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Be wary of Honda’s service plans.

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  • AdrianC
    AdrianC Posts: 42,189 Forumite
    Eighth Anniversary 10,000 Posts Name Dropper
    edited 24 February 2021 at 3:15PM
    Belenus said:
    In 2015 I bought a used but only two months old BMW Series 1 from a BMW dealer. They also sold me a five year service plan for £500.

    That five years has now expired but I think I got my money's worth. Apart from anything else I had peace of mind for five years knowing that I was unlikely to face an unexpected cost.
    Service plans don't cover "unexpected costs". They cover perfectly expected ones, the scheduled services.

    The nearest you'll get to covering unexpected ones is a warranty.

    Service plans just tie you into servicing with that dealer - they're no more than a discount for paying for five years' services up-front.
  • cymruchris
    cymruchris Posts: 5,562 Forumite
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    sheramber said:
     if you had read the plan when you got it at 4 months you may have had a chance of cancelling it and getting a refund.
    But you have used it so that would imply you accepted the terms.
     Did the garage tell you the car was non refundable when you bought it?
    It's a good point - you acknowledge receiving the terms and conditions 4 months after purchase - did you read them at that moment in time and query whether anything was refundable? Or did you do what most people do? Move the email to your filed box or put the letter in a drawer somewhere?
  • Remember, for every bad dealer out there, there are hundreds of customers are just as bad to deal with.
  • Stubod
    Stubod Posts: 2,574 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    edited 25 February 2021 at 7:33PM
    .....not sure why anybody would think that a service plan is refundable??
    ...if you sell the car then the service plan goes with it so you may recoup some costs that way?
    .."It's everybody's fault but mine...."
  • Grumpy_chap
    Grumpy_chap Posts: 18,247 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    A part-used service plan is clearly not refundable (any more so than a part-eaten apple pie), but a part-used service plan can be transferred to the next owner of the car.  It probably won't add value particularly, it can make the car slightly more desirable, easier to sell.

    Having seen the poor arrangement that the Honda service plan system works to through my mother's Jazz, the plan is possibly good value from a purely price point of view, but I agree with the OP that the amount of hassle means it really is not worth having:
    • Honda have a very slow and cumbersome system for setting the plan up
    • some Honda dealers refuse to accept the car for a service under the plan
    • those that do won't provide an "courtesy" elements such as pick-up and return (all promised when the plan is sold)
    • Dealers argue over what is in the plan - every service there is a bill for "extra" that has to be demonstrated it was in the plan scope
    I would never recommend anyone again to get the service plan with a new Honda.  The whole way the scheme works is nowhere near as well-structured as the similar plans from Mini / BMW, for example.
  • Stubod
    Stubod Posts: 2,574 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    ..friend of mine purchased a used Audi and when he took it in for its service he was expecting to pay £300+, but when he went to pick it up he was told "no cost" as it was covered by the previous owners service plan...happy days...
    .."It's everybody's fault but mine...."
  • woodchal said:

    The unused servicing can be transferred to the buyer of your vehicle

    This is the point, you are getting a refund because the value of the remainder of the term is contributing to the price of the car when you sell it.
  • cymruchris
    cymruchris Posts: 5,562 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper Photogenic
    jack_pott said:
    woodchal said:

    The unused servicing can be transferred to the buyer of your vehicle

    This is the point, you are getting a refund because the value of the remainder of the term is contributing to the price of the car when you sell it.
    But they aren't because they've decided to trade it in at a different car brand dealer who isn't giving them any allowance for it. They have two options to gain value back - either sell privately - or part ex at a Honda dealer.
    They've chosen to part-ex at a non-honda dealer - so they aren't gaining any of their original investment back.
  • Jenni_D
    Jenni_D Posts: 5,430 Forumite
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    Has the OP been back to this thread? I ask because I previously asked:
    Jenni_D said:
    Is there a specific reason why you need to get rid of both of your existing cars for a "new" one? I'm assuming that your wife will no longer drive - so why not simply sell yours and keep the Jazz?
    but can't recall seeing a reply. Surely this would be the most cost-effective approach - unless there's a specific reason why the OP is taking the path of replacing both cars.
    Jenni x
  • A part-used service plan is clearly not refundable (any more so than a part-eaten apple pie), but a part-used service plan can be transferred to the next owner of the car.  It probably won't add value particularly, it can make the car slightly more desirable, easier to sell.

    Having seen the poor arrangement that the Honda service plan system works to through my mother's Jazz, the plan is possibly good value from a purely price point of view, but I agree with the OP that the amount of hassle means it really is not worth having:
    • Honda have a very slow and cumbersome system for setting the plan up
    • some Honda dealers refuse to accept the car for a service under the plan
    • those that do won't provide an "courtesy" elements such as pick-up and return (all promised when the plan is sold)
    • Dealers argue over what is in the plan - every service there is a bill for "extra" that has to be demonstrated it was in the plan scope
    I would never recommend anyone again to get the service plan with a new Honda.  The whole way the scheme works is nowhere near as well-structured as the similar plans from Mini / BMW, for example.
    A good few years ago I bought a Honda service plan with a 18 month old Civic Type R from a dealer on the south coast. I confirmed the plan provided national coverage. I had 5 services carried by my local Honda dealer. No issues and  great value. Definitely the way to go if keeping the car for a period. I’m sure your mistaken because any and every Official Honda dealer will honour a Honda service plan.
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