More than 75% of today's consumers are planning to keep their vehicles more than 3 years. According to the Federal Reserve Board (published in the May 2007 Automotive News) the average new car loan is 62.3 months or just more than 5 years. R.L. Polk also reported in May 2007 that the median age of vehicles in operation in the US is more than 9 years for car and 7 years for light truck.
With technological advance making today's automotive more complex than the Apollo 13 space craft, a service agreement from Toyota of Scranton provides for an enhancement of the coverage on the vehicle, usually in terms of mileage or term. Service contract cover the mechanical breakdown of a covered component whether or not the part if defective. The purpose of a service contract is to protect you, the customer from the high cost of unexpected mechanical repairs.