Ram Extends Expanded Warranty For Another Year

Ram is very clearly bending over backwards to try and appease its clientele right now. In addition to bringing back V8 powertrains, the brand has opted to extend the temporary 10-year/100,000-mile limited powertrain warranty for another year. Originally planned to expire at the start of this month, Stellantis said Ram could keep offering it through the rest of 2026.

However, the rationale behind the warranty is kind of a downer. Domestic trucks have gotten extremely expensive in recent years and now represent some of the largest monthly payments you’ll come across from non-premium brands. In order to cope, customers are routinely taking out extended loans with some terms stretching anywhere from 72 to a whopping 84 months.

Finance departments don’t mind because this means they’ll just be making more money on the interest over the duration of the loan. Stretching out the pay period also means automakers can continue selling vehicles with lofty MSRPs, as the customer feels less of the burden between months. It’s effectively a way to help someone pay for a vehicle they couldn’t realistically afford otherwise.

Does that make it a wise financial practice for car buyers? Absolutely not. But it’s one of the easiest ways to get some households to purchase modern vehicles — especially if they’re the kind boasting the kind of prices synonymous with full-sized pickups and SUVs.

Knowing this, Ram has attempted to soften the blow by offering the 10-year/100,000-mile on loads of new vehicles. The company even acknowledged that over 80 percent of truck loans now surpass the five-year mark. Considering that its non-diesel trucks previously came with a 5-year or 60,000-mile warranty, it’s conceivable that some customers were having to pay out of pocket for repairs while still owing money on their vehicle.

Nobody needs to tell you that’s a less-than ideal situation to find yourself in.

We also know that a lengthy standard warranty is viewed as broadly desirable by most buyers. We even discussed this in a recent piece covering Kia’s sales success. It’s worth mentioning that, like Ram, Kia also sees longer-than-average loans relative to rival brands.

However, Stellantis has been adamant that the 100,000-mile/10-year powertrain coverage would only be temporary. Unlike the Kia, Hyundai, Genesis, and Mitsubishi, Ram leadership has said customers wouldn’t be able to take advantage forever. But this is also a common tactic within the industry. Scarcity, whether artificial or genuine, is often responsible for some of the most egregious financial shenanigans in history.

Officially, Ram leadership has said the juicier warranties would only last a single year. But it has also suggested that it’s open to the idea of expanding the plan if customer feedback warrants it, followed by extending the offering for another twelve months.

Our assumption is that Ram saw this (along with other incentives) boosting sales throughout 2024 and doesn’t want to bin it just yet. However, the longer the 100,000-mile warranty persists, the angrier customers will become should it be taken away.

The plan looks to cover basically everything Ram sells that isn’t all-electric and pertains to all things powertrain related. That includes the engine, transmission, differentials, transfer case, driveshaft and axles. Basically, if it’s responsible for sending power to the wheels then it is protected under the given terms.

This also means that Ram now has the longest warranty of any automaker selling full-size pickups, which should sweeten the pot for would-be customers. Considering how close all the large domestic trucks happen to be in terms of overall performance, final decision often comes down to brand loyalty, available features, and how that all comes together on the sticker price. But dealers can now point to its lengthy warranty as a way to help put Ram over the edge.

[Images: Ram]

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