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Mandatory "optional" extended warranty

Discussion in '360/430' started by MarlinGrando, Aug 28, 2007.

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  1. MarlinGrando

    MarlinGrando Karting

    Aug 3, 2007
    71
    West Coast
    #1 MarlinGrando, Aug 28, 2007
    Hello all, just a quick check to see if anyone else went through what I did. As I was finalizing the deal on my F430, dealer gave me a few weeks to pay the last $80K with proceeds from a sale of one of my cars although I guess since I had already given him $165,000 it wasnt that huge of a gesture.

    In any event, when we first went through the papers he added the $6000 power warranty that I didnt want nor need since I would only have the car for 2 years at the most before a 599 beckoned. He told me that he would try to take it off yet when I went in there today to drop off the balance he had not changed it and instead told me that "Ferrari changed their position and they now require it". His reasoning? "well Ferrari is only making a limited amount of cars so they are requiring it to increase revenue" yet when I told him I highly doubted that it was legal to force someone to pony up an additional $6000 for an optional extended warranty to which he simply replied " Well they're Ferrari so they do what they want and plus it will help you with resale later when you sell since you ll have an extra year of warranty for the new buyer". Sure it may help but its still like basically throwing away $6000 since I will never get the benefit of that extra year.

    As I was leaving I said I would mention this to my Attorney to see if this was enforceable to which he replied he would see if they could do something to get it refunded. Obviously they cannot do this(well seems obvious to me but I have been wrong before lol) and it is merely an extra avenue for revenue for the dealership as Ferrari probably gives them a rebate back on every Power Warranty package they sell. So I just wanted to see if anyone else has experienced this tactic from a dealer or heard of something similar happening. When you re spending 250K on a car the $6000 is not a huge factor but to me it is the principle and being forced to do something they have no right to do. $6000 is obviously a decent sum of money so it doesnt seem right to throw it away if I will only have the car for a few years..

    A second query if you dont mind, if you were to purchase a used F430(say a 2 year old car) would the inclusion/exclusion of the power warranty be a deciding factor in whether you buy the car so that you can have a extra year of warranty?

    As always thank you for you opinions and relating your experiences...

    Marlin
     
  2. Private_Joker

    Private_Joker Formula Junior

    May 2, 2007
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    718 and 978
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    Tom
    #2 Private_Joker, Aug 28, 2007
    No Ferrari experience, but too much dealership experience and that sounds like BS from here. Contact FNA directly, see what they say, then call him out on it. As for resale, it would certainly help, but there's no way it would be the deciding factor if I was buying a 430.

    Ferrari North America
    Phone: 201-816-2600
    Fax: 201-816-2626
    Website: www.ferrari.com
     
  3. marksp

    marksp Formula Junior

    Jul 10, 2006
    737
    Redmond, WA
    #3 marksp, Aug 28, 2007
    The "optional" extended warranty has been included on Spiders for quite some time. Sounds like the practice is being applied to coupes now as well? Doesn't really help you except to know that most, if not all Spider owners have contributed to the optional warranty fund.
     
  4. okhjoon190

    okhjoon190 Karting

    Dec 15, 2006
    116
    BEVERLY HILLS
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    MIKE Z
    #4 okhjoon190, Aug 28, 2007
    i had to buy it on mine

    it took up 6000 in extra options i could have put on the car
     
  5. fc2

    fc2 F1 Veteran
    Owner

    Nov 2, 2006
    5,263
    Silicon Valley Ca.
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    Frank C.
    #5 fc2, Aug 28, 2007
    I can't help on the new-car side, but as a guy who buys used exotics I'd sure like to buy one that's got a year or more of factory warranty left... but as said below, it wouldn't be the deciding factor as I'd get a full PPI etc done regardless.

    Frank
     
  6. Private_Joker

    Private_Joker Formula Junior

    May 2, 2007
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    #6 Private_Joker, Aug 28, 2007
    Haha wow, that's bull****. Based on what other people have been saying, perhaps it has become mandatory... Seriously though, Ferrari should raise the MSRP and include it in the price, I'd feel blindsided if something like that happened to me.
     
