Extended warranties - journalist callout

CHOICE is investigating extended warranties and are looking for people to share their stories. Have you been upsold an extended warranty from a retailer or online? Did you intend to purchase an extended warranty or walk out with one you hadn’t intend to purchase? Have you tried to claim against an extended warranty and what was that experience like?

Drop an email to CHOICE investigative journalist Jarni at jblakkarly@choice.com.au

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I had endless problems with the usually reliable Apple iPhone about three years ago. I had bought it on an Optus payment plan, and Optus refused to fix it, saying that it was an Apple product and therefore up to Apple to fix it. Apple told me that, as I had purchased it from Optus, it was up to them to fix it.

I then purchased an Apple Care Protection Plan for the device, and instantly, Apple took back the mobile phone and replaced it.

I know this isn’t the typical story about people being pressured into purchasing extended warranties, however, it was still the only way I could get either party to take responsibility for a mobile phone, which both Optus and Apple told me did not work. To me, that is a sly way of pressuring Apple consumers to take out Applecare.

I know that under Australian law I am protected in reasonable circumstances without an extended warranty, but I think many Australians feel like me, but it is worth spending the additional money for an extended warranty to simply avoid the hassle of arguing with retailers.

That is rather unfortunate as consumer law is clear that it is the retailer who owns the problem even if they have to get the maker to do the remedial work. You are effectively saying that because the retailer will not do their job, to force the maker to fix the problem, you are paying the maker extra to do it yourself.

Did you go through the formalities of making written complaints etc according to the Choice (and other) guides on the topic?

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Extended warranties are a bunk as far as I’m concerned. With our strong warranty laws in Australia you are covered for a full 12 months from purchase.

For our most used electronic device - I have to nominate the mobile phone, what is more interesting is that some phone makers (most) will stop providing system updates for older devices, meaning that even if you have looked after your phone & it hasn’t encountered any physical breakdowns. You basically have to replace it after 2 or 2.5 years.

Some years back my son saved up to buy a new gaming console and I took him to JB Hifi to buy it. At the counter, the sales assistant tried to talk us into an extended warranty for $70 and I said no. He said if a controller broke it would cover the cost, I repeated “No, we know our consumer rights.” He left it alone after that and put the sale through. The console is still working well, even with shifting homes and the same controllers are still in use.

Yes, I did.

I completely understand that consumers should not have to purchase extended warranties (or in my case, Apple Care). My point however was that recalcitrant or ignorant company staff can cause so much trouble, that consumers feel that if buying extended warranties avoids time wasting drama, it is worth it.