Pros and Cons of Pre-Paid Car Maintenance Plans
When a consumer buys a new or used car from a dealer, they might be offered a pre-paid maintenance plan. This is not the same as an extended warranty or an extended service contract. A pre-paid maintenance contract is offered for new cars without a factory-backed maintenance plan and for used cars sold by the dealership. These plans cover, for a specific amount of time or mileage, the scheduled maintenance spelled out in the vehicle owner's manual.
To determine whether a pre-paid maintenance plan is right for you, consider the following list of pros and cons.