Personal Finance

Extended Warranty from Credit Cards

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  • Nov 3rd, 2016 6:50 pm
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Feb 1, 2006
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Extended Warranty from Credit Cards

Just wanted to get some opinions on this question:

Will I be eligible for my credit card's extended warranty if my Amazon.ca camera purchase has a $5 promo code discount and a further $30 camera purchase promo code discount applied?

My credit card insurance policy states:

"The following benefits apply when You charge the full Purchase price of Personal Property or Gift items to Your Account. Items obtained through the redemption of loyalty points earned under the MasterCard reward program are covered."

I guess the question is if it is still considered the "full Purchase price" if the $5 and $30 promo codes are used.

The $5 promo code was given to me by Amazon as a goodwill gesture and comes off automatically. In other words, I cannot choose not to apply it to my camera purchase.

I am expecting to receive the $30 promo code valid on camera purchases from Amazon.ca from the upload a photo for Prime members promotion tomorrow.

The insurance seems to exclude all non-Mastercard types of points redeemed but I'm not sure if these Amazon promo codes are considered "point redemptions".

Any opinions would be appreciated!
Cards:HSBC WE MC 1.5%/3% travel 0 FX MC acceptance 31 day med AF $49
CTC WE MC 3% grocery, 3.54% CTC, RA, billpay, AF $0
MBNA RWE 5.4% grocery/resto
Bank: EQ (1.5%)
11 replies
Deal Fanatic
Nov 22, 2015
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minimalist wrote: Just wanted to get some opinions on this question:

Will I be eligible for my credit card's extended warranty if my Amazon.ca camera purchase has a $5 promo code discount and a further $30 camera purchase promo code discount applied?

My credit card insurance policy states:

"The following benefits apply when You charge the full Purchase price of Personal Property or Gift items to Your Account. Items obtained through the redemption of loyalty points earned under the MasterCard reward program are covered."

I guess the question is if it is still considered the "full Purchase price" if the $5 and $30 promo codes are used.

The $5 promo code was given to me by Amazon as a goodwill gesture and comes off automatically. In other words, I cannot choose not to apply it to my camera purchase.

I am expecting to receive the $30 promo code valid on camera purchases from Amazon.ca from the upload a photo for Prime members promotion tomorrow.

The insurance seems to exclude all non-Mastercard types of points redeemed but I'm not sure if these Amazon promo codes are considered "point redemptions".

Any opinions would be appreciated!
Can you check the definition of "Purchase Price" in your Cardholder Agreement?

It should explain that purchase price means total showing on the receipt and shouldn't have anything to do with discounts or MSRP. Who is to say what is considered "regular" price? Otherwise all/most transactions would be excluded.
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superfresh89 wrote:
minimalist wrote: Just wanted to get some opinions on this question:

Will I be eligible for my credit card's extended warranty if my Amazon.ca camera purchase has a $5 promo code discount and a further $30 camera purchase promo code discount applied?

My credit card insurance policy states:

"The following benefits apply when You charge the full Purchase price of Personal Property or Gift items to Your Account. Items obtained through the redemption of loyalty points earned under the MasterCard reward program are covered."

I guess the question is if it is still considered the "full Purchase price" if the $5 and $30 promo codes are used.

The $5 promo code was given to me by Amazon as a goodwill gesture and comes off automatically. In other words, I cannot choose not to apply it to my camera purchase.

I am expecting to receive the $30 promo code valid on camera purchases from Amazon.ca from the upload a photo for Prime members promotion tomorrow.

The insurance seems to exclude all non-Mastercard types of points redeemed but I'm not sure if these Amazon promo codes are considered "point redemptions".

Any opinions would be appreciated!
Can you check the definition of "Purchase Price" in your Cardholder Agreement?

It should explain that purchase price means total showing on the receipt and shouldn't have anything to do with discounts or MSRP. Who is to say what is considered "regular" price? Otherwise all/most transactions would be excluded.
This is what it says:

"Purchase Price means the full cost of an item (including taxes) evidenced by a receipt and charged to the MasterCard Account. Items obtained through the redemption of loyalty points earned under the MasterCard reward program must have the taxes and/or fees (if applicable) charged to the Account to be eligible for coverage."

