What kind of logic is needed when buying an extended warranty on an appliance?

I have heard people say they refuse to buy a $75 extended warranty on a $400 appliance because at the price of the appliance, if it breaks, they'll go buy a new one.





So they're saying they would rather go spend another $400 within 2 years instead of an additional $75 now. This does not make sense.|||The logic it takes to NOT buy one|||If you don't buy an extended warranty, you're betting that the appliance won't break down. I stopped buying extended warranties when I realized I had paid more for extended warranty than I originally paid for the thing that was warrantied. And it had never needed any service. I've probably saved the price of a brand new refrigerator with all the bells and whistles, over the years, by not buying extended warranties. Appliances I've had seem to last about as long as you'd normally expect whatever it is to last, sometimes longer. I could live with it if the next one turns out to be a dud. The reason the stores push extended warranties is that they make money on them. What does that tell you? If the manufacturers or sellers really had the customer's best interest in mind, they might build the $400 appliance a bit better, charge another $50 to sell it to you, and fix it anytime for nothing, during the usual or average life expectancy of the appliance.|||Those things are a ripoff.


I never buy them


how many times have YOU used them?





By the way, EVERY major credit card doubles the manufacturer's warranty on everything you buy.


yes, really.


And yes, I have gotten things replaced for free through them.|||if the appliance was likely to break down they wouldn't offer insurance or it would cost as much as the appliance, appliances must be of acceptable quality so an expensive washing machine that broke down within 2 years would not be complying with consumer laws anyway|||Dont bother. Most equipment is reliable these days, eg a TV should last at least 5 years and compare the cost of a new tv against extended warranty for same duration!|||You have a manufacturers 2 year guarentee before you need to buy any extra cover for it.