New Car Warranties

When you buy a new car, it will be covered by the manufacturer's warranty, in which the manufacturer promises to pay for particular repairs should things go wrong - usually for the first 3 years. Although it's easy to assume that the warranty will pay for any defects, this is rarely the case. It's therefore very important to read the terms carefully so that you can check what is - and what isn't - covered.

In order for you to benefit from the warranty, there are usually some fairly strict rules which you must stick to, and failing to do so will often invalidate the warranty altogether. For example, you may be required to service the car at specific intervals (every 10,000 miles for example). Car manufacturers are no longer allowed to include restrictive servicing clauses in their new car warranties, so you will not be forced to use a franchised dealer for servicing; however, you should still check your warranty for any rules relating to this.

A warranty may not diminish any of the rights a consumer has under the Sale of Goods Act (such as the right to reject a faulty car); it should contain a statement to that effect. The Unfair Terms in Consumer Contracts Regulations 1999 also apply to warranties, and takes issue with any term in a contract which is deemed to be 'unfair' to a consumer. It's worth seeking legal advice if you find that the terms of your warranty seem unreasonably difficult to stick to.

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