Cars - How to Transfer a New Car Warranty

How to Transfer a New Car Warranty

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Even a brand new car can have expensive problems.

new car engine with red trim image by Raxxillion from Fotolia.com

A new car is a complex piece of machinery and if any of a thousand parts should fail, your new car could need expensive repairs. Who pays for these repairs? If you have a new car warranty, then most repairs are covered and are paid for by the dealer or an insurance company. Transferring this new car warranty to a new buyer when you sell your vehicle can make your vehicle more attractive and more valuable.

Difficulty: Easy

 

Instructions

Transferring a New Car Warranty

1. Read your new car warranty carefully to see if it is transferable to a new buyer. Most are, but some new car warranties are void if you sell your vehicle. Most new car warranties are based on the vehicle identification number (VIN) of the vehicle itself and not on the name of the owner, so the warranties are fully transferable--but check at the time of purchase as there are notable exceptions.
   
   
2.   Hand the transferable new car warranty to the buyer of your car at the time of sale. Inform them that they need to contact the car's warranty department (listed on the warranty) and inform them that the car has been sold and that they are the new owners.
3. Fax the title and or registration to the warranty department if requested. This must be done by the new owners, informing the warranty department that the title has changed hands. There is seldom any fee involved in transferring a new car warranty.
   

Transferring an Extended Warranty

4. Read the extended warranty carefully. If the extended warranty is transferable (most are, but some are not) then there will be detailed instructions you need to follow to transfer the extended warranty to the new owners of your car.
   
   
5. Call the dealership from which you purchased the extended warranty if you are unsure of the transfer procedure. They will provide you with all of the information you need.
   
   
6. Fill out a transfer of ownership form (provided to you by the dealership which sold you the extended warranty in the first place) and pay any applicable fees. Make certain that it is clearly spelled out at the time of sale who is responsible for paying the transfer of ownership fee--the seller or the buyer of the car.