Extended Service Agreements No Longer Transferable?

[Drivin]

Let's see the new contract and the fine print first

It would have been good if the article actually gave the name of the Tesla spokesperson for added credibility which is what people usually do except when shielding sources.

I guess we will find out soon enough when the office opens tomorrow and someone either updates the website or puts out an official statement.

- - - Updated - - -

I sometimes wonder whether Tesla's ESA's are underwritten by a third party. It seems pretty remote, but then these heavy-handed terms don't seem like Tesla.

Tesla hasn't even put out the service plans for the X and that has been shipping for a while, so it seems that they are way behind in their financial model for service (remember the change in the Ranger program?). I don't think this has anything to do with a third party, and even if it did presumably someone approved it at Tesla so they are responsible for any heavy handed terms.

But remember, this was just "accidentally" posted. Maybe it was the terms for the E that they are trying to finish all the paper work on so they can focus on design and production.

 

[stopcrazypp]

I've never heard of Transport Evolved - is this legit?

Transport Evolved is an emerging news network staffed by trained journalists and specialists in the automotive field. The network targets affluent, well educated, auto / technology / green enthusiasts and seeks to become the definitive resource for enthusiasts, investors and decision makers though the coming transportation evolution.

Legit, it's a fairly long running EV focused site:
http://www.autoblog.com/2010/09/15/transport-evolved-educated-electric-vehicle-podcast-with-a-bri/

 

[bhzmark]

not resolved until we see the new terms on the new agreement.

 

[Wshowell]

No, because this has nothing to do with cars sold in 2012 and 2013. If they had an extended warranty, it's still transferable. It only applies to cars sold going forward, meaning it starts with cars that will be bought in 2016 with extended warranties.

Then I stand corrected if this is the case on that particular point. I was under the impression that Tesla would prorate and cash you out of the remaining time on your ESA if you were the owner of a 2012/2013 and selling used. I believe this is their policy on trading in a vehicle with an ESA, refund the remaining months...

Still, my point about their motivation still stands. Years ago when Hyundai was suffering some serious bad press due to years of selling US consumers junk, they put their money where their mouth was and offered up the ten year 100k warranty on all new cars. That gesture mitigated all the perceived and real risk of buying a Hyundai over a Toyota or Honda. That moxie paid off financially and now Hyundai has quality a reliability ratings at the very top of the list. Tesla just did the exact opposite from my vantage point. Before I get blasted as a "TSLA short". I'm a shareholder myself.

 

[Drivin]

Transport Evolved | Cleaner, Greener, Safer, Smarter

...and FWIW, within minutes I had several other RSS feeds quoting the similar thing.

A writer at Verge says that he got an email from Tesla saying the exact same thing. It seems that Tesla has notified both Transport and Verge and possibly others about this - hopefully they will post something official soon.

Tesla says the restrictive new changes to its service plans were posted by mistake | The Verge

 

[jcaspar]

Glad to hear it. Made no since that they would change the policy. Simple mistake makes since.

Looks like there may have been an error in the posting; picked up at Transport Evolved: Changes Posted Concerning Tesla Model S Extended Warranty, Service Costs Were Posted Says Tesla | Transport Evolved

 

[Beryl]

I'm very pleased to read that this was a mistake. My Tesla-joy was considerably dampened for a few days. I was definitely planning to purchase an ESA and plan to do so as soon as revision is official.

As a stockholder, I hope that one or more "heads roll".

 

[JeffS]

Others have posted less directly... So I will post directly. This didn't get accidentally written, so it is impossible that it got accidentally implemented. Simple fact. Undeniable. Evidence may be circumstantial, but I think it would stand in its own if challenged.

Anyone who thinks it is a good deal...best get a move on. We haven't seen the last of that ESA. That last part is just my opinion.

 

[tinm]

A week ago I emailed Tesla directly about this whole extended warranty trainwreck and never got a reply.

This whole thread is another exhibit in the "Tesla's biggest problem continues to be communications" file.

 

[sorka]

It wasn't a mistake. I remind you of this post:

[Resolved] Extended Service Agreements NO LONGER TRANSFERABLE - Page 4

in which a omarsultan got an email response from tesla confirming the warranty would not longer be transferable.

*IF* telsa is really recanting and claiming this was posted in error, what it really means is that they've changed their mind most likely due to the bad press that was about to explode due to this thread.

 

[BertL]

It wasn't a mistake. I remind you of this post:

[Resolved] Extended Service Agreements NO LONGER TRANSFERABLE - Page 4

in which a omarsultan got an email response from tesla confirming the warranty would not longer be transferable.

*IF* telsa is really recanting and claiming this was posted in error, what it really means is that they've changed their mind most likely due to the bad press that was about to explode due to this thread.

