What is your question?
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What is your question?
I bought a used 2013 Kia Sorento at 64000 miles late 2013 for 25,000 on a 5 year finance. In addition I purchased an extended waranty for 2300 whch would cover the car for 48000 miles. I keep up regulare maintenance through the dealership. My engine recently went out at 116,000 miles. My extended warranty expired at 112,000 miles. The cost of the repairs is $8,300, I currently owe $17,000. What should I do, should I A. Pay for the repairs and try to look for an extended warranty to try and cover the maintance on the car which is almost at 120,000. B. Pay for the repairs and trade the car in thats valued at around $8,000-$9,000 and roll the negative equity into a newer vehicle. Which would have to be a higher end vehicle to mask the amost 9,000 dollars worth of negative equity. or C. Pay the repairs and do not purchase an extended warranty which could cost anywhere from a $1,500 to $3,000. I currently make a payment on my car for $460 a month and on another car for $444. The car for $444 has 60,000 miles on it and is interest free and only has about 5,000 owed on it.
1 Reply
Hello, I would take secret option C. If you have the engine replaced literally anywhere besides the dealership, that bill will be cut down dramatically. Also, if you purchased a used engine with a warranty, the cost will be cut in half. Many people do not like the idea of a used engine, but think about this: the engine in every vehicle you see driving on the road is used. All of them. Using a good independent technician can dramatically reduce repair cost, as mentioned, and to be honest, a vehicle which is out of warranty is not the best candidate for dealer services based on the cost of maintenance and repairs. Extended warranties are great as long as they pay for services, but honestly the cost of the extended warranty is totally up to you, and whether or not it is worth it depends on unforeseeable events that may or may not occur. The other portion is that you should owe nowhere near 17,000 on a 5 year note that is one year from maturity, so I'd recommend scrutinizing that information. Hope this helps, and let me know if you have any other questions.