  7. M400ROCKET

    M400ROCKET Karting

    Oct 16, 2006
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    DALLAS, TX
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    #7 M400ROCKET, Aug 28, 2007
    It's totally illegal for a Ferrari dealership's F&I Office to make it mandatory for you to purchase the extended warranty. I hope you didn't pay for it already (if you did, call FNA and cancel it and get the money back ASAP as it is prorated coverage).

    Your attorney will have a field day with this. You need to call out which dealership this is so other buyers can get involved. I've seen "Channel 5 News" get called on this several times
     
  8. Skyler360Spider

    Skyler360Spider Formula Junior

    Oct 15, 2005
    538
    The OC, USA
    #8 Skyler360Spider, Aug 28, 2007
    Last edited by a moderator: Sep 7, 2017
    My brand new 2007 F430 F1 Coupe came with the 4 year warranty stated as a new requirement on all new F430's Coupes and Spiders. But was I going to argue over 6K Versus a brand new F430...no way...I'm loving it and hopefully use it all four years!

    White is so beautiful on the 430, Marlin congratulations on the new purchase!
    Image Unavailable, Please Login
     
  9. SrfCity

    SrfCity F1 World Champ

    Nov 1, 2003
    10,142
    Orange County, CA
    #9 SrfCity, Aug 28, 2007
    Sounds like you paid sticker for the car. If that's the case you're looking a gift horse in the mouth. If I was looking for a used F and it had another year of warranty I'd take that over another car no questions asked.
     
  10. LouB

    LouB Formula 3

    Apr 15, 2001
    1,811
    FL, OR
    #10 LouB, Aug 28, 2007
    You may be right and you can do this of course but it will almost certainly be the last F car you buy from a dealer at sticker. Is that what you really want?

    The extended warranty was on the sticker for my 430 Spider.
     
  11. RichardCH

    RichardCH F1 Rookie
    BANNED

    Jan 16, 2005
    4,661
    #11 RichardCH, Aug 28, 2007
    extended warranty is SERIOUSLY for losers in 2007, UNLESS you have a V12 Ferrari
     
  12. Private_Joker

    Private_Joker Formula Junior

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    #12 Private_Joker, Aug 28, 2007
    Surely a sticky situation. I agree with Lou, you can legally get the car and force them to keep the warranty, but if you plan on buying F cars in the future you'll spend more than that in mark-ups. Selling new cars is such a subjective business, sometimes it's best to bite the bullet, even though it sucks.
     
  13. roccoriley

    roccoriley Karting

    Jun 24, 2007
    230
    So Cal
    #13 roccoriley, Aug 28, 2007
    The contract you signed would govern the issue. If the contract specified that you were purchasing an extended warranty than you are not going to force a change after you sign the contract. Perhaps you can cancel the warranty but, again, read the text of the warranty and see if that is an option.

    When you are buying a car and they present you with a contract, if there is something you don't like just use your pen and scratch it out. They will piss and moan about it but you should not be signing something that you are not in full agreement with.
     
  14. gam4

    gam4 Formula Junior
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    Nov 22, 2003
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    #14 gam4, Aug 28, 2007
    Is the $6K warrenty on the coupe also or just the spyder?
     
  15. hardtop

    hardtop F1 World Champ

    Jan 31, 2002
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    #15 hardtop, Aug 28, 2007
    Two years ago when I picked up my new F430 coupe, the Fcar manager told me that Ferrari added the 4th year warranty on all the spiders as well as the navigation system. Not sure if this idea came from the factory or FNA. He mentioned it really pissed people off and expected litigation on the issue. If there has been litigation on it, I have not heard. I asked why they didn't just wrap it into the base price and tell spider buyers how lucky they were to get four years instead of three years like lowly coupe buyers and avoid pissing people off? He said no one at FNA ever sold cars retail and let it go at that.

    In any event, I don't think your dealer had anything to do with it.