Absolutely right. This thread and likely direct customer complaints helped A LOT.

 

[stopcrazypp]

Years ago when Hyundai was suffering some serious bad press due to years of selling US consumers junk, they put their money where their mouth was and offered up the ten year 100k warranty on all new cars.

Funny thing is that I mentioned that warranty upthread as an example of one that was not transferable.

 

[HankLloydRight]

It wasn't a mistake. I remind you of this post:

[Resolved] Extended Service Agreements NO LONGER TRANSFERABLE - Page 4

in which a omarsultan got an email response from tesla confirming the warranty would not longer be transferable.
.

You'd be surprised how many SC and Gallery employees get breaking Tesla news from TMC.

Also, most manufacturer/OEM Extended Warranty policies are still underwritten and administered by 3rd parties, they just hide it well behind the brand marketing. In my experience with different BMW dealers, some offer the BMW USA warranty, and some offer some other third party warranty loosey rebranded with BMW. And if you take the car to the dealer for warranty repairs, they handle all the claims, so you never really know who is administering the plan.

 

[Drivin]

It wasn't a mistake. I remind you of this post:

[Resolved] Extended Service Agreements NO LONGER TRANSFERABLE - Page 4

in which a omarsultan got an email response from tesla confirming the warranty would not longer be transferable.

*IF* telsa is really recanting and claiming this was posted in error, what it really means is that they've changed their mind most likely due to the bad press that was about to explode due to this thread.

Hold the phone folks.

The line from the email said "Tesla owners can transfer...etc...etc".

All that this MAY mean is that they haven't retroactively changed the plans for "TESLA OWNERS" (which is obvious), NOT that they aren't planning to roll out a change to a plan for new owners.

We need to see what Tesla actually officially announces and see whether they change the new plans in the future.

They did this with the Ranger Service, so they have changed things for new owners in the past (which is not a surprise).

 

[postpast]

To be fair; a mistake isn't the same as an accident. It could have been a mistake not you use protection on prom night,, that doesn't mean it wasn't intentional.

 

[TM Ownership]

Tesla's Extended Service Agreement

Tesla’s reliability is one of the primary attractions to owning a Tesla. A change to Tesla’s Extended Service Agreement was posted with an error. Tesla owners can indeed transfer the unused portion of their Extended Service Agreement with the sale of their Tesla. Our practice of refunding the unused portion of the Extended Service Agreement also continues. In addition, we’re going to take this opportunity to go one step further: Tesla owners can transfer the unused value of their Extended Service Agreement towards an Extended Service Agreement for a new Tesla Model S or Model X.

https://www.teslamotors.com/support/service-plans

 

[Wshowell]

Tesla’s reliability is one of the primary attractions to owning a Tesla. A change to Tesla’s Extended Service Agreement was posted with an error. Tesla owners can indeed transfer the unused portion of their Extended Service Agreement with the sale of their Tesla. Our practice of refunding the unused portion of the Extended Service Agreement also continues. In addition, we’re going to take this opportunity to go one step further: Tesla owners can transfer the unused value of their Extended Service Agreement towards an Extended Service Agreement for a new Tesla Model S or Model X.

https://www.teslamotors.com/support/service-plans

if I buy a used Model S from a private party (non CPO) that is still under the original warranty, may I then purchase an ESA from Tesla as the new registered owner? That's a critical question for those of us that will buy used.

 

[Xenoilphobe]

I have the same question.

 

[JeffS]

Answer = no. Only the original new car buyer can purchase an ESA. No matter where or how you aquire the car used, you cannot buy an ESA. CPO, private party, inherit, raffle prize, magical appearance...no matter... If you do not buy a brand new car directly from Tesla, you cannot buy an ESA. At least as far as I know.

 

[MsElectric]

Tesla’s reliability is one of the primary attractions to owning a Tesla. A change to Tesla’s Extended Service Agreement was posted with an error. Tesla owners can indeed transfer the unused portion of their Extended Service Agreement with the sale of their Tesla. Our practice of refunding the unused portion of the Extended Service Agreement also continues. In addition, we’re going to take this opportunity to go one step further: Tesla owners can transfer the unused value of their Extended Service Agreement towards an Extended Service Agreement for a new Tesla Model S or Model X.

https://www.teslamotors.com/support/service-plans

This is great news and thanks for clarifying.

What is the transfer process and can the fact that the ESA transfer will be made and honored by Tesla be confirmed prior to the actual sale?

Can CPO cars qualify for the purchase of the ESA Extended Warranty if that is done within the original factory warranty period for the CPO car? This is the biggest concern we have with buying a CPO car.