Walk away...Extended Warranty (aka: ADP= Additional Dealer Profit). I took the advice of an ole time years ago, refused, but put that money in the bank....nice interest over the years. Safe travels.
Run away from that scam! Don't walk....run! Don't ever buy a warranty from a dealer, too many exclusions,too pricey and what if the stealership goes bankrupt/changes hands? Put the money in your pocket.....
many recommend taking half what an extended warranty would cost and put into savings, to pay for any future repairs.
as far as gemsworld's comment that mine was incorrect, i'm more than happy to retract that statement if he can show examples on new RVs costing the same at West Coast dealer, as places like RVW or RVDirect.
there are other Midwest dealers that compete with RVW and RVD prices.
House of Camping, outside of Chicago, is one of them.
i've never seen any posts about any West Coast dealer matching or even coming close to RVW or RVD prices. the only competitive prices i've seen out here, are RVs built in West Coast factories, which are very few compared to the Midwest.
my statement is based on 2 years of shopping in California, Oregon and Washington, comparing to prices at dealers in the Midwest.
* This post was
edited 03/16/12 10:08am by bikendan *
Dan- Firefighter, Shawn- Musician/Entrepreneur, Zoe- Faithful Golden Retriever, 2007 Chevrolet Avalanche LS, 2007 Rockwood Roo 23SS w/Equalizer and Prodigy, and 5 Mtn. bikes and 2 Road bikes
All. Thank you again. Wantted you all to know I did walk way and they tried to do everything to resurrect the deal. Ended up getting a new identical trailer with better options for same amount down, better interest rate, and of course no additional warranty Cost so the monthly Payment is only 25 more and it is new with better features and will have the factory warrant so THANKS everyone
Congrats and be sure to get the 2nd year FR factory warranty for $150.
the dealers often don't mention it, in order to sell the more expensive 3rd party extended warranty.
Just to throw my 2 Cents into the mix. We did get the $150, 2 year extension from Forest River, but declined the dealer offered extension. What really bothers me about your post is that you say, " the dealer is telling me that the finance company is giving me a better interest rate if I get the warranty and that if I decline the warranty the interest rate will be higher and my monthly payment will be about the same." As a retired finance officer, I can tell you that not only is that bogus, it's illegal, you can't tie rate to product.It's not the finance company that's giving you a better rate with the warranty, HE is. Rates are determined by credit worthiness, and loan to value. Basically, your finance man needs to make his profit, so if you don't take the warranty, he's going to make it up by charging you a higher rate than he gets from the bank. that is legal. It's just my opinion, but being told that would have led me to shop elsewhere. At least get your financing someplace else now. Look at credit unions, they are more likely to give you better rates on RV's than banks.
Follow up, just read that you walked away, and happy to hear that. Only read your first post before responding, as we're just about to leave for our first camping trip of the season, YEAH!
you have the freedom to name the first dealer, so that others will avoid them.
as someone who used to live in the area, i'd like to warn my friends that live around there.
Thanks everyone. You are all right. I am sure they were thinking if he takes warranty we make a profit and if he doesn't we will just jack interest rate to 9.9% and get it that way. What a scam.
JUST FYI, the dealer is Family RV in Ontario, CA. I researched them once this issue came up and they have a terrible reputation. Should have done this first.
All of you saved me a lot time, money and headache so THANK YOU
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, Shawn- Musician/Entrepreneur
, Zoe- Faithful Golden Retriever
, 2007 Chevrolet Avalanche LS, 2007 Rockwood Roo 23SS w/Equalizer and Prodigy, and 5 Mtn. bikes and 2 Road bikes
