Has anyone else noticed that Tesla is now selling certain CPO cars with less than 50,000 miles but with only a 2 year warranty? To the best of my recollection. it used to be that all cars with less than 50,000 miles would come with a 4 year warranty. Did they always sell some cars with less than 50,000 miles with only a 2 year warranty or is this a new policy?
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Has Tesla reduced the warranty duration of some CPO cars?
- Thread starter PhilDavid
- Start date
Yes, any used car 2014 or earlier gets the 2 year warranty regardless of the mileage. This changed a few weeks ago.
So does this mean all 2015 CPO cars, even those with just 20K or 30K miles, will only come with a 2 year warranty in 5 weeks when 2019 comes along with no way to at least pay extra to extend it? 
Yikes, and I thought the CPO program could not get any worse.
They seem intent on creating the worst car buying experience possible only to think of new ways to make things even worse.
Yikes, and I thought the CPO program could not get any worse.
They seem intent on creating the worst car buying experience possible only to think of new ways to make things even worse.
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I don't think it's tied to the actual calendar. Who knows if/when they'll adjust the warranty for 2015 cars. Maybe it's linked more to the build quality and reliability of 2012-2014 vehicles.
So does this mean all 2015 CPO cars, even those with just 20K or 30K miles, will only come with a 2 year warranty in 5 weeks when 2019 comes along with no way to at least pay extra to extend it?
Yikes, and I thought the CPO program could not get any worse.
They seem intent on creating the worst car buying experience possible only to think of new ways to make things even worse.
I don't think they'll do that right now being as there are almost 1,000 2015"s available on their website. They are going to have to do something to make them turn faster not slower. I don't believe they were thinking clearly when they decided to lease all those Tesla's. They must have thought they would be easier to re-market. $50,000 plus used cars get a lot of competition from new cars. In this case the problem is exacerbated because their competition is the new Model 3.
Ok, so they backpedaled on the policy, because when they put it into force, all 2014 cars had a 2 year warranty. That does seem to have changed back for some (but not all) AP1 cars.
For instance this 2014 S85 with 28k miles only has a 2 year warranty: 85 kWh Model S 5YJSA1H16EFP53890 | Tesla
Uncle Paul
Well-Known Member
Tesla has teamed up with Manheim auctions to handle their used/CPO sales. Will be more efficient for them than their current system.
Supply and demand will determine the prices.
Supply and demand will determine the prices.
Are there any 2014 cars with less than 50.000 miles that come with a 4 year warranty or are all 2014 models now only offered with a 2 year warranty? This will likely result in steeper depreciation for 2014 CPO cars as some customers may no longer want to consider a 2014 vehicle if it means they are limited to only 2 years of warranty coverage.
Honestly I think their only problem is the mess they have made of the CPO program and how awful it is for a customer to go through that program to find a car in decent condition.Wonder how many customers have to go through selecting multiple cars until they find one in acceptable condition.
Leasing a large number of cars is not an issue per se as many business owners do that for tax purposes. It is generally beneficial for the cars to come back 2 or 3 years later so they can sell the cars again and generate extra profit while selling another car to the lessee.
I know they are super smart and want to so the right thing so I have faith they will do something to fix the current issues as that will be good for both Tesla as well as their customers.
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Yes, a little more than half of the 2014 cars (with AP1) have the 4 year warranty. See Fobble’s post above.
Ah so it's not as bad as I thought then. Perhaps this has to do with price so for example cars under $40K, only get a 2 year warranty?
Wish they still offered an option to purchase an extended warranty.
I agree that their CPO program is a mess. It's not just the cars it's their unwillingness and ability to help you find the right car. It is their utter disdain for the traditional sales processes to the point of absurdity. They expect people to roll over and buy their cars with little or no help. I've been looking for several months now and occasionally I'll get the representative to communicate with me. Not once have they ever offered to help me find a car that met my criteria. Not once have they asked me to buy. Not once have they acted liked they cared about me as a person or a customer. Perhaps I'm a little bit spoiled after spending 35 years in the retail car business. The last decade of which I owned and managed my own lot. If I ran my business the way they are I wouldn't have lasted a year.
I think they have too many vehicles coming back to market. A traditional manufacturer like BMW leases vehicles and then sends them to the auction when they are returned. BMW has a dealer network that competes for these vehicles thus establishing a wholesale market value. Then these same dealers compete to sell the cars. They all advertise their used inventory independently. This helps create a market for the vehicles. Tesla isn't doing enough to create a market for their vehicles. I haven't seen any advertising at all. Have you?
