Bought an '16 A7 TDI Prestige - Extended Warranty or No?

Hi everyone, I just purchased my first Audi and my first diesel yesterday (my family has a '16 Q5 TDI, and so it's not my first experience with the engine).

Been looking FOREVER for a spec'd out white '16 A7 TDI Prestige. Found one and jumped at the opportunity. The car is fully loaded with I believe every option available at the time of purchase. It has B&O, soft close doors, individual contour seating, driver assistance, S-line, cold weather, black optics.

Mentioning this because the addition of all the electronics scares me a bit, although it's wonderful to have and I consider myself lucky to find such a combo!

Question is, it's just over 50,000 miles now and no longer has the manufacturer's 4 year warranty, but has the Diesel warranty until the end of 2025. Should I buy an extended warranty for it? I've been lurking on these forums for a while, and this platform for the most part seems to be very reliable and bulletproof. Most if not all the parts of the exhaust and fuel system, engine/turbo, EGR systems are covered under the Audi TDI extended warranty.

My concern is the electrical system/MMI, drivetrain, and other systems that I may not be aware of that are riskier on these cars. I reached out to Troy at FD Warranty through email and will be calling a few dealerships tomorrow to get quotes but I fully expect a warranty to run me perhaps greater than $3-4k.

Not sure if I should keep the money and put it aside for a rainy day, or if I should buy a extended warranty for peace of mind? Thanks in advance!

Sounds like a very nice car. I think the trans is bullet proof but VAG cars are a bit flakey with the electrical. If you have a independent German car shop you trust, it would be cheaper than the dealership. I live near Charlotte and we have 2 Audi dealerships. One is a small dealer network and they charge like they can't get enough. The other one is a Hendrick network dealership that is usually 1/3 cheaper for the same service. For example a 4 wheel alignment at the small one is $329 plus tax and the Hendrick is $199 plus tax. Several of their services are in the same range. Check the trusted repair shops here on this site and call around before you drop that kind of money.

joep1234 said:

Sounds like a very nice car. I think the trans is bullet proof but VAG cars are a bit flakey with the electrical. If you have a independent German car shop you trust, it would be cheaper than the dealership. I live near Charlotte and we have 2 Audi dealerships. One is a small dealer network and they charge like they can't get enough. The other one is a Hendrick network dealership that is usually 1/3 cheaper for the same service. For example a 4 wheel alignment at the small one is $329 plus tax and the Hendrick is $199 plus tax. Several of their services are in the same range. Check the trusted repair shops here on this site and call around before you drop that kind of money.

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Thank you! There are a number of shops near me that specialize in VW/Audi which brings me peace, in Atlanta.

I just called today and got some numbers...4yr/48k packages range from $4100-7600.

The $7600 from Audi/Fidelity is pushing it, but probably the most trusty. There are some providers like Carchex who are around $4800, which my friend has had good experiences with and I'm honestly leaning towards that.

But, I also felt maybe it was a waste of money, since a good majority of the parts are covered under the diesel extended warranty. So, debating on that still

In my experience, extended warranties are really a rip-off. They don't cover many common issues. We were actually discussing them today at the shop, and one story from the service manager was a lady who had an extended warranty and had a CV joint fail. Looking on what the warranty covered, it said it covered driveshafts. They contacted the warranty company who asked where it failed. They told the customer that the plan only covers the shaft itself, not the joints. That's just one story in hundreds that I've heard and seen.

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Risk tolerance is a personal thing. Audi repairs are expensive, but as you stated the TDI settlement already covers a lot issues, even the very expensive costs associated with HPFP failure (so long as there is no owner error). Extended warranties are prepaid repairs, whether used or not.

Stating the obvious, warranty sellers make money even though they pay for repairs. It's a question of whether one believes they will beat the House -- on average the House wins, otherwise they would quit selling. Be as informed as you possibly can, then make your decision.

Thank you both! I'm still weighing it out, but did get a more reasonable quote I feel a bit more comfortable with from a local Audi dealer

5yr/60k Titanium (Fidelity) for $5950
4yr/48k Titanium (Fidelity) for $5450

It's not cheap, for sure. But it is from the dealer.

Still going to call as many others as I can to get quotes in hopes there will be lower ones.

I have several friends in the automotive industry. Two of them are GM's at big name dealerships and they all have told me that the extended warranties are a great profit generator. The warranty is about 50% profit for the dealership and the finance person who sales it. If you need one to ease your mind, look at the aftermarket ones and see what is available. Could save you a lot of money. Just look up their reviews.

joep1234 said:

I have several friends in the automotive industry. Two of them are GM's at big name dealerships and they all have told me that the extended warranties are a great profit generator. The warranty is about 50% profit for the dealership and the finance person who sales it. If you need one to ease your mind, look at the aftermarket ones and see what is available. Could save you a lot of money. Just look up their reviews.

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No doubt about the profits - this is great info as well.

I called CarChex today and got a quote for 4yr/48k at $4800. That was the best 3rd party offering I was quoted today. While it's exclusionary, still worried about them battling against a potential claim.

The vehicle will have the $5000 B&O system, soft closing doors, cold weather package, individual seating package (massaging seats - another part to consider a failure on), etc etc.

Just unsure if those parts generally fail and what the replacement $ would be. Only have read in one place that a tweeter replacement is $1k alone for the B&O system in these cars (and for example, Carchex only lets you make 1 claim for the audio system, from what I read, during the life of the warranty).

IbisA7TDI said:

Thank you both! I'm still weighing it out, but did get a more reasonable quote I feel a bit more comfortable with from a local Audi dealer

5yr/60k Titanium (Fidelity) for $5950
4yr/48k Titanium (Fidelity) for $5450

It's not cheap, for sure. But it is from the dealer.

Still going to call as many others as I can to get quotes in hopes there will be lower ones.

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Just a FYI re the Audi extended (or CPO) warranty. As I fortunately discovered prior to handing over a big chunk of change to extend my soon-to-expire CPO warranty, emission related items, specifically the DPF are NOT covered. I decided at that point to not waste my money and go another route. Be advised, I'm in Canada and this may, or may not be written the same way in the US. The settlement warranty is a different beast however should you have opted to go that route.