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On average it takes 1 to 3 months! Now I'm assuming you bought the warranty through a car dealer. The speed with which you get your refund depends on several factors: How fast the Finance person sends the paperwork to the dealership's office.
On the contract, it says, if you cancel within 60 days, you get 100% refund. After 60 days or if you have incurred a claim, a pro rata refund of the lesser unused months or unused miles will be made.
The pro rata refund will be calculated by multiplying the service contract purchase price by the lesser percentage of the unused months or unused miles compared to the total months or total miles of your services contract, less an administrative fee of $50 or 10% of the refund amount, whichever is less.
To cancel your extended car warranty, you will need to fill out a form specifying your mileage and the cancellation date, and then you will need to get a signed copy of the form from the dealership. You will probably need to nudge them to actually process the request, so don't be afraid to call every couple of weeks.
You are allowed to cancel, and if it's within 30 days of purchase you can get the entirety of your money back. After 30 days you will get varying amounts depending on how long the coverage has been in effect and the mileage on the car.
How to get your money back. You can cancel an extended warranty at any time, and you'll get a prorated refund for the unused portion of your policy. If the warranty was included in your loan, your car payment won't drop, but you may pay off the car sooner after the refund is deducted from your balance.
Make a copy of paperwork that shows the sale date, trade-in date or date of the accident. Some warranty companies pro-rate the warranty refund based on months remaining on the policy and miles remaining on the policy, and then refund you the lesser of the two.
1. You purchased an extended warranty within the past 6 years and the terms and mileage have not expired. Even if you no longer own the car, you can still qualify for a refund. As long as you didn't transfer the warranty to someone, you are most likely entitled to a refund.
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