Introduction to the WA Post story on service contracts (sometimes wrongly called "extended warranties")
Cost of a three-year extended warranty for a dishwasher: $157.97.
Average cost of a dishwasher repair: $159.
The fact that service contracts often cost about the same as a repair is just one reason extended warranties — also known as service contracts and protection plans — are hardly ever a good deal. After all, what if you never need a repair? Then that’s $157.97 you didn’t have to spend.
“You can insure your life against every possible calamity, but you’ll go broke in the process,” said Anthony Giorgianni, associate finance editor at the nonprofit Consumer Reports. “You are paying for something in advance with the hope that they’ll cover you when something goes wrong, but you may not need the service, or it may not be available.” ...
Read the rest
LAWYERLY FINE PRINT:
John Gear Law Office LLC and Salem Consumer Law; John@JohnGearLaw.com and SalemConsumerLaw.com. My office is in Suite 208B of the Security Building in downtown Salem at 161 High St. SE, across from the Elsinore Theater, a half-block south of Marion County Courthouse, just south of State Street. There is abundant, free 3-hour parking on my block and throughout downtown Salem, and three free parking multi-story parking ramps in downtown Salem as well.
I am only licensed to practice law in Oregon. This site may be considered advertising under Oregon State Bar rules. I don't give legal advice on this site; don't interpret anything you read here as intended for your particular situation. Besides, I'm not your attorney unless we have met in person and you have hired me by entering into a representation agreement with me. While I do want you to consider me when you seek an attorney, you should not hire any attorney based on brochures, websites, advertising, or other promotional materials. All original content on this site is Copyright John Gear, 2010-2019.