Understanding warranties for repossessed cars is crucial for ensuring you make an informed purchase.

Q: What is a warranty?

A: A warranty is a promise or guarantee provided by the seller or manufacturer regarding the condition of the vehicle and coverage for repairs within a specified time frame.

Q: Do repossessed cars come with warranties?

A: They often do not come with warranties, but it depends on the seller. Some dealers may offer limited warranties or sell vehicles “as-is”.

Q: What is an “as-is” sale?

A: An “as-is” sale means the buyer agrees to purchase the vehicle in its current state, with no guarantees regarding its condition or performance.

Q: Can I purchase an extended warranty for a repossessed car?

A: Yes, many dealers or third-party providers offer extended warranties that can cover certain repairs after the initial warranty period.

Q: How can I check if a vehicle has an existing warranty?

A: You can check the manufacturer’s website with the VIN (Vehicle Identification Number) or contact the dealer to inquire about any active warranty coverage.

Q: What should I look for in a warranty for a repossessed car?

• Coverage for major components like the engine and transmission.
• Duration of the warranty (in months or mileage).
• Types of repairs covered and any exclusions.
• The deductible amount for repairs.
• The reputation of the warranty provider.

Repossessed Car Warranty Checklist

Statistics on Warranties for Repossessed Cars

According to recent surveys:

• 65% of repossessed cars sold are “as-is” with no warranty.
• 30% of buyers opt for extended warranties to cover unexpected repairs.
• 15% of buyers reported significant repair costs within the first year of purchase.

Mind Map of Warranties Considerations

– Repossessed Car Warranties

• – Definition
• – Types of Warranties
• – Check Existing Warranties
• – Purchase Extended Warranty
• – Key Factors to Assess