and we all appreciate your help on this forum. I really appreciate it.

 

[Toy-truck]

As always Steve - you're the man and we all appreciate your help on this forum. I really appreciate it.

Let us know how it goes if you do decide to buy a VSC from fd-warranty.

 

[bking]

Always watch for the 3rd party extensions. They are garbage and really aren't any cheaper than the OE. You can get coverage, but it's complicated and not every place deals with them. The only thing good about them is the commission for the finance dept. My last Ford they told me they didn't even sell the OEM anymore, which I'm sure Ford wouldn't be happy about. My Toyota dealership only offers Toyota VSC's and I bought one. Shouldn't need it with a Toyota, but it's not that expensive and this is a new model. 100k coverage cost me $1700. May be able to get it a bit cheaper, but I was there and just paid for it.

 

[Trainer Steve Clifford]

Last couple of points as well... I purchased a Toyota Platinum VSC on my personal vehicle. I work in a dealership and get parts at cost and labor is half the retail rate and I still bought it. I don't expect anything to go wrong, but if it does, I know just how much it can cost. Those freaking touch screen audio system are both fragile and expensive.

Final point is to apologize for making a stink about the distinction between a warranty and a VSC. They function the same in that it covers defects to the vehicle but because I'm a stickler, I feel the need to be completely accurate. From a layman's perspective, they are the same thing but legally, there is a difference.

 

[WKTJR1]

I'm planning to get one as well. Although I've done my own maintenance for decades, I'm getting tired of lying on cold garage floors, and dealing with heating, beating, and cursing at corroded bolts and screws. Six or seven years down the road, if there are issues with the AVS, it's covered. Any rare hybrid system issues? Also covered.

 

[Jabstep]

Let us know how it goes if you do decide to buy a VSC from fd-warranty.

I ended up going with a 7 year 100k mile warranty through fd-warranty. Steve's information helped me make the final decision. I plan on having the truck a long time and I'll put roughly 15k miles a year on it. Its too expensive of a risk to only have full coverage for 2.5 years and risk having something go wrong and having to pay for a repair and the note payment. The peace of mind is worth it. Its also transferable to a private party so its a selling point should I want to do a private party sale before the warranty period is up.

 

[Toy-truck]

I ended up going with a 7 year 100k mile warranty through fd-warranty. Steve's information helped me make the final decision. I plan on having the truck a long time and I'll put roughly 15k miles a year on it. Its too expensive of a risk to only have full coverage for 2.5 years and risk having something go wrong and having to pay for a repair and the note payment. The peace of mind is worth it. Its also transferable to a private party so its a selling point should I want to do a private party sale before the warranty period is up.

I possibly be doing the same as you.

 

[Timster]

I just purchased 10yr/125k miles from Troy at fd-warranty. It was $1795.00. Just sent my mileage and copy of my sales contract and then he called me for payment info. It was pretty easy and I would recommend it.

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