They have let it be known that they are partnering with Manheim to help re-market their cars. What they didn't say is that this has been going on for over a year already. I don't know what they have in mind. I'm thinking that they may dump a bunch after the 1st of the year. I don't think they'll do it any sooner because they are going to get their ass handed to them when it happens. The losses are going to be huge. Maybe they write them back for year end and move sooner but that would severely hurt their chances of showing a profit in quarter 4.
I really don't think this has anything to do with them not advertising, as the cars are desirable and people love them.
They are selling CPO cars despite their awful mess of a buying process because the Model S is such a wonderful car. However, for every sale, I bet there are many like me and you, who are completely disappointed with how awfully they treat CPO customers that they decide to put off buying a CPO altogether until they sell cars in a more reasonable way.
Even with the current process, people find decent cars but like you we are not comfortable committing to a car without knowing the car is in decent shape.
There is a better option. All they have to do is match the service, helpfulness, and quality you would receive at any used car dealer selling cars in this price range. Who would have thought that how a customer is treated at a typical used car dealer is the experience that Tesla should strive to match? Sadly that would be a tremendous improvement compared to how awfully they current currently treat customers.
I bet if they spend $1,000 - $3,000 per car to fix up cosmetic issues, list the cars at a reasonable price with a quality standard, they'll have a much more efficient CPO operation. Cars that have so much excess damage that they are not viable for refurbishing can then be auctioned.
This whole notion of selling $60,000 used cars "as is" like how second hand furniture is sold at a flea market is probably not the best idea they've come up with... Except at a flea market you at least get to personally inspect what it is that you are buying before you pay!
In Tesla's defense... I do not feel that the helpfulness is less than stellar. I think it's the communication of the process. But I agree that their disdain for the traditional sales process is absurd and I think that it will turn off more and more people as time goes on because they are not up front about the process. I guess that is their way of normalizing the process... by not talking about it... which is absurd...
The Tesla Used warranty is as follows: If the vehicle is less than 4 years old and less than 50k miles, the warranty is 4 years/50k miles from date of purchase and miles on the car, ie. 2017 with 30k miles would be covered for four years (to 2024) and out to 80k miles.
If the Tesla Used vehicle is over 4 years old and/or over 50k miles, then it receives a 2 year/balance of 100k warranty, ie. 2015 with 45k miles would have a warranty until 2022 or up to 100k miles. We provide warranty coverage for all Tesla owners, regardless of where you bought your car. Check us out at www.xcelerateauto.com/x-care
So sorry to see so many people having a hard time with the Tesla Used Vehicle sales process. When I was with Tesla, the process was more personalized, and the volume is such now that they just cannot keep up with it and not partially/fully automate the process. When I was selling Tesla Used, we were the only place to buy and get a warranty on a Used Tesla. Now, X-Care is the only third party option designed especially for the Tesla Service process. So if you would rather buy from a local dealer and engage all five senses prior to purchase, go to our website and use the calculator to determine warranty cost for the vehicle you're considering, then do the math. You'd be surprised how little it costs, and how much better/longer our coverage can be. www.xcelerateauto.com/x-careI really don't think this has anything to do with them not advertising, as the cars are desirable and people love them.
They are selling CPO cars despite their awful mess of a buying process because the Model S is such a wonderful car. However, for every sale, I bet there are many like me and you, who are completely disappointed with how awfully they treat CPO customers that they decide to put off buying a CPO altogether until they sell cars in a more reasonable way.
Even with the current process, people find decent cars but like you we are not comfortable committing to a car without knowing the car is in decent shape.
There is a better option. All they have to do is match the service, helpfulness, and quality you would receive at any used car dealer selling cars in this price range. Who would have thought that how a customer is treated at a typical used car dealer is the experience that Tesla should strive to match? Sadly that would be a tremendous improvement compared to how awfully they current currently treat customers.
I bet if they spend $1,000 - $3,000 per car to fix up cosmetic issues, list the cars at a reasonable price with a quality standard, they'll have a much more efficient CPO operation. Cars that have so much excess damage that they are not viable for refurbishing can then be auctioned.
This whole notion of selling $60,000 used cars "as is" like how second hand furniture is sold at a flea market is probably not the best idea they've come up with... Except at a flea market you at least get to personally inspect what it is that you are buying before you pay!
Unfortunately, the process hasn't gotten much better. You can't even get pictures of the car prior to deposit anymore. Really sad, it was a much better program as it was originally built. Let me know if I can ever help you.nice - resurrecting a two year old thread and replying to a 2 year old post like its still a problem
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