    Dave
     
  16. MarlinGrando

    MarlinGrando Karting

    Aug 3, 2007
    71
    West Coast
    #16 MarlinGrando, Aug 29, 2007

    Thank you for the valued input and also to everyone else for taking the time to respond. I thought it was weird and then took him at his word that he would take it off and then as I said earlier yesterday he gave me the " Ferrari has made it mandatory crap"

    If I planned on having the car for 3-4 years then I defintely would get it but if I am only going to have the car for a year maybe a year and half before the Scuderia or 599 siren song that I cannot refuse calls lol. Still I think its a valued option but OPTION being the key word and should be up to the individual buyer to decide. I will definitely call FNA tomorrow so thank you again for helping
     
  17. MarlinGrando

    MarlinGrando Karting

    Aug 3, 2007
    71
    West Coast
    #17 MarlinGrando, Aug 29, 2007

    Actually I paid $35K over sticker and had no choice but to take someone else's car they backed out on. So yeah if I paid sticker instead of the $250,000 +(MSRP with options was $205,000 +$35K premium+sales tax) then I would probably be more inclined to let it go although really as I said earlier once you are paying this kind of money for a car $6000 is not a lot but for me it was more being told I had to do it. Keep in mind that I am good friends with the GM of the dealership who is the oldest son of the guy that owns it and he told me normally they do not take less than $50K over sticker but would give it to me for $35K over. BTW they had 2 allocations(They sell Ferrari,Lambo,Maserati,Lotus and Audi out of 1 dealership and have another that sells Chevrolet and MAzda) for the Audi R8 and they charged $50K over sticker for both, I cannot even imagine buying an R8 for $168,000 out the door..

    So I guess if they are going to hold a grudge against me and not sell me future F cars because I objected to being forced to give them extra revenue so be it. Money talks and there are lots of places to buy one. FYI, like most car salesmen they make promises before you buy the car but once youve signed the papers they have short term memory problems. For example, prior to the sale he told me because the Ferrari market in the past had been and still is so speculative they demand a 1 year right to buy it back first before being available to sell it to a private market which I had no problem with. However he handed me the document near the end of all the paperwork and it was suddenly 18 months which of course there are ways around it but just tell me 18 months from the start.

    Anyway I definitely appreciate hearing all sides so thank you and I think Lou is right that I do not want to burn a bridge over a small sum for a definite valuable commodity like the extended warranty but still I would like it to be handled the right way and not be subversive. Have a great week all..
     
  18. 2DUCKS

    2DUCKS Karting

    Feb 20, 2006
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    #18 2DUCKS, Sep 3, 2007
    I've been following this thread as I had a new 430 coupe delivered to me this weekend.

    I got to spec it out and all and was expecting my dealership to let me know of this unfortunate extra $6k expense when I came in to pay for it. To my surprise, no 4th year warranty needed. After I wrote the check and signed the paperwork, I asked my salesperson to explain to me why some people from other dealerships were adding the 4th year warranty on the coupes and he said it was up to the individual dealership to add the 4th year warranty or not. FNA was supporting the 4th year warranty, but it was not mandatory. He said the dealership would love for you to buy the 4th year warranty as it would give the dealership some bonus points with FNA, but in my particular dealership, he said it was up to me if I wanted it or not.
     
  19. PCH

    PCH F1 Rookie

    Apr 7, 2004
    3,007
    #19 PCH, Sep 3, 2007
    And why is that?
     
  20. SrfCity

    SrfCity F1 World Champ

    Nov 1, 2003
    10,142
    Orange County, CA
    #20 SrfCity, Sep 3, 2007
    Still this isn't too bad because you were getting a deal. So you could argue that since you were getting a slight discount from market that you got the extended for free ;) It is BS but right now we're still playing by F's rules. As time marches on here that will change with a softening economy. I still think for resale that it's a plus with an extended. If you don't like getting hit with surprise repair bills it's best not to own these cars out of warranty and if you've got an extra year, all the better as an owner and eventual seller.

    BTW, I thought this extended game only applied to the spiders and not the coupes.
     
  21. lapeter

    lapeter Formula Junior

    Jun 13, 2002
    885
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    Al LaPeter
    #21 lapeter, Sep 3, 2007
    I was told that on spiders it is mandatory and not at the dealers option.
     

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