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Introduction to Consumerism

Introduction to Consumerism. Lesson 1: Warranties. Lesson Objectives. Define a warranty. Demonstrate the ability to ask important questions regarding warranties. Warranties.

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Introduction to Consumerism

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  1. Introduction to Consumerism Lesson 1: Warranties

  2. Lesson Objectives • Define a warranty. • Demonstrate the ability to ask important questions regarding warranties.

  3. Warranties • When you make a major purchase, the manufacturer or seller makes an important promise to stand behind the product. It's called a warranty. Federal law requires that warranties be available for you to read before you buy even when you're shopping by catalog or on the Internet. Coverage varies, so you can compare the extent of warranty coverage just as you compare the style, price, and other characteristics of products.

  4. Important ?’s to Ask About Warranties… • How long does the warranty last? Check the warranty to see when it begins and when it expires, as well as any conditions that may void coverage. • Who do you contact to get warranty service? It may be the seller or the manufacturer who provides you with service. • What will the company do if the product fails? Read to see whether the company will repair the item, replace it, or refund your money.

  5. Important ?’s to Ask Cont’d….. • What parts and repair problems are covered? Check to see if any parts of the product or types of repair problems are excluded from coverage • Does the warranty cover "consequential damages?" Many warranties do not cover damages caused by the product, or your time and expense in getting the damage repaired. • Are there any conditions or limitations on the warranty? Some warranties provide coverage only if you maintain or use the product as directed.

  6. Review • Define a Warranty.

  7. Group 1 • You want to purchase a new HDTV from the local HHGregg. The salesman is presenting you with a great price on the TV you want and it comes with a 1 year warranty. What are some questions you might ask the salesman about the warranty?

  8. Group 2 • You just purchased a washer and dryer from Home Depot. Your warranty lasts 1 year and you have had the washer and dryer for 6 months. The washer broke and you need it fixed. What questions about the warranty would have been good to ask home depot before purchasing the washer and dryer?

  9. Group 3 • You just dropped your cell phone in a puddle of water, your service provider does not cover consequential damages. Will they replace your cell phone at no cost to you? What questions could you have asked your provider before signing up that could have helped?

  10. Group 4 • You are leasing a vehicle and decide to buy, while leasing the vehicle the vehicle was under warranty with the dealership. What are some good questions to ask about the warranty before deciding to buy the vehicle?

  11. Group 5 • You are looking to purchase a computer and the manufacturer has a 1 year limited warranty. What would you ask the salesman before purchasing the computer?

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