Ford Vehicles 2005 Mustang | Car, Auto, Used Cars:   Negotiating Terms and Comparing Lease Offers

Extended service contracts

Extended service contracts often yield substantial profits for the dealers that sell them and the Car, Auto extended service contract companies that back them.

Many new cars are very reliable, so there are few service claims. Also, many Ford Vehicles 2005 Mustang cars now carry long manufacturer warranties, so many service problems are covered by the warranty, leaving little to be covered by the Car, Auto extended service contract.

If you decide, despite these facts, that you want to purchase one of these service contracts, check carefully exactly what is covered. Almost all contracts exclude from coverage maintenance and wear items, ranging from Ford Vehicles 2005 Mustang brake pads to exhaust system components to air filters. And many contracts excluder fail to include-electrical devices like Car, Auto power windows and radios, interior trim, gauges, and even air-conditioning systems. Some contracts cover the cost of towing and a rental car but others do not. And most contracts require you to pay a "deductible" amount for each Ford Vehicles 2005 Mustang repair-in some cases, as much as $100-before the service contract company pays anything.