I'm concerned that they will consider the promo code ($5) or promo discount ($30) as either "points" or gift cards. This would seem to invalidate the insurance. For instance if I paid with a $100 Amazon.ca GC and rest on MasterCard this would obviously means that the full amount was not charged to my MasterCard thus invalidating the insurance.
Cards:HSBC WE MC 1.5%/3% travel 0 FX MC acceptance 31 day med AF $49
CTC WE MC 3% grocery, 3.54% CTC, RA, billpay, AF $0
MBNA RWE 5.4% grocery/resto
Bank: EQ (1.5%)
Deal Expert
Mar 25, 2005
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Never had an issue. No different than a sale as you paid 100% of the balance on the card. If replacement is required you're only covered up to what you paid however.
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Jan 6, 2015
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I'm curious if anyone's ever got a credit card company to use the extended warranty on a product they bought.
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Aug 18, 2008
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From my understanding, OP - since those 2 discounts are not payment methods, your "full purchase price" would what you paid, and is the new adjusted value of the item.
It would become tricky though if you bought multiple items in the order, as I don't know if they would distribute that discount over all the items.
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Feb 1, 2006
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Akitakara wrote: From my understanding, OP - since those 2 discounts are not payment methods, your "full purchase price" would what you paid, and is the new adjusted value of the item.
It would become tricky though if you bought multiple items in the order, as I don't know if they would distribute that discount over all the items.
Thanks. But if I also redeemed even $1 of Amazon.ca GC the insurance would be void right?
Cards:HSBC WE MC 1.5%/3% travel 0 FX MC acceptance 31 day med AF $49
CTC WE MC 3% grocery, 3.54% CTC, RA, billpay, AF $0
MBNA RWE 5.4% grocery/resto
Bank: EQ (1.5%)
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Aug 8, 2012
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BC
minimalist wrote:
Akitakara wrote: From my understanding, OP - since those 2 discounts are not payment methods, your "full purchase price" would what you paid, and is the new adjusted value of the item.
It would become tricky though if you bought multiple items in the order, as I don't know if they would distribute that discount over all the items.
Thanks. But if I also redeemed even $1 of Amazon.ca GC the insurance would be void right?
If you end up needing the warranty and they bother to check that closely then they can certainly deny your claim if you pay partially with a gift certificate balance. That seems pretty clear. Whether it is $1 + $99 or $99 + $1, they don't care ... they want all the payment possible to be paid on the card, not a split charge where you are just taking advantage of the warranty and card benefits by charging part of the purchase.

Odds are you won't need the extended warranty anyways.
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Jun 5, 2016
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foodyforlife wrote: I'm curious if anyone's ever got a credit card company to use the extended warranty on a product they bought.
RBC paid me the full cost of repairs for my laptop. About $600 and the purchase price was about $1100. Took them close to 2 months to process the claim so I had to ship it once for the quote and once for the repairs but that's no big deal.
Deal Addict
Oct 28, 2009
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foodyforlife wrote: I'm curious if anyone's ever got a credit card company to use the extended warranty on a product they bought.
Credit card insurance rocks.

I've had capital one pay out two phone repairs ($150 each) and a pair of broken glasses.
Member
Nov 26, 2015
389 posts
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minimalist wrote:
Akitakara wrote: From my understanding, OP - since those 2 discounts are not payment methods, your "full purchase price" would what you paid, and is the new adjusted value of the item.
It would become tricky though if you bought multiple items in the order, as I don't know if they would distribute that discount over all the items.
Thanks. But if I also redeemed even $1 of Amazon.ca GC the insurance would be void right?
It would be void. So I'm not a big fan of Best Buy or Canadian Tire GC unless I'm using it for something like laundry detergent or gas on Canadian Tire. Use the GC until you buy some paper or clothing on Amazon, I won't risk
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Dec 26, 2009
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Amazon allows you to uncheck the "use promotional balance" during checkout.

This is also a good idea if you think you may need to return an item since the promotional balance portion is non-refundable.

I would assume a promo code is ok to use but wouldn't count on it in case your card issuer wants to avoid paying out.

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