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I bought a 2006 SCrew Lariat (5.4L, 3.73) from a local dealer about 2 months ago. Part of the deal was a 7 year, 100K mile power train warranty - one of those deductible warranties from a 3rd party. The dealership had a flat rate price they had negotiated and threw that in on most of their trucks as an incentive (other dealers in the area offer free tires for life, or free oil changes, etc). I got a letter from the dealership, and a follow-up phone call from the new car sales manager that indicated that they just found out from Ford Corporate that they are not allowed to offer additional local dealer incentives on top of X-plan pricing (I used X-plan to buy the truck). They claim that it's an unfair advantage for larger dealers to be able to 'sweeten the X-Plan deal' and therefore they can not apply the special local deals.
The sales manager says his cost on the warranty that I am no longer eligible for is $300. He is willing to make me a deal, as 'I am important to them' - read: you've bought 2 trucks here in the last 4 years, we want you to buy the next one here too.
Question - how aggressive would you recommend I be? I don't want to be a jerk, but I do feel like this is a bait and switch deal. He offered to either work something out with me, or cut me a check for their cost of the warranty.
Some options I considered:
1) tell him I will pay him $300 to keep the 7 year/100K mile powertrain warranty
2) tell him to discount the $300 off the Ford extended warranty and I'll pay the difference
3) tell him to discount $300 off the dealers 'all inclusive service plan' - i almost bought this from the finance guy - basically they let you pay an upfront amount of $ and then you get all services (including some wear items like brakes, etc) for free at the dealership
Would appreciate your folks perspectives!
Thanks,
Joe
I would avoid any aftermarket warranty (most of these carry a sizable co-pay), and chose the factory esp warranty. Then ask yourself, if you are happy with the dealer service provided to you in the past? If so then the all inclusive service plan is prob the best bet!
It does sound alittle funny that the dealer would be nagging you about this. In California, rules are 'no cooling off period'. So a deal is a deal.
I agree w/ fomocojoe101. The 3rd pty warranties are problematic. Example - your car is acting up on Thurs. You decide to take the car 'in' on Friday. Dealer tries to call the 3rd party company to verify your coverage and get authorization. They play phone-tag. Later in the day, the 3rd party company has called-it-a-week (started their weekend). You are hosed till Monday. OEM warranties don't have such problems.
I bought a deluxe extended warranty from Ford on my 06 SCREW. I got some quotes from www.fordwarrantys.com. And used these quotes to 'encourage' the Finance guy at the dealer on what his price should be. I've been told the quotes on www.fordwarrantys.com are very very close to your dealer's costs.
Unless you are planning having ALL the service work done at dealer, my analysis on buying the inclusive service plan from Ford did not make sense.
#1. I would tell the dealer or sales, manager to go Screw himself. I would refuse to pay anything and tell him the wrranty better be honored. It is a ploy to get 300.00 from you. IF Ford has a probelm it is with the dealership but I find that hard to believe. Tell him if that is npt acceptable that you will just return the truck and you want your money back. Trust me, they will honor the contract. You have them bent over the fence right now. Don't throw the ball in their court. I would also tell them that you will not use the dealership anymore in the future for using such dirty tactics.
I agree what is said about aftermarket warranties. Be weary. My friend had a truck with an aftermarket warrnaty and the rearend went out. An actual chucnk of metal the size of a half dollar broke off something in the diff. The dealership assumed it the warrnty would cover it but an adjuster for the aftermarket warranty refused the claim.
You could always tell the dealership they can have their money back for the warranty and just give it up. I don't think you would be any worse off. I would still raise holy hell with them for the shady tactics though. I would make sure they are cringing at what they tried to do to you.
AFtermarket warranties are not that bad, you just have to know how the work with them. As far as the truck, you signed into a legal binding contract, that the dealer is also bound by. Tell him to eat stick and deal with it, he agreed, you agreed, the sale is final.
I can't believe a dealership is taking a chance to **** off a customer and the other 1000 people (more with the forum) he will tell for $300. I'd tell him to give you oil changes, etc instead- dealers are much more receptive to paying later for work that will be done in their own shop.
Forget about the "well I'll being it back and you give me back my money" thing. That'll never happen. I don't know how they lassoo'd a third party warranty on a new truck anyway. That's confusing (but probably what this is all about, too)
I really can't believe this is going on for $300 bux- that isn't going to close the dealership! Maybe they need the warranty to be paid for by you to avoid the Ford issues- so tell him to give you the $300 and you'll go drop the check off... <shrug>
Do not go with aftermarket warranty! I just lost a $1000.00 dollars on an aftermarket co that went bankrupt. FORD ESP is the only one i would ever trust! BTW Don't shell out anymore money!!!!!
The answer to your question is yes. It is bait and switch. You should have the right to take the truck back and kill the deal.
This is obviously not the best solution for anybody, so its time to talk. The aftermarket warranty isn't worth the paper its written on so you may want to forget that.
As far as putting $300 towards a Ford warranty I think I would approach that from the other side. I would tell them to match the length of the warranty I had purchased regardless of how much it cost them. Make them take the loss for their screw up. At the least have them extend out your Ford warranty.
You could always hold out for some genuine Ford accessories. I think $300 you may be able to get an F-150 key chain {not including tax, of course}
I would question why the dealer is contacting you about this. My experience with new vehicles is when a mistake that cost $300 is made on their side, they just eat it, jump on the person who screwed up and move on. The customer isn't sent a letter or called.
If you like the dealer and have been treated fairly otherwise now and with the last few purchaes, let it slide. If they are jerks and you don't plan to buy there again make 'em stick to the original deal.
Not all d'ships are bad & some can be horrible. Maybe they just made an honest mistake and are asking you to help them fix it. Treat them the way they've treated you in the past-it's that simple.
I am a A-Z plan buyer. The X plan has a much higher mark up for Ford and the dealership than A-Z plans. The dealership must eat this one. I'm sure they still made a bundle off of you. I would make them stick to the deal or take the truck back. Watch what they do. I know of dealers throwing in bed liners and running boards etc with A-Z plans and they have less mark up than X plan. I would make them stick to contract. However, a $300 warranty sounds fishy and weak. I bought the 7yr /0 deductible warranty and paid about $900. I bought the second best Ford ESP plan. I did find that the ESP's are negotible. I think your dealership should be ashamed of themselves. Good Luck!
They indicated that their cost on the Ford ESP 7year/100K warrany was $900. The waranty they packaged with the trucks is a 3rd party 7 year/100K warranty called 'Q-something'... Q-Protection, maybe? I have no real issues with the dealership, and don't want to stick it to them, but not sure how aggressive is appropriate. Seems like getting them to discount the 7/100 powertrain from Ford might be the right way to go - I get it for $600 ($300 off), it's not 3rd party, everybody wins? Thoughts?
Don't budge on it. Its a money deal. They are trying to make an easy 300.00 off of you. Don't think for a minute they actually lost money on you and are just trying to break even. They would not sell you the car if they weren't going to get something in return. This is a typical ploy that is used all the time. SOP. AND...don't confuse a good servie department with the way you are treated by a salesman. Two different things. I would be polite but firm. All you have to say is "No thanks, a deal is a deal."
If the 3rd party warranty is written in the deal, they do not have any legal basis not to give it to you. If it is not, you are probably at their mercy. Before you hand over any money, check a couple of the places on the web that sell the Ford ESP programs. Besides time and mileage, there are different deductibles all which affect price. If you really want the extended warranty, take the lowest ESP price you find to your dealer and have them beat it by the $300.
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