Just saying .. There are other factors (pre-paid maint & ELW)
#1
Member
Thread Starter
Just saying .. There are other factors (pre-paid maint & ELW)
Posting this here after posting similar as a reply in the E63s forum, since relevant here and to both pre-paid maintenance and ELW. The original topic was does pre-paid maintenance really save money.
Pre-paid maintenance can save you "up to 30% off" -- but notice those "up to" weasel words and .... You can save 15% with a Costco card at most dealerships or by just using the regular monthly specials they send you e-mails about. Next there is the time-value of money. If you pay now and you can be earning 15% on your money elsewhere, maybe your money should be elsewhere. Even in 2008-09 my money market funds paid 15%. [Stable investments for 15% in bad years and 25% in good ones lets me sleep at night.] Next, if you pre-pay maintenance and you trade in do you get anything back or additional? On MBZ's Extended Limited Warranty (ELW) you do not, versus being able arguably get some value back if you transfer to a private party purchaser. Just saying ....
Pre-paid maintenance can save you "up to 30% off" -- but notice those "up to" weasel words and .... You can save 15% with a Costco card at most dealerships or by just using the regular monthly specials they send you e-mails about. Next there is the time-value of money. If you pay now and you can be earning 15% on your money elsewhere, maybe your money should be elsewhere. Even in 2008-09 my money market funds paid 15%. [Stable investments for 15% in bad years and 25% in good ones lets me sleep at night.] Next, if you pre-pay maintenance and you trade in do you get anything back or additional? On MBZ's Extended Limited Warranty (ELW) you do not, versus being able arguably get some value back if you transfer to a private party purchaser. Just saying ....
#2
Senior Member
Hope this helps.
Bill