Beware dealer Extended warranties prices....

You can cancel the warranty with no penalty and 100% refund. Write or telephone Toyota (the number is on your policy application) and tell them to cancel your policy or put it in writing. Then buy your new Toyota Platinum policy through this site.

Don't feel bad. Screwing customers is what salesman are all about!!

 

I agree. From everything I've read on this forum, you can get out of this policy without penalty. I would go right to the dealer asap and tell them you want out of it, and you want the financing refigured, and you don't like the fact that they tried to screw you. And if they give you a runaround, tell 'em either they sell you the policy for a thousand bucks, or you're going to contest the $5000 credit card charge until the policy is cancelled and you getyour money back.
As you said - time to play hardball. Good luck, and let us know how you made out.

 

$2200 sounds close to a new high in extended warranty ripoff-dom.

 

Ouch! I feel the pain. Absolutely cancel and re buy. I got my warranty here and it was painless and smooth. Got the paperwork promptly and a letter from Toyota shortly there after.

 

They will give you a tremendous amount of resistance, because now they will feel like your taking money out of thier pocket... they hate it when you do that!!!

Since this forum has asked that we not reveal thier source and mess it up for everyone else.
It will be hard to use the term "I've been ripped off" unless you bring a much cheaper alternative to their attention. Even then in thier mind, you bought the goods so they will feel no remorse for selling you what they sell tons of other people. If you want them to do anything for you.. you can't piss them off before you even get started. . Dealers hate brokers and such who deal directly with the enduser/layperson, becuase it removes thier edge to screw.. opps.. I mean "deal".
It may be best to just tell them you had a change of heart if you need to say anything.

If fact.. I don't even think you need to tell them anything!...At this point they cannot benifit you and they won't.....Its all about them. Its your business and your money, but they think its thiers!

Just write Toyota and ask for a refund. your done! The dealer will figure it out when the dust settles...
If you try to go in person to get satisfaction, you may stir up more than needed.
At best, you'll spend 3 hours talking to finance managers and the like before they render anything back over.. my bet is they won't be so nice about it!...
If you want to take the chance......

Call toyota and tell them what happened "don't mention this site" and you simply don't want the extra warranty and ask them the best way to handle it?

 

I agree that this is the best and easiest approach.
I cannot imagine Toyota giving you a hard time over this.

 

I just want to emphasize that you should not to tell anyone you found a better price on this site.

All the dealer or Toyota needs to know is that you changed your mind.

PS: When you buy the warranty from Troy it is a great price and it is the official Toyota warranty. The best part is that Priuschat gets a cut so you are helping Priuschat as well.

 

If you feel the need to tell the dealer something, for future relations purposes, I suggest you simply say that you had buyer's remorse when you got home and found out you didn't really have to commit to the EW until 3 yr/36K mi. After all, the EW added nearly 10% to your purchase price.

Their response is that you don't know how much the EW will increase in price in 3 years. Your response should be that you don't see any point in financing the EW, in addition to the car, when you could be using that extra money (little as it might be). You can save up a little and buy the EW without paying interest on it.

Hope I caught you. Don't feel bad. The truth is on your side, and they know it.

 

In case you're looking for an extended service contract for another make of vehicle, here is a list of dealers who have agreed to sell extended service contracts for a fixed amount above their cost (usually $50-$100 above cost):

http://www.checkbook.org/auto/ExtendedService.cfm

 

YAAaaaaaaaaa another winner! you won they lost! smart consumer wins!

 

Actuially, since you are in California you have a lot of leverage to cancel the Extended Warranty. (Although big business and the current administration are doing everything they can to gut these protections.)

The difference between what your "dealer" charged ($2200) and what is available through priuschat/Troy ($990) is essentially clear profit to the dealer. Salesmen and/or financial guys get a nice commision on every one they sell.

Since you have some time before you need to purchase the Extended Warranty it might be a good idea to hold off for a month or two after you cancel the current one. By then the original paperwork will have disappeared. (Just my opinion.)

 

I got the pre-paid plan thru priuschat/Troy too. I'm too lazy (and too old) to do my own service.

I just had my first service at a local dealer and they accepted the coupon with no problem. The service writer didn't even appear surprised when he saw the other Toyota dealer's name (in Mass.) on it as the issuing dealer. I guess it wasn't the first one.

The key to using the pre-paid maintenance is to make sure that you are very specific as to what you want done. Look at the service schedule in your information package that came with the car. Service Departments are in business to make a BIG PROFIT $$$$ so they will use any excuse they can to get you to let them do additional work, e.g., heavy usage, dusty conditions, etc.. This extra work is not covered by the pre-paid plan and you can end up with a bit of a surprise when you pick up the car. All I had to do was sign the service order and drive away. It looks like the service cost would have been about $150 if I had not had the plan.

 

When I bought my 05 in Dec, the dealer had tacked on some sort policy that I was unfamiliar with, I think it was something to do with theft and tracking. Since I had already paid them in full, I simply went back to the big chief Sales Mgr and calmly mentioned that I did not want this thing that they had tacked (cost, around $300.00) We then went over to the contract writer I dealt with, he changed it and they cut me a check, no hassle at all. However I was careful to keep my tone polite and businesslike and absolutely, no anger. I am curious as to what your approach was. If you still think you were handeled badly, then by all means name the dealership to warn others in your area. In my case they were certainly aware that I could cancel my check at any time and it wasn't necessary to even get close to that type of discussion. Glad you resolved the problem tho.

 

Way to go, James. Sorry it had to be so unpleasant. Those kinds of confrontations physically "stay in my system" for hours.

Someone posted here recently that the "retail" price of an extended warranty is about $1,450. I don't know where that comes from. We know that even people like Troy don't sell them at a loss, so it's safe to assume their cost isn't much more than $900, if that. (Anyone know?)

Therefore they were trying to gouge you for at least $1,300. That's 144% profit. The markup built into MSRP on the CAR isn't much more than that (invoice on the '06 base model is just over $20K). Unconscionable.

How close are the next nearest 1-2 Toyota dealers to you? Is one close enough to be worth driving a little farther?

 

The suggested retail prices are published on the Toyota Financial Services site at:

New Vehicle Protection Plan Comparison: Pricing Comparison

Troy's profit margin, if my memory serves me right, is about $100.

 

Not sure why everyone is saying not to mention PC when talking about buying an extended warranty ... if you Google "toyota prius extended warranty" the fourth link is to PC: http://priuschat.com/Discounted-Toyota-Pri...acts-t3130.html

I researched my extended warranty with Ford on my last car, and then asked the dealer if he could match the price. He was happy to do so. Had I asked them for the price, they would have quoted me the list price, I'm sure. I bought it at 35,000 miles, just before the original warranty expired. I'll do the same with the Prius warranty when I pick up my 06 just after the first of the year. There's no sense spending even $995 now when you can't use the benefit of it for another 3 years.