Before purchasing a product, almost everyone must have asked a customer if the product was covered by warranty or guarantee. Warranty and guarantee are two of the most common concerns buyers have when making a purchase. However, many people are perplexed whether these words, warranty, and guarantee, are related in any way. In this article, we will look at the difference between warranty and guarantee in order to help you decide which of these two is more beneficial.
When you buy something, you have certain expectations of it. You will be disappointed as a customer if your expectations are not met. Many companies offer a product warranty or guarantee to meet your expectations. Warranties and guarantees were created to increase customer trust and assure them. The primary difference between warranty and guarantee is that a warranty is a written promise, whereas a guarantee can be written or oral.
Now that we know what the main difference between warranty and guarantee is let’s go through the different topics that we will be covering in this article:
Table of Contents (TOC)
- Difference between warranty and guarantee
- What is warranty
- Advantages of having a warranty
- What is guarantee
- Advantages of having a guarantee
- Key differences between warranty and guarantee
- Conclusion
Difference Between Warranty and Guarantee
For better understanding, let’s explore the difference between warranty and guarantee in a tabular format:
| Benchmark | Warranty | Guarantee |
|---|---|---|
| What is it? | It is a written assurance that the information provided about the product is true and accurate. | It is a promise the manufacturer makes to the customers regarding the product. |
| What happens if there is an issue with the product? | The manufacturer will repair or replace the product. | The product will be repaired, or replaced, or the amount will be refunded. |
| Do you get a refund? | No | Yes |
| Applicable to | Products and services | Product only |
| Always given in a written form? | Yes | No |
| Do you always get a card or something like that to prove it? | Yes (Warranty card) | No |
| Cost | The warranty is offered at no cost. However, the additional warranty can only be obtained by paying additional fees. | The guarantee is offered at no cost and is subject to certain terms and conditions. |
| A manufacturer may replace the entire product | No | Yes |
| When is it given? | If there are manufacturer defects in the product. | If the product has manufacturing defects or the error was caused due to some human fault. |
| Can be extended | Yes | No |
| Condition of sale | Subsidiary condition of sale, which may be expressed or implied. | It may or may not be a condition of the sale |
| Example | Air conditioners | Premium Pens |
What is a Warranty?
Warranty definition: A warranty is an assurance usually given in a written format. It can hold the product manufacturer responsible for repairing or replacing a defective product or its parts.
In layman’s terms, a warranty specifies that a specific product, such as machines or electronic equipment, meets the standard, i.e., quality, fitness, and performance. And if the product fails to meet the established standards, the manufacturer will repair or replace the defective part. In warranty, you don’t get a refund.
Advantages of Having a Warranty
There are several advantages of having a warranty on a product, and some of those advantages are:
- Customers can extend the warranty period by paying additional fees.
- When a product is under warranty, the consumer is not required to pay for repairs.
- The consumer receives physical proof through a warranty card when using the benefits.
- If there are manufacturer defects, consumers can have their products repaired or replaced during the warranty period.
What is Guarantee?
Guarantee definition: A guarantee is a promise made by the manufacturer to the consumer that if the product is of poor quality or fails to meet the requirements promised, then the consumer can get the product repaired, replaced, or refunded.
In layman’s terms, a guarantee is a promise about the quality of a product. Guarantees are less likely to be written and are frequently not as well defined as warranties. Many businesses verbally “guarantee” their customers’ satisfaction, with unhappy customers receiving full or partial refunds.
Advantages of Having a Guarantee
There are several advantages of having a guarantee on a product, and some of those advantages are:
- During the warranty period, consumers are not required to pay for repairs or services until the product is covered.
- Consumers can get a refund if the manufacturer cannot repair or replace the product. But only when they are unable to do so.
- Customers can choose to have their products repaired, replaced, or refunded if there are manufacturer defects within the guarantee period.
- If a guarantee card explicitly states terms such as ‘no question money-back guarantee’ or ‘100% refund assurance,’ consumers have the right to receive a full refund.
Understanding the Difference between Guarantee and Warranty with Example
| Aspect | Warranty Example | Guarantee Example |
|---|---|---|
| Definition | “This laptop comes with a one-year warranty that covers any defects in materials or workmanship.” | “Our vacuum cleaner is guaranteed to pick up 99% of dust and debris or your money back.” |
| Nature | The manufacturer offers a warranty to assure customers of the laptop’s quality and will repair or replace it if any issues arise within the specified period. | The seller guarantees that the vacuum cleaner will achieve a specific outcome (99% dust and debris pickup) and will provide a refund if it fails to meet this expectation. |
| Coverage | The warranty covers defects in materials or workmanship, such as faulty components or manufacturing errors. | The guarantee covers a specific outcome, in this case, the percentage of dust and debris picked up by the vacuum cleaner. |
| Duration | The warranty lasts for one year from the date of purchase. | The guarantee may last for 30 days or any other predetermined period, depending on the terms set by the seller. |
| Remedies | If the laptop has any defects or malfunctions during the warranty period, the manufacturer will repair or replace it at no cost to the customer. | If the vacuum cleaner fails to achieve the guaranteed 99% dust and debris pickup, the seller will provide a full refund to the customer. |
| Transferability | The warranty may or may not be transferable, depending on the manufacturer’s policy. | The guarantee may or may not be transferable, depending on the seller’s policy. |
Key Differences Between Warranty and Guarantee
Here are the key differences between warranty and guarantee:
- A guarantee is much less formal than a warranty.
- The guarantee is free of cost, but the warranty can be chargeable.
- Guarantees can be either oral or written, whereas warranties are usually written and thus easily proven.
- The guarantee acts as a promise made by the manufacturer. A warranty, on the other hand, is a written assurance.
- The warranty only covers the product, whereas the guarantee covers the product, service, people, and consumer satisfaction.
- Money back is possible if explicitly stated in the case of a guarantee; however, this is not possible with a warranty.
- Under a warranty, if the product fails to meet quality specifications, it can be repaired, replaced, or refunded as per the terms.
Conclusion
After reading the preceding article, you may conclude that guarantee and warranty are similar in that they both discuss the product’s performance but are not the same.
There is little to no legal warranty and guarantee difference, but warranties are more likely to be written contracts than guarantees. And we can all agree on one thing: written contracts are far more beneficial than oral contracts. Now that you understand the distinction between warranty and guarantee, you can make an informed decision when purchasing a product.
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FAQs
What is the main difference between warranty and guarantee?
The main difference between a warranty and a guarantee is that a warranty is a written promise, whereas a guarantee can be either written or oral. Furthermore, you do not receive a refund under warranty, whereas you may receive it under guarantee.
In terms of the difference between warranty and guarantee, warranty applies to?
In terms of the difference between warranty and guarantee, warranty applies to products and services.
In terms of the difference between warranty and guarantee, guarantee applies to?
In terms of the difference between warranty and guarantee, guarantee applies to products only.
Can I rely solely on the warranty or guarantee provided?
While warranties and guarantees offer certain assurances, reading and understanding the terms and conditions is always wise. In some cases, additional consumer protection laws may apply, and you should familiarize yourself with them.
Do warranties and guarantees cover accidental damage?
Warranties and guarantees typically do not cover accidental damage. They generally apply to defects in materials, quality, or performance rather than damage caused by mishandling or accidents.
Can warranties and guarantees be voided?
Yes, warranties and guarantees can be voided under certain circumstances. For example, the warranty or guarantee may become void if the product is misused, modified, or repaired by unauthorized personnel.
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