[header] How to buy an extended warranty for a car [title] Know if you need to buy an extended warranty. [step] The first thing to get clear is whether or not you have to buy an extended warranty or, as it is sometimes known, service contract. Generally you will not be required to buy an extended warranty, it will be an optional extra. 
If the car dealer tells you that you need to buy an extended warranty in order to qualify for financing, you shouldn't take their word for it. Contact the lender yourself and ask if this is true.