You must purchase an extended car warranty in order to qualify for car financing.
You do not have to purchase an extended car warranty or any other coverage such as credit life insurance in order to qualify for car financing. Financing is approved or denied based upon your credit, and nothing else. By financing an extended warranty in your car purchase, you will be paying additional interest. Some of the warranty providers found on this website can offer you interest free financing apart from your car loan.

I don't need an extended warranty, I'm covered by the manufacturer.
Once your manufacturer's warranty expires you will need some form of warranty coverage. With the complexity of today's vehicles, one major repair often costs more than the extended warranty itself. Hourly labor rates can top $90 per hour in some areas, and with the sophistication of the parts in a car you can pay an astronomical amount for just a failed part alone - not counting the labor.

Another important point to remember is this: Many extended car warranties are transferable to a new owner, and will increase the resale value of your vehicle to potential buyers.

A "mechanical breakdown" warranty offers the same coverage as a "wear and tear" warranty.
If "wear and tear" is not covered specifically in the written warranty contract, then you are probably being offered a "mechanical breakdown" warranty. There are many components in your vehicle such as piston rings and CV joints, that usually wear out instead of breaking, in which case, they would not be covered under a "mechanical breakdown" warranty. This type of warranty is less expensive and offers less coverage than a "wear and tear" extended warranty. Be sure to read the definitions section of the warranty you are considering to make certain you know exactly what you are buying.

My car repair shop won't accept third party warranties for repairs.
Most extended car warranty companies pay the any repair facility immediately over the telephone by credit card, so there should be no objections about accepting the warranty. An extended warranty will require a car dealer do less paperwork than they do for a factory warranty claim, and not wait for reimbursement.

My extended warranty contract automatically goes into effect as soon as I pay for it.
Extended warranty companies usually give customers a plastic ID card or similar identification, so if you don't receive confirmation of your contract, you may not yet be covered. There have been instances where consumers have had no idea they were without coverage until several years later, at which point it was impossible to trace their applications -- or their costly premiums. Ask when you buy an extended warranty exactly when your new warranty will start.

I already have powertrain coverage that lasts even longer than my original bumper-to-bumper coverage, so I do not need to buy an extended warranty.
Once your original bumper-to-bumper warranty expires you will be without coverage for the parts and systems that most frequently fail such as high tech sensors, computers, air conditioning and many other parts.

The wrap warranty is a new type of extended warranty plan that offers additional coverage for new vehicles whose powertrain warranty runs longer than the original bumper-to-bumper plan from the manufacturer.

The manufacturer's powertrain warranty only covers about 1/4 of the vehicle's components. Wrap warranties pick up the remaining 3/4 of the vehicle's components for the same term, including such things as air conditioning, electronics, electrical, brakes, ABS and much more.