buying extended warranties is a huge waste of money according to consumer reports

When you take out an extended warranty, you're essentially making a sucker's bet. You're gambling on a series of events happening at precisely the right time under precisely the right circumstances. These include:

1. That a product will break exactly after the manufacturer's warranty has expired and precisely when the extended warranty is in effect. Sure, it's possible, but unlikely.
2. That the cost of the repair will exceed the cost of the warranty. Surveys of Consumer Reports subscribers reveal that the costs are fairly close most of the time.
3. That the product is likely to break in the first place. According to our data, most products are quite reliable and have not broken during the first three or four years of ownership.
4. That you're going to want to have the product fixed. Perhaps surprisingly, many readers surveyed said they didn't bother seeking repairs because they desired a replacement product that had either new features, more power, greater flexibility, more advanced technology, or improved energy efficiency.

here are some ways to protect yourself when making a major electronics purchase:
1) Pay with a major credit card that offers purchase protection and extended warranty protection.
2) Open the box before you leave the store and inspect the item.
3) Check to make sure the serial number on the item matches the serial number on your receipt.


*this was taken from The Consumerist