Quote:
Originally Posted by JSWolf
I've known of cases where it's more then paid off to have the warranty. My 505 has never had a problem and I do carry it around with me most times when I leave home. But then, I've also heard of cases where it didn't take much to damage the screen. Sometimes the screen can be more fragile then others it seems. And I am talking about ALL eink devices when I mention damage and the screen.
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Of course, the manufacturers' original warranty is a service that you pay for when you first purchase an item. EXTENDED warranties, as outlined by Consumer Reports and many other consumer agencies, is BAD. Here is the reasoning:
From SmartMoney.com
"Since extended warranties are claimed so rarely, the profit margins on them run as high as 40% to 80%, says Marlys Harris, finance editor for Consumer Reports. That can pad a company's bottom line nicely. During 2004, in fact, nearly 100% of Circuit City Stores' (CC: 4.38, -0.02, -0.45%) and 50% of Best Buy's (BBY: 45.07, +0.89, +2.01%) operating income came from extended warranties, say analysts. Is it any wonder that the big box retailers aggressively push these contracts?"
http://www.smartmoney.com/consumer/i...story=20050707