q:I want to buy a new car. My monthly mileage is 1,800km and my budget is between Rs 6 lakh and Rs 7 lakh. I want to go for the Fiat Linea but the hefty dealer discounts on the Ford Fiesta are luring me, in addition to CSD benefits. Is the new Fiesta going to be launched soon? Also, should I opt for the diesel or petrol version?
a:The new Fiesta saloon will be launched only in January 2011 and will be more expensive than the current model. If youre keen on the Linea then go for it it is better than the Fiesta and is more spacious, powerful and better equipped. Buy the diesel version as it has a better engine, is more economical and will fetch you a better resale price too.
q:How useful is an extended warranty? I have bought a Hyundai i10 Magna A/T for my wife. We are very pleased with the car and plan to keep it for the next seven years at least. The dealer has quoted Rs 12,650 for an extended warranty for the third, four and fifth year. Should I go for it? How cost effective will this be in the long run?
Dr M. Siddheshwar
a:An extended warranty is always useful as you get additional cover over the standard warranty package. Most cars start asking for attention only when they get older, so its wise to go for extended warranty. For the i10 automatic, you can buy the third year warranty for Rs 4,417; this is valid for up to 80,000km. You could also opt for a total cover of four years and 1,00,000km for Rs 8,500. To the best of my knowledge, fifth year coverage is not available.The extended warranty cover for the i10 automatic covers the engine and the gearbox, expensive to replace if something does go wrong. Get the extended warranty and you wont have to worry about major expenses for four email@example.com