How to Manage Appliance Repair and Replacement Costs

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Broken appliances can be huge headaches. Most of them are heavy and hard to move, not to mention expensive. Finding better ways to manage appliance repair and replacement costs can help cross one headache off the list. 

Find a Reputable Appliance Service Company 

Before springing for brand new appliances, the first step should be to determine if they can be repaired instead of replaced. In many cases, repairing will be far more affordable than replacing, especially if you choose the right repair company. 

DTE provides appliance repairs with no deductibles through their Home Protection Plan, and they break the service costs into manageable monthly charges. This flexible program can be personalized to fit different needs and budgets. 

Then, when something needs repairing or replacing, they’ll take care of it and add a low monthly payment to your energy bill. Follow the link above to see if you’re eligible. 

Buy Appliances with Warranties 

If your appliance is beyond repair, take the time to do some research and choose a replacement wisely. An extended warranty on appliances like refrigerators, washers, and dryers can help protect you from overwhelming repair or replacement costs if something goes wrong. 

Most extended appliance warranties cover things like mechanical failure, power failure, heating and cooling issues, and replacement of broken or malfunctioning parts. In some cases, they even cover full product replacements. 

Appliance Repair Protection Plans 

The terms warranty and repair protection plans are often used interchangeably, but there is a notable difference between them. Warranties are promises from companies or manufacturers that state that you’re covered if specific issues, primarily product and design defects, pop up. 

Repair protection plans, on the other hand, are paid additions that cover a wider range of problems, like accidental damage, mechanical breakdown, wear and tear, and malfunctions.

Protection plans are common with major appliances like washers, dryers, heaters, and ovens.

Both provide peace of mind and additional protection for when things go wrong. And at the end of the day, they could end up saving you thousands in repair and replacement costs. But we still recommend doing your research and thoroughly vetting your options. 

Save for Replacements 

Most new appliances don’t come cheap. Rather than relying on credit and racking up interest charges to replace one when it breaks, find creative ways to give yourself enough time to save and buy new appliances flat-out. 

Laundromats and toaster ovens aren’t permanent solutions, but they can be handy short-term alternatives for your broken appliances. If you’re friendly with your neighbors or have family or friends close by, they may also be willing to lend you their washer or oven when you need it. 

This way, you can plan and save until you get that tax return you’re waiting for, an extra paycheck at work, or find a sale. This point brings us to our next tip: Always try to buy things at a discount. When you’re making a purchase as big as this one, every little bit adds up. 

Lock in a Discount 

Most sources agree that buying expensive appliances during a holiday sale can cut your costs by up to half. If you can, waiting for Black Friday, President’s Day, Memorial or Labor Day, or another holiday sale can bring major savings. 

Another way to lock in a significant discount is to ask about floor models or returns. Stores sell floor models at a discount when they’re rolling out new models and appliances and trying to clear out what’s left of the old ones. 

Depending on the brand and the store, this can happen several times per year. Similarly, returned appliances are sold at a significant discount because they’ve been moved, opened, and briefly used. 

It’s important to note that a return doesn’t always mean that there’s something wrong with the product itself. Often, a refrigerator or washer might be returned simply because it didn’t fit into the space. Still, be sure to ask if there are any defects before purchasing a returned appliance. 

A scratch, small and easy to hide dent, or some chipped paint won’t affect the quality of the appliance, and it may be enough to save you hundreds of dollars. Spending less on the items you need is one of our favorite financial resolutions for a reason.