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BMW considering lease excess-wear-and-tear policy and extended CPO warranty

News | July 18th, 2011 by 2
leasing

According to Automotive News, BMW Financial Services is looking to add two new items to the offerings for lease and pre-owned vehicle customers. One is …

According to Automotive News, BMW Financial Services is looking to add two new items to the offerings for lease and pre-owned vehicle customers.

One is an excess-wear-and-tear policy for lease customers that will allow for additional insurance when the vehicle is returned. By adding this policy to their lease, customers will be less responsible for wear-and-tear items at the end of their lease, and additional charges could be avoided.

BMW considering lease excess wear and tear policy and extended CPO warranty

The other is a “CPO wraparound” product that would enable certified pre-owned vehicle customers to purchase coverage beyond the standard 6-year/100,000-mile warranty. For those that don’t know, in BMW terms, the certified pre-owned program is a service you can opt for on any BMW over about 10,000 and under 60,000 miles. However, for a vehicle that is less than 4 years old and has mileage that low then you should hold off as the factory warranty is still more than likely available on the car. As for the warranty itself, it’s good for 2 years or the next 50,000 miles from when it is certified.

“We’re in our due diligence” on those products, says Shaun Bugbee, vice president of sales and marketing at BMW Financial Services.

If approved, he said, the products probably would launch around the end of the year.

For more information on BMW warranties, read our BMW Extended Warranty

  • Tom

    It’s something to consider, especially if the price is reasonable. BMWs have typically have costly maintenance issues at 100-120k mark.

  • Auto Broker

    My BMW 540i started having trouble around 90K miles and has become a maintenance nightmare.  Every time something goes wrong, it’s a minimum of $800.  My car has 118K on it now (only 28K since it started having trouble) and the costs have been very high.  Here’s a list of things I can remember: Power steering reservoir leaking, brake master cylinder reservoir leaking seals, coolant overflow level sensor broken, fan clutch worn out – causing the fan to hit the shroud and breaking both and putting a hole in the radiator, engine gaskets leaking (front seal, valve covers and exhaust manifold), transmission valve body rebuild (recommended a transmission rebuild, but able to get away with a valve body rebuild for now), dr side door seal bad.  This car sits in the garage most of the time and I think I’ve but a whopping 1.5K on it the last year.

    I do love how the car drives and as crazy as it sounds, I don’t want to let it go.

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