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Path: utzoo!linus!philabs!cmcl2!seismo!hao!woods
From: woods@hao.UUCP (Greg Woods)
Newsgroups: net.consumers
Subject: Re: Are service contracts worth getting?
Message-ID: <1546@hao.UUCP>
Date: Sun, 19-May-85 23:31:56 EDT
Article-I.D.: hao.1546
Posted: Sun May 19 23:31:56 1985
Date-Received: Tue, 21-May-85 05:02:05 EDT
References: <1406@mtx5b.UUCP> <1539@hao.UUCP> <650@lsuc.UUCP>
Organization: High Altitude Obs./NCAR, Boulder CO
Lines: 31

> 	(a) you'll get repairs you otherwise wouldn't, and

  Not always true. Many local repair services are highly reluctant to perform
warranty work, since they have to get reimbursed through the factory. They will
do it of course if required, but it's often a real hassle to get them to agree
that a repair is really needed. It sounds like you found a good dealer. Lucky
you. I sure wouldn't count on that kind of response.

> 	(b) you can be less careful about how you treat the appliance

  With any decently-built appliance, not that much care is required. I'm
willing to bet on my ability to not do anything stupid, and I'm willing
to pay the consequences if I do. So far, I've saved a lot of money by
*not* buying service contracts. GE wanted nearly $200 for my washer and
dryer for a year. That is 15% of the original purchase price. I think
one average repair bill would be less than that. I'd rather take the risk.
I still claim the odds are in my favor. I do not deny that the contract
pays off in the short run if something goes wrong. I merely maintain that
over the course of a lifetime you will be better off *not* letting them
rip you off for what amounts to an insurance policy, which is *always*
rigged to make money for the seller.

--Greg
-- 
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