According to the market research firm Harris Interactive, one in three vehicle owners plan to spend some or all of their tax refund checks on their car, truck or SUV, and nearly a quarter of them will be trading in their current vehicles for a new or used car.
Each policy is different, but most service contracts do not cover all repairs. Repairs for brakes, clutches, and other common parts that can be repaired during routine car maintenance may not be in the service contract.
A vehicle service contract from a reputable dealer or company is an excellent thing to buy. However, such contracts can be voided if the rules are not